The best online payment gateways in Nigeria depend on the type of business you want to start and the type of customer you will want to target.
Table of Contents
What is a Payment Gateway?
A payment gateway is a service that facilitates the transfer of payments between a business and its customers via credit cards.
A payment gateway is an online company that handles the processing of credit card transactions. When someone makes a purchase, they will be redirected to the payment gateway’s website where they will enter their personal and credit card information.
After this information is verified, it will then be sent back to the business’s website and the transaction will be completed. Payment gateways can range from companies like Visa or Mastercard to independent providers.
Payment gateways process credit card transactions for both e-commerce websites as well as brick-and-mortar stores that use terminals with magnetic strips or chip readers to complete transactions offline. They also work closely with financial institutions such as banks or credit card providers to facilitate the smooth exchange of merchants-buyer transactions.
Why do consumers prefer to pay for goods online?
The simple answer is – CONVENIENCE.
With the advancement of technology, many e-commerce companies have started to use credit or debit cards for payments.
The advantage of this payment method is that it is simple, fast, and convenient. However, a lot of people prefer cash because they think that cards will not make them feel connected to their purchases.
The number one reason why people pay with a card instead of cash is convenience. People do not need to carry cash around anymore and they can leave their wallets at home when they are going out on the town or traveling overseas.
The logic in Increased Online Sellers and Buyers
We have seen a significant increase in the number of online shoppers and sellers across the globe in recent times. This is because of the convenience factors that come with online shopping.
Online shoppers are increasingly using their smartphones to buy goods and services on their mobile phones, as it is easier, more convenient, and saves them time.
The popularity of e-commerce sites has increased due to the ease of finding items, buying items securely with multiple payment options, and receiving orders quickly.
Importance of Online Payment Gateway for Businesses
- Provides a secure and easy way to store your customer’s credit card information
- Processes low-priced transactions in seconds with no hassles.
- Easy to set up for your business
- Streamlines payment and reception of payments
- Lightning fast, no more waiting for a long time to check out or pay.
- Quick and efficient – easy to set up.
- Business-friendly
Here are the best payment gateway providers in Nigeria.
Rave by Flutterwave
Rave is a new payment solution that was launched by Flutterwave. It enables users to buy products and pay for services at any location in the world without the need for a bank account or a physical card.
Rave is not just an app. It is more like an operating system that can run on any device and enables users to spend money with their phone, tablet or laptop.
The Rave wallet also has a geolocation feature that allowsusers to find merchants anywhere in the world that accept Rave payments and has an integrated mapping feature so people don’t have to worry about getting lost when they travel either.
The setup is free and local transaction is charged at 1.4% and International Transactions at3.8% commission.
Paystack
Paystack is a leading international payments company that offers a comprehensive suite of payment solutions for the retail and e-commerce industries. It provides merchants with payment gateways, including credit card processing, point of sale, mobile payments, gift cards and loyalty programs. Local transaction commission is set at 1.5% + ₦100 (The ₦100 a small fee is waived for transactions less than ₦2500). International Transactions is set at 3.9% + ₦100
Interswitch Webpay
Interswitch Webpay is one of Nigeria’s and Africa’s biggest online payment gateways. It provides a reliable, fast, and secure solution for accepting credit card payments over the internet.
Interswitch Webpay has been operating for years now and they continue to grow with time. They are the preferred payment gateway in Nigeria for all kinds of e-commerce platforms.
Your customers can pay with a variety of cards. This is an important concern for Nigerian customers as it may cause some to leave your store or refuse to make the purchase.
When it comes to user experience and a nice interface, Interswitch can be the ideal solution. The company has an appealing UI that is both sleek and modern – as well as easier to navigate.
Vogue Pay
Vogue Pay is a company that has taken payment processing to the next level by combining both credit card and cash transactions in one.
The application process is very simple and can be done in just a few steps. It only takes four minutes to complete the whole process. The user can either use their debit card or cash for payment which then gets converted into digital money.
Vogue Pay offers a lot of benefits to its customers as well as merchants with this new tech solution.
For one, it’s more convenient than carrying cash around because there is no need for change when paying with Vogue Pay. Second, the customer can get their receipt and digital money at the same time once they finish making their purchase with Vogue Pay.
GTPay
GTPay is a secure internet payment gateway developed by GTBank to facilitate payments online using debit and credit cards. It was set up as a platform that allows merchants to process transactions, while customers are able to make payments for goods and services without the need for a card.
Merchants can use GTPay’s API through their website, and customers can use the GTPay mobile app or website to make payments. The service has been made available in Nigerian Naira (NGN) and the United States Dollar (USD), with plans of adding support for other currencies in the future.
Squad by GT Bank
Squad is a game-changer in the African digital payments space. An innovative solutions designed by GTBank to empower small businesses and large corporations alike with the flexibility and convenience they need to grow and thrive.
Squad POS system transforms your mobile phone into a powerful point-of-sale device, allowing you to take your business online and tap into new markets with ease. And with the e-commerce platform, you can easily set up a storefront and track sales.
But that’s not all – Squad also offers fast, secure payments through USSD, virtual accounts, and shareable links. And also provides a unique infrastructure for developers for easy integration opportunities to create amazing payment experiences for your clients. Squad is more than just payments – it’s a complete solution for businesses to succeed.
PayU
PayU is a leading online payment platform that has up to 400 local payment methods and 50 emerging markets. The company offers both online and mobile solutions that cover all types of payments, including eCommerce, online banking, mobile banking, etc. It also provides easy-to-use services for merchants who want to accept digital payments for their products or services.
Remita
Remita.net is a reliable remittance company that has been in the industry for quite a while now. They make sure to deliver accurate and timely remittances to their customers, whether it’s a business or an individual.
Remita is one of the largest international money transfer companies in Nigeria as it is mostly used by State agencies.
Dusupay
Dusupay is an African Payment provider which provides incredibly secure, efficient & quick infrastructure for businesses to use.
They’ve been trusted by hundreds of multi-million dollar companies with B2B customers for a long time. They can save a lot of time & effort too!
This payment gateway is free to set up, supporting merchants with up to 5,000 customers. They also have the option of being able to accept Visa, Mastercard & Verve for their users.
DusuPay is a payment gateway that offers one-time and recurring payments to merchants. One-time payment processing is similar to the traditional gateway. However, recurring payments are processed with this company’s own technology.
Stripe
The Stripe payment gateway is an API from Stripe, a company that builds tools for developers, which allows payment processing on the internet. When businesses make a purchase from a customer online, they use this payment gateway to process the credit card transactions.
The Stripe payment gateway is a solution that has many benefits. It provides a secure and easy way for businesses to start accepting payments online. The 2 key benefits of using this system are that it’s easy and it’s very fast. In addition to these two benefits, it also has 99% chargeback protection which means you can accept credit card payments with little to no risk of being rejected by your customers.
PayPal
PayPal’s payment gateway has been helping businesses process payments since its launch in 1998. The credit card company has created an impressive collection of tools that are used by companies to reach their customers. Their platform is easy to use and integrates with various other platforms.
PayPal payment gateway offers many features for credit cards, debit cards, and e-wallets. It also supports customizable metadata, multiple transaction types, and the ability to create invoices for their transactions in order to make it easy for merchants to process payments.
The PayPal payment gateway is used in a wide variety of industries including hospitality, retail, travel agencies, associations, etc. It can be used by both small-scale businesses as well as large-scale corporations that are processing billions of dollars per year in transactions.
Opay
Opay payment gateway is the latest payment gateway in Nigeria for developers to accept payments on their websites or apps. The platform offers various features, including fraud prevention, two-factor authentication, automatic chargeback prevention, HIPAA compliance and more.
Opay is not limited to just an e-commerce gateway but also offers support for different types of businesses like restaurants, digital agencies and online retailers.
The Checkout payment solution is a convenient alternative to traditional card or cash payments. Your customers will find it easy and quick to use this payment option on your website, app, or even retailer stand. Some interesting features are QR Payment and more.
FInally…
It is important to pick the right payment gateway for your business. We just gave you a simplified list of the best payment gateways in Nigeria. There are many companies that are recently into online payments. But they all have their own features and drawbacks.
When picking a payment gateway, you should consider some factors like; flexibility in payment options, security, transaction fees, popularity among merchants and basic features such as mobile payments or recurring payments.
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FAQs
Which payment gateway is best for website? ›
Answer: Fondy, PayPal, Authorize.Net, Stripe, 2Checkout, and Adyen are the top 5 best online payment gateway providers. They offer numerous beneficial features that can help in increasing sales by easing up the checkout process and offering your customers several payment options, in various currencies.
What are alternatives to Paystack and Flutterwave? ›Flutterwave's top competitors include DPO, Pesapal, and Paystack. DPO is an online payment platform that allows businesses to accept credit cards, mobile payments, and cross-border payments.
Which payment app works in Nigeria? ›Remita provides a wide range of payment channels for customers. They can make payment using the Remita app, the merchants' websites, internet banking, mobile wallet, remita.net, debit cards, POS or any bank branch in Nigeria.
What payment gateway do freelancers use in Nigeria? ›Gbenga Adebiyi: For Nigerian freelancers, the most common means to receive payments is Payoneer. Domiciliary accounts and Geegpay are among a long list of other options. Olamide Towobola: Payoneer enables transfers to local accounts. I also use Grey Finance, Geegpay and domiciliary accounts.
Which app is best for Nigeria Money Transfer? ›If you want to send money to a bank account in Nigeria, we recommend using a specialist currency provider. If you're transferring under $300 or equivalent, your best options include WorldRemit, TransferWise, Xoom or MoneyGram.
Which is the fastest payment gateway? ›| Gateway | Processing Speed – May | March |
|---|---|---|
| SecureNet | 1.0s | 1.0s |
| Moneris | 1.1s | 1.1s |
| Iridium | 1.2s | 1.3s |
| CyberSource | 1.3s | 1.1s |
- Step 1: Filing an application to the RBI. ...
- Step 2: RBI will check the credentials. ...
- Step 3: RBI will verify for certain conditions. ...
- Step 4: Issuance of Authorization for commencing Payment Gateway Service.
With Paystack, you are able to receive payments from customers anywhere in the world as long they're using a Mastercard, Visa, or Verve card.
Can Americans use Paystack? ›Get paid by customers from anywhere in the world
With Paystack, you can accept payments from international customers, wherever they are in the world.
Flutterwave serves customers worldwide.
What is the best app to receive money from USA to Nigeria? ›
You can make a money transfer to Nigeria from the USA with the WorldRemit website using any device. You can also download our free WorldRemit app for Android and iOS to send money from wherever you are in the USA, 24 hours a day.
Which app can I use to receive money from abroad in Nigeria? ›To receive money from abroad, you will need to use a mobile wallet in Nigeria that accepts US dollars. Popular mobile wallets include Wallets. Africa, Wise, and Skrill.
Which app is mostly used in Nigeria? ›| App App Name | Publisher Publisher | |
|---|---|---|
| 1 | OPay | OPay Digital Services Limited |
| 2 | PalmPay - Transfers, Bills | PalmPay Limited |
| 3 | WhatsApp Messenger | WhatsApp LLC |
| 4 | Facebook Lite | Meta Platforms, Inc. |
- Trading bitcoin. ...
- Offering feedback on websites and apps. ...
- Taking online surveys and watching videos. ...
- Playing trending video games. ...
- Searching online for your next purchase. ...
- Teaching English online. ...
- Translating materials. ...
- Working freelance in, literally, every expertise.
Charges: For every subsequent successful transaction, a fee of 1.5% of the value of the transaction subject to a cap of N2,000 is charged. (i.e. for transactions below N133,333, a fee of 1.5% applies), and N2,000 flat fee (for transactions above N133,333).
How do I receive international payment in Nigeria? ›- Domiciliary Account. One of the best ways to receive foreign currencies is through a domiciliary account. ...
- Western Union. ...
- Western Union via Quickteller. ...
- MoneyGram. ...
- RIA Money Transfer. ...
- World Remit. ...
- Payoneer. ...
- Wise (TransferWise)
Send money in three steps
Deposit Naira into your Sendcash account. Add a US beneficiary bank account to receive the wire transfer. Enter the USD amount to transfer and confirm your transaction. The wire transfer will be delivered in 1 to 4 business days.
No, you cannot send money to Nigeria with Zelle, as Zelle is available only in the US. The payment app only allows you to send money from one US bank account to another, meaning both the sender and the recipient must have US bank accounts. We recommend using Monito.com to compare alternatives instead.
Which payment app is cross border in Africa? ›PAPSS – the Pan-African Payment and Settlement System – is a cross-border, financial market infrastructure enabling payment transactions across Africa.
How much does it cost to add a payment system website? ›A payment platform app usually costs $17,500 to build. However, the total cost can be as low as $10,000 or as high as $25,000. A payment platform app with a low number of features (also known as a "minimum viable product", or MVP) will be more affordable than an app that includes all intended functionality.
How much does it cost to build a payment gateway? ›
We estimate a minimum viable product (MVP) for a payment gateway to cost between $150.000 and $250.000.
Can a website have two payment gateways? ›Using multiple payment gateways allows you to offer support for the variety of payment methods, while enabling customers to pay in their preferred currency. It makes your business flexible and scalable. It is also highly beneficial for growing businesses expanding globally.
Which payment gateway has lowest fees? ›The payment gateway is designed in such a way that customers of all kinds can easily understand how to make a payment. Paytm Payment Gateway is the only payment gateway in India that allows acceptance of UPI payments at 0% transaction fees.
Which payment gateway has lowest cost? ›While PayPal charges 2.5% for every transaction, Paytm charges you 2%. Which is the cheapest payment gateway? Cashfree Payment gateway is as of now, one of the cheapest payment gateways in the country. This offers the lowest TDR.
What is the largest online payment system? ›PayPal. PayPal is the largest online payment provider in the world, with a presence in over 200 countries globally. 3 The company has in excess of 250 million users worldwide,3 so it's a payment method many of your customers are likely to use.
Can I build my own payment gateway? ›Every business owner or company can build a custom gateway service for its operations. Some companies that benefit especially from payment systems include: Large corporations Financial houses Companies looking to upgrade their internal payment systems. IT companies expanding their business models into payment services.
How do I create a custom payment gateway? ›- Create your payment gateway infrastructure. You'll need a server to host your gateway, whether it's your own or via a third party. ...
- Choose a payment processor. ...
- Create a customer relationship management (CRM) system. ...
- Implement security features. ...
- Obtain required certifications.
Establishing a Payment Gateway without Company registration is not possible. The company must have a PCI DSS certification. The net worth of the company should be at least 15 Crore. The net worth should increase to INR 25 Crores within 3 years of operation.
Can OPay be used in USA? ›The partnership between OPay and WorldRemit will provide Nigerians with a fast, easy and more affordable way to receive money from over 50 countries including the United States, United Kingdom and Canada directly into their mobile phones. “We are very excited about our partnership with WorldRemit.
Can I pay in USD in Nigeria? ›The CBN has in the circulars and statements on the subject made heavy weather of the fact that local transactions expressed or conducted in a currency other than the Naira, the legal tender in Nigeria, are illegal.
How much does Paystack charge in Nigeria? ›
3.9% + NGN 100
International cards are charged and settled in Naira by default, but you can also choose to get settled in USD.
PayPal. Launched in 1999, PayPal is one of the most widely used payment gateways in the USA and around the world for both debit and credit payments.
Can I use my Nigeria PayPal account to receive money from USA? ›Currently, personal accounts do not support receiving money in Nigeria. You can only open Personal Accounts and send money online from the same. You can also make payment to millions of merchants around the world that accept payment via Paypal.
Does Stripe work in Nigeria? ›Yes, Stripe does accept payments from Nigeria. But this does not mean that Nigerian companies can open Stripe payment processing accounts. As we'll explore below, the country where the customer is located (e.g. Nigeria) is not the same as the country where the company has been registered (e.g. the United States).
What is the Flutterwave scandal? ›Several scandals rocked Flutterwave in 2022, including this allegation by ARA. At the time, the local regulator stated that its "investigations established that [Flutterwave's] bank accounts operations had suspicious activities where funds could be received from specific foreign entities which raised suspicion.
Which bank owns Flutterwave? ›Standard Bank, Africa's largest bank by assets, has partnered with Flutterwave, Africa's leading payments technology company, to enhance digital payments experiences for its customers in Nigeria, Zambia, Tanzania, Uganda, Ghana, Mauritius, Cote D'Ivoire and Malawi.
Can I receive dollars in my Flutterwave account? ›No. The cards are specifically designed for merchant payments and cannot be used to send/receive funds or fund a wallet/account on a merchant website. You can however send funds from your USD wallet to your domiciliary account.
Which bank in Nigeria can receive money from abroad? ›You can receive foreign currency transfers from abroad using your Zenith Bank Domiciliary & Naira account details.
Can I send money from Nigeria to USA with WorldRemit? ›WorldRemit is working with banks across Nigeria to enable bank transfer in USD. So far, Bank Transfer for Fidelity and GTBank is available. More banks will be enabled over the coming days. You will see the 'Bank Transfer' option on the 'Send Money' page.
Which Nigeria bank is in USA? ›UBA is the only Sub-Saharan African bank with an operating banking license in the United States; this has made them the preferred financial intermediary for business flows between Africa and North America. The aim of UBA (USA) is to grow the bank's franchise in the United States.
What is the cheapest way to send money from Nigeria to USA? ›
Bank Transfer
Bank transfers are usually the cheapest option when it comes to funding your international money transfer with Wise. Bank transfers can be slower than debit or credit cards, but they usually give you the best value for your money.
- Sending Money to Family and Friends: Remitly.
- Best Exchange Rates: Wise (formerly known as TransferWise)
- Sending Cash to be Picked Up: WorldRemit.
- Paying in Person: Western Union.
- Best Big Brand: Xoom, powered by PayPal.
- Visit a Western Union agent location. With over 4,500 locations2 in Nigeria, it's easy to find one nearby.
- Share your details. Provide the agent with your full name and a valid government-issued ID.
- Share your receiver's details. ...
- Pay and send.
- MAJORITY. $0.
- Wave. $3.
- Moneygram. $5.
- Remitly. $5.
- WorldRemit. $5.49.
- Western Union. $7.
Between January 2020 and January 2021, the number of active social media users in Nigeria increased by 22 per cent, compared with a global average increase of 13 per cent. After WhatsApp, Facebook is the most used social media platform in Nigeria.
Which network is the best and fastest in Nigeria? ›In Nigeria, Airtel Networks has been described as the leading network provider with the fastest internet speed. This follows the speed test intelligence gathered in Ookla's 2021 Q3 report.
What is the best African payment gateway? ›As one of the best Africa payment gateways, Skrill is easy to connect to worldwide bank accounts and ensure your payment info safety. You do not have to pay any fees for creating a Skrill account. Yet, be aware of fixed charges on what you are getting or sending.
Which is the best online bank in Nigeria? ›- Best Basic All-Rounder: Kuda Bank.
- Best Features: VBank.
- Best for Independents: Rubies.
- Best for Business: Sparkle.
- Best for International Spending: Mintyn Digital Bank.
- Best for Phone Banking: Eyowo.
- Most Versatile: Fundall.
- Easiest: goMoney.
- Spectranet. ...
- Tizeti. ...
- IPNX. ...
- Astramix Limited. ...
- VDT Communications. ...
- Cyberspace Network Limited. ...
- 21st Century Ltd. ...
- Suburban Broadband Ltd.
Smile Communications
It also has one of the best-unlimited data bundles and internet speed. In Nigeria, it is available in states such as Lagos, Port Harcourt, Ibadan, Abuja, Benin City, Kaduna, Onitsha and Asaba with different unlimited data plans. It ranges from N300 daily data to N120,000 yearly plans.
What is the slowest network in Nigeria? ›
Nigeria's providers ranked as follows: ipNX, KKONTech, Glo, Airtel, Spectranet, MTN, SWIFT, Cobranet, Tizeti and Smile. The fastest, ipNX, had a median speed of 21.34 bps while Smile, the slowest, had 2.44 mbps.
Which Sim has fastest network? ›...
Airtel is The Fastest. Mobile Network in India.
| Campaign Lead from Airtel: | Rajiv Mathrani (Chief Brand Officer) |
|---|---|
| Media Agency: | GroupM |
| Date of release: | 15th March 2017 |
- Domiciliary Account. One of the best ways to receive foreign currencies is through a domiciliary account. ...
- Western Union. ...
- Western Union via Quickteller. ...
- MoneyGram. ...
- RIA Money Transfer. ...
- World Remit. ...
- Payoneer. ...
- Wise (TransferWise)
SA has free trade agreement with SADC countries. Joburg's OR Tambo International Airport is the biggest and busiest freight and passenger hub in Africa. Over 20 major international airlines fly to OR Tambo International Airport.
Which Nigerian bank is good for international transactions? ›Access Bank
This bank is one of the best banks with the domiciliary account. It also has many good options for their customers. They allow transactions of foreign currencies like Pounds, Yen, US Dollars, and Euros. There are two types of access bank domiciliary account; the domiciliary current savings account.
- Access Holdings Plc. ...
- Ecobank Transnational Incorporated. ...
- Zenith Bank Plc. ...
- United Bank for Africa (UBA) ...
- FBN Holdings Plc. ...
- Guaranty Trust Holding Company Plc (GTCO) ...
- Fidelity Bank Plc. ...
- FCMB Group Plc.
Amazing ways to enjoy Nigeria's first truly digital bank
With ALAT, you'll have access to a world of financial services right at your fingertips. From anywhere, at any time, you can check your account balance, transfer funds, pay bills, and more. Our user-friendly app makes managing your money quick and easy.
MTN provides its service that includes telecom and data services to over 200 cities all across the country. It is Nigeria's premier network provider and it is the largest privately-owned mobile network provider in the entire Africa, the Middle East, and Europe.
How to get unlimited data in Nigeria? ›- NTEL. NTEL has one of the best and most affordable unlimited data plans in Nigeria today and there are a lot of options to choose from. ...
- Smile Communications. ...
- Spectranet. ...
- Cool Link. ...
- Swift Networks. ...
- Cyberspace Network Limited. ...
- iPNX. ...
- Hoop Telecoms.
Starlink, a satellite internet service owned by Elon Musk, is now available for customers in Nigeria.