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Guide to WooCommerce payments: Best plugins and practices

Reading Time: 7 minutes

The payment process can make or break your WooCommerce store experience.

Fortunately, WooCommerce supports advanced plugins that enable seamless payments and offer heightened security.

There are many free and paid payment gateway plugins available, so you can choose the most appropriate to ensure a great customer checkout experience.

In this article, we’ll discuss what you need to know about WooCommerce payments, help you choose the best one for your store, and consider some popular WooCommerce payment plugin features.

Let’s get started.

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WooCommerce payments: What you need to know

WooCommerce’s open-source design enables third-party developers to create extensions that improve the main features. Payment plugins are one such extension category.

These plugins provide additional ways to accept payments on WooCommerce safely. They use WooCommerce’s developer toolkit with hooks, filters, and APIs.

These plugins seamlessly integrate into the WooCommerce checkout process without disrupting existing workflows or user experiences.

After installing a WooCommerce payment plugin, configure the appropriate settings. This involves providing API keys and setting WooCommerce payment processing parameters.

After completing the setup process, you can access an extended selection of payment features at checkout. These payment features are an addition to what WooCommerce offers.

Many payment plugins also offer advanced fraud prevention measures that increase transaction security. 

Choosing the right payment plugin is an important part of your plan to set up your WooCommerce store. WooCommerce payment plugins can offer:

  • Smooth shopping experience: A WooCommerce payment plugin can ease the payment process and heighten the shopping experience. This can help build trust and credibility.
  • Enhanced transaction management: A good payment plugin helps you manage your transactions better. It gives you valuable features and support for multiple payment methods.
  • Robust security measures: Quality payment plugins undergo third-party security audits. This helps them follow the best security practices, keeping your business and customers’ sensitive information safe.

How to choose a plugin for WooCommerce payments

Here are some pointers to guide you in choosing a WooCommerce payment plugin:

  • Features: The best plugins for WooCommerce Payments support extra features. For example, recurring payments, invoicing, and one-click payments.
  • Fees: Take note of any transaction fees linked to the plugin. Compare rates for various plugins to get the best option for your business.

    Also, consider the payment methods you wish to provide. For example, credit cards, PayPal, or alternatives such as Apple Pay.
  • User experiences: Opt for a plugin with a fast and user-friendly checkout process, without unnecessary redirects or complex forms.

    Ensure you optimize the checkout experience for mobile devices. Check the plugin’s description for compatibility information.
  • Security: Choose a plugin that provides SSL encryption and PCI compliance. These security measures ensure protection for your clients’ sensitive data.

Let’s examine some popular WooCommerce payment processors you can use for your store:

WooPayments

WooPayments dashboard
Image via WooCommerce

WooPayments is an integrated payment plugin for WooCommerce stores. Customers can use their bank cards to pay you without going to another website.

You can see all the transactions and manage them from your WordPress dashboard. This saves you from having to log in to a separate payment service.

Key features  

  • Accepts payments in 135+ currencies
  • Multi-payment methods, including Apple Pay, Google Pay, and more
  • Instant deposits feature
  • Custom deposit schedule
  • Buy Now Pay Later (BNPL) options
  • Transaction reporting

Pros

  • No setup costs or monthly WooCommerce payment fees 
  • Local payment options, Buy Now Pay Later (BNPL), and streamlined checkout
  • Multi-currency support
  • Simplified workflow
  • Detailed reports and analytics to help you track your sales and manage your finances

Cons 

  • BNPL options are not available in all regions
  • The instant deposits feature is only available in the US

Pricing information

There are no initial signup or monthly subscription fees for WooPayments. The plugin uses pay-as-you-go pricing and charges fees for only successful transactions.

WooPayments automatically deducts fees before transferring funds to your bank account. It does this when customers complete payments through your website.

The fees vary depending on several factors. This includes your business’s location, your customers’ geography, preferred currency, and payment method.

A transaction fee of 2.90% + $0.30 applies when using the card payment method in the US. International payments incur an extra 1.50% fee.

Stripe

Stripe dashboard
Image via WooCommerce

Stripe is one of the most popular WooCommerce plugins for online payments. It offers a simple and secure way to accept payments online and in mobile apps. 

Stripe works in 40+ countries and lets you accept payments in different currencies from customers all over the world. It also supports other payment methods, like Apple Pay and Google Pay.

Key features

  • Accepts all major credit and debit cards as well as local payment methods like Apple Pay, Google Pay, Alipay, and SEPA Direct Debit
  • PCI-compliant checkout flows across all browsers and devices
  • Advanced fraud protection with Stripe Radar and 3D Secure
  • Built-in reporting features
  • Instant payouts
  • Supports recurring payments for subscriptions

Pros

  • Quick installation and setup with automatic plugin integration
  • There are no setup fees, monthly fees, or hidden costs
  • Easy to set up and manage
  • Accepts payments in many currencies
  • PCI-compliant and offers advanced fraud protection

Cons

  • The transaction cost can be higher for some payment methods
  • Fees can become significant at higher transaction volumes

Pricing information

Stripe uses a per-transaction pricing model with no monthly fees. The standard rate is 2.9% + $0.30 per successful transaction. International cards are charged an extra 1%. Custom pricing options are available for high-volume businesses.

PayPal

PayPal dashboard
Image via WooCommerce

PayPal is another popular payment gateway for WooCommerce stores. Customers can use their own account or pay via credit card through PayPal. This gateway also supports recurring payments, making it ideal for subscription-based services.

PayPal on WooCommerce supports multiple payment methods, including Venmo (for US only), Pay Later options, and credit/debit cards. It also offers country-specific payment options like Payment Upon Invoice.

Key features

  • Advanced fraud detection and seller protection capabilities
  • Built-in compliance with PCI and PSD2
  • Venmo integration
  • PayPal Pay Later option
  • Country-specific payment methods

Pros

  • PayPal simplifies payment processing with diverse options
  • Accept payments from customers worldwide in many currencies
  • Protects against fraud and chargebacks
  • Manage finances and send invoices through PayPal

Cons

  • Venmo integration is only available in the US
  • Limited customer support

Pricing information

PayPal charges different amounts depending on the kind of transaction. The price for domestic transactions is 3.49% plus an extra fee according to the currency. The charge is 5% for international transactions.

Square

Square dashboard
Image via WooCommerce

Square is an ideal payment processor if you run physical and WooCommerce stores, because customers can pay online or in person using their preferred payment method. With Square, you can also synchronize sales and inventory for WooCommerce product bundles.

Square processes payments securely using industry-standard SSL encryption technology. It also offers fraud prevention tools to help minimize chargebacks and fraudulent transactions, plus enhanced reporting for transaction details.

Key features

  • Accept payments online and in person
  • PCI-compliant payment processing
  • Inventory sync and management
  • Accept all major credit cards. This includes Visa, Mastercard, American Express, and Discover
  • Customizable checkout experience
  • Subscription and preorder support
  • Dispute resolution support to handle chargebacks and customer disputes

Pros

  • No additional cost using Square with WooCommerce
  • Easy setup
  • Fast deposits
  • Manage all your sales, inventory, and customers in one place
  • Accepts various credit cards, digital wallets, and Cash App payments

Cons   

  • While custom rates are available for larger businesses, smaller enterprises do not qualify

Pricing information

Square charges a fixed fee for each online and in-person transaction. The pricing varies by country. In the US, each online transaction incurs a flat fee of 2.9% + $0.30. However, custom pricing is available for firms with over $250,000 yearly revenue.

What to consider before deciding which plugin to use

There are several factors that can influence your business when choosing a payment plugin, and two critical aspects to consider are international payments and payment security.

International payments

Cross-border transactions can come with some challenges. These include slow processing times, high costs, and limited payment options.

There may also be extra transaction fees associated with international payments. These include conversion and regulatory costs based on your customer’s location.

Many popular plugins, like WooPayments, PayPal, Stripe, and Square, offer international payment functions.

These tools can help you convert currencies and display prices in many currencies. They accept payments and manage international payment fees. With this, you can enhance the accessibility of your products or services.

Here are some best practices for handling international payments on your WooCommerce store:

  • Make currency selection visible and easy. Use a clear currency switcher that’s accessible on every page. For clarity, consider using flags or currency codes along with the full names.
  • Offer a good selection of currencies. Include major currencies and those relevant to your target markets.
  • Display prices in the customer’s local currency based on their IP address.
  • Be transparent about exchange rates and fees. Communicate any conversion fees or markups you apply.
  • Offer localized payment options familiar to your target markets for increased trust.

Payment security

Payment security is paramount for any online business. This involves protecting sensitive customer data from fraud and unauthorized access.

When choosing payment plugins, go for those that adhere to industry standards, such as PCI DSS. These plugins have strong encryption and secure payment processing capabilities.

Consider the following tips to maintain PCI compliance and protect customer data:

  • Use reputable payment processors and service providers
  • Offer multi-factor authentication for customer accounts
  • Restrict access to data on a need-to-know basis. Access should be logged and monitored
  • Perform regular security assessments, including vulnerability scans and penetration testing

Wrap up

Your business needs will dictate the most appropriate WooCommerce payment options for you.

Choosing the right plugin depends on several key factors, including supported payment methods, international payments, and security features.

Once you’ve chosen the best option, you can use it to help scale your store and effortlessly serve a high volume of customers.

Use Omnisend’s advanced email marketing features to engage your customers and drive sales on your WooCommerce store.
Bernard Meyer
Article by
Bernard Meyer

Bernard is the Sr. Director of Communications & Creative at Omnisend, with a passion for good research, helping ecommerce businesses with their marketing automation needs, and beating absolutely everyone in Mario Kart 64.


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