Does Shopify Have a Payment Gateway

Yes, Shopify does have its own built-in payment gateway known as Shopify Payments. It is the platform’s native payment processing system that allows merchants to accept online payments directly through their Shopify store without having to connect to an external provider. For UK businesses, this built-in gateway offers a seamless and efficient way to manage transactions, handle payouts, and improve the customer checkout experience.

What Shopify Payments Is

Shopify Payments is both a payment processor and a payment gateway. It handles the authorisation, processing, and settlement of transactions for online stores. When a customer makes a purchase using their credit or debit card, Shopify Payments securely processes the payment and transfers the funds to the merchant’s bank account.

Because it is directly integrated with the Shopify platform, there’s no need to set up a third-party processor or connect external APIs. Everything from checkout to payout happens within Shopify’s own ecosystem. This makes it one of the most straightforward and user-friendly payment systems available to ecommerce businesses in the UK.

How Shopify Payments Works

When Shopify Payments is activated on your store, it automatically becomes your primary payment gateway. This means customers can complete their purchases using major credit and debit cards, digital wallets, or local payment options, all within the Shopify checkout page.

Shopify Payments supports major card providers such as Visa, Mastercard, American Express, and Maestro. It also works with popular mobile wallets like Apple Pay and Google Pay, which can improve the speed and convenience of your checkout process. For UK merchants, it also supports payment options such as Klarna, which allows customers to buy now and pay later.

When customers pay, Shopify Payments authorises and captures the funds. The payment is then transferred to your bank account based on your payout schedule, usually within three business days for UK stores. All of these details can be tracked in your Shopify admin, where you can view payout summaries, transaction histories, and reports.

Benefits of Shopify Payments for UK Merchants

One of the biggest advantages of Shopify Payments is that it removes the need for third-party integration. You do not have to sign up with another payment processor or worry about compatibility issues between systems. It simplifies everything from the checkout experience to accounting.

Shopify Payments also eliminates the additional transaction fees that Shopify charges when using an external payment gateway. This can lead to cost savings, particularly for smaller businesses. You’ll still pay standard card processing fees, but you avoid the extra percentage Shopify normally applies for using outside providers.

Because it’s native to Shopify, the checkout flow remains entirely on your store’s domain. This helps to build customer trust, reduce checkout abandonment, and provide a professional, consistent brand experience. In the UK market, where trust and simplicity are key to online conversions, this seamless integration is particularly beneficial.

Security and Compliance

Shopify Payments is fully PCI compliant, meaning it meets the strict global standards for handling cardholder data securely. Sensitive payment information is encrypted and never stored on your servers. The system also uses 3D Secure authentication, a requirement for many UK and European transactions, which adds an extra layer of protection for both the merchant and the customer.

In addition, Shopify Payments includes built-in fraud detection and risk analysis tools. These features automatically assess orders for potential fraudulent activity, allowing you to review and take action before processing shipments. This can help reduce chargebacks and losses while maintaining a smooth customer experience.

Fees and Costs

Shopify Payments charges a standard transaction fee, which varies depending on your Shopify plan. For most UK merchants, these fees are competitive with other payment gateways. The exact rates differ based on your subscription level, with lower fees available on higher-tier plans.

Using Shopify Payments also removes Shopify’s additional transaction fee that applies when using third-party gateways. This can save you money, especially if your store processes a high number of transactions. For international sales, currency conversion fees may apply if you accept payments in different currencies, though Shopify provides transparent reporting so you can monitor costs easily.

Limitations and Considerations

While Shopify Payments is available in the UK, it is not offered in every country. Merchants operating in unsupported regions will need to use an external payment gateway. Additionally, some business types considered high-risk, such as certain regulated goods or financial services, may not be eligible to use Shopify Payments.

If your store operates in multiple currencies or regions, you’ll need to check how Shopify Payments manages payouts and conversion rates. While it supports multi-currency payments, all payouts are made in your store’s default currency. Depending on your business model, this may affect your accounting or financial planning.

Finally, while Shopify Payments is flexible and efficient, some merchants prefer third-party gateways that offer advanced features such as custom checkout flows, recurring billing, or specific regional payment options. However, most small and medium-sized UK businesses will find Shopify Payments more than adequate for their needs.

Alternative Payment Options

Shopify still allows integration with a wide range of third-party payment gateways, including PayPal, WorldPay, and SagePay. This means you are not restricted to Shopify Payments if you prefer another provider. However, using external gateways often introduces extra transaction fees and may slightly complicate your financial reporting.

For many UK merchants, a combination of Shopify Payments and PayPal offers a good balance. This setup lets you handle card payments through Shopify while also offering PayPal for customers who prefer that method. The key is to give customers choice without making checkout overly complex.

How to Activate Shopify Payments

Activating Shopify Payments is straightforward. From your Shopify admin, navigate to Settings, then select Payments. You can activate Shopify Payments by providing your business information, bank details, and contact information. Once your account is verified, you can start accepting payments immediately.

You’ll also be able to enable or disable specific payment methods within Shopify Payments. For example, you can choose whether to offer Apple Pay, Google Pay, or Klarna depending on your store’s audience. Payouts and reporting will appear directly in your Shopify dashboard, allowing for complete financial visibility in one place.

Conclusion

Shopify does indeed have a payment gateway, and it’s called Shopify Payments. It gives merchants in the UK a streamlined, secure, and fully integrated way to accept online payments. With support for major cards, digital wallets, and local payment options, it provides a modern and trustworthy checkout experience for customers.

While you can still use third-party gateways, Shopify Payments simplifies payment management and removes unnecessary transaction fees. For most UK-based online businesses, it represents the most efficient and cost-effective solution for handling payments through the Shopify platform. By keeping your checkout process simple, secure, and seamless, you create a better experience for both your customers and your business.