
Shopify Payments – Which Payment Method is Best?
Published on by Tobias Fischer

Shopify Payments is the easiest way to process online payments. The setup is fully automated, no external payment providers are needed, and all major payment methods are accepted.
Table of contents
What is Shopify Payments?
Shopify Payments is an integrated payment method from Shopify that allows merchants to manage their payments directly within the store. A separate merchant account with third-party providers is not required. Shopify Payments includes all the necessary features to cover every aspect of processing payments within the app.
Shopify Payments Payment Methods
Thanks to the seamless integration of Shopify Payments into your online shop, all payment matters can be managed in one place. With a wide variety of popular payment methods, Shopify Payments allows your customers to pay easily and securely. In addition, Shopify Payments is compatible with third-party apps, such as PayPal and Amazon Pay.
The following payment methods are offered in German-speaking regions:
- Credit card payments (VISA, Maestro, MasterCard, American Express)
- Invoice payment with Klarna
- Instant transfers
- Shop Pay
- Apple Pay
- Google Pay
Furthermore, Shopify Payments provides the necessary tools to track and manage payments. You have access to a personal account area where you can view transaction history, customer data, and payment reports. This ensures you always have an overview of your payments and can effectively analyze and optimize your sales figures.
Note
Payment methods like Shop Pay or PayPal allow you to place dynamic checkout buttons in your online shop. Customers can click these buttons to skip the shop’s cart and speed up the checkout process.
Which payment methods should be used?
Offering a sufficient selection of suitable payment methods is important in e-commerce to avoid high abandonment rates. Consumers want to complete their purchase as quickly and easily as possible. If their preferred payment method is not offered, there is a risk they will cancel the purchase and move on to a competitor that provides the desired payment options.
When selling in Germany, it’s important to know your target market well. German consumers often prefer established and secure payment methods, and are somewhat hesitant to adopt new ones. Therefore, it is advisable to offer proven and trustworthy payment types to win the trust of German customers and ensure success in the German e-commerce market.
Paying with PayPal
PayPal remains one of the most popular payment methods for most consumers. This payment option offers security and sellers can rely on the product being paid for.
Integrating PayPal in your shop provides a convenient and trustworthy payment method for you and your customers. To make a transaction, customers need to have sufficient balance in their PayPal account or have linked their bank account to PayPal. The customer logs in to PayPal using their email address and password and can complete the payment quickly and easily with just one click.
Klarna: Purchase on Account
Another widely used payment method in Germany is purchase on account. The Swedish payment provider Klarna is one of the most well-known providers for buying on account. From the customer's perspective, purchase on account is one of the safest payment methods.
A major advantage is that customers can order the products they want without risk and pay only after receiving the goods. In case of returns, only those items that the buyer wants to keep need to be paid for. This offers a high level of convenience and trust when shopping online.
Direct Debit
The direct debit procedure is also an established payment method for online shopping. With this payment type, the amount is debited from the customer’s bank account after the goods have been delivered. The customer sets up direct debit once via online banking and only needs to make sure there is sufficient balance in the account. This makes direct debit particularly suitable for recurring payments, such as subscriptions.
A benefit for customers is that they have up to eight weeks to reverse the payment. This gives customers security and confidence when making purchases.
Credit Card
Paying by credit card also plays an important role in Germany. Accepting credit cards offers many benefits for online retailers, especially when selling products to business customers. Credit card payments allow companies to process large transactions quickly and securely and facilitate international trade.

Setting up Shopify Payments
You can find Shopify Payments in the Shopify dashboard under Settings and Payments.
To set it up, Shopify requires information about your business, product, bank details, and your personal data. After entering the required information and verifying its completeness and correctness, Shopify Payments will be activated directly.
After setup, you can begin setting up payment methods, currencies, bank details for payouts, or choose your payment capture method.
Tip
If you do not want to handle the setup yourself, a Shopify agency can provide a fast and hassle-free implementation.
Shopify Payments Payment Processing
You can monitor your payment processing in real time via the Shopify dashboard and have an overview of your current payments at all times. Normally, it takes three business days for the money to reach your bank account. In exceptional cases, it may take longer for specific products.
Shopify Payments: Fees and Costs
The costs for using Shopify Payments depend on the chosen plan. Fees are lower with a higher Shopify plan. In contrast, besides the costs for the chosen Shopify plan and the fees for Shopify Payments, there are no additional expenses or transaction fees.
You can find the complete overview of Shopify and Shopify Payments fees here: Shopify prices
Advantages of Shopify Payments
Payment Processing
Through the Shopify dashboard, you have access to your shop’s current numbers. You can access payment information in real time and get an accurate picture of your shop’s finances.
Payment in Different Currencies
With Shopify Payments, you can position your shop for international trade and give customers the option to pay in their own currency. This not only increases your customers’ willingness to pay, but also makes the payment process more convenient and familiar for them.
Express Checkout
With express checkout, your customers benefit from a smooth and fast checkout process. The buying process is significantly shorter, increasing conversion rates. Customers do not need to enter additional payment information manually, as this is automatically provided by the payment provider, such as Google Pay.
Shopify POS (Point of Sale)
If you have a physical store, you can also use Shopify Payments there to handle your payments easily and clearly. You can process payments in your store using Shopify Payments and benefit from its user-friendly handling.

Disadvantages of Shopify Payments
Supported Countries for Shopify Payments
Shopify Payments is not available in every country worldwide, but covers the most relevant ones, such as Germany, the USA, Canada, the UK, and 19 others.
You can view the complete list of supported countries here: Supported countries for Shopify Payments
Note
To use Shopify Payments, you must have two-factor authentication enabled for your Shopify account’s security. Two-factor authentication prevents security breaches that could result in incorrect payouts or other financial losses. Two-factor authentication is also generally recommended to protect the account from hacking attempts.
Chargeback Fees
In Germany, Shopify charges chargeback fees of €15 per chargeback. With high transaction volumes and repeated chargebacks, these fees can quickly add up. However, it is important to note that chargeback fees, even at this amount, are standard in the industry.
Product & Industry Restrictions
Certain restrictions apply to the use of Shopify Payments regarding specific products and industries. Restricted businesses include, among others, financial service providers, gambling providers, sales of social media activities, or so-called high-risk businesses according to Shopify.
Conclusion
With Shopify Payments, you can easily integrate the most common payment methods into your shop. The integration is fast and simple, the fees are transparent, and accelerated checkout can increase your conversion rate.
The straightforward setup ensures a quick sales launch. Despite this, Shopify Payments is highly scalable and can grow with your business.
Frequently asked questions
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