Shopify Payments is Shopify's built-in payment processor
Shopify Payments is a payment processing system that Shopify owns and operates. It lets customers pay for orders using credit cards, debit cards, Apple Pay, Google Pay, and other digital wallets directly on your store. The money goes into your bank account, and Shopify handles the technical side — connecting to card networks, managing fraud checks, and settling funds.
If you use Shopify Payments, you do not need to sign up for a separate payment processor like Stripe or Square. Shopify does that work for you. The system is built into the Shopify admin, so you see all transactions in one place alongside your orders and inventory.
Shopify Payments is available in the United States, Canada, the United Kingdom, Australia, and several other countries. Availability depends on your location and the type of business you run. You can check whether it is available in your country by looking at your Shopify admin settings.
Key Takeaways
- Shopify Payments processes credit cards and digital wallets without requiring you to set up a separate payment processor.
- Shopify charges a percentage of each transaction plus a fixed fee per transaction, with rates varying by card type and country.
- Funds from sales typically appear in your bank account within one to two business days.
- You can see all payment details, disputes, and refunds directly in your Shopify admin without logging into another platform.
- Shopify Payments is not available everywhere — check your country and business type before assuming you can use it.
How transaction fees work
Shopify Payments charges you a percentage of the order total plus a fixed amount per transaction. The exact rate depends on your Shopify plan and the type of card the customer uses. Credit cards typically cost more than debit cards. Online transactions cost less than in-person card-present transactions.
For example, on the Shopify Basic plan, a credit card transaction might cost 2.9% plus 30 cents. A debit card on the same plan might cost 2.7% plus 30 cents. These rates change by country — Canadian rates are different from US rates, for instance. You can see the exact rates for your location and plan in your Shopify admin under Settings > Payment Providers.
There is no monthly fee for using Shopify Payments itself. You only pay when a customer completes a purchase. Refunds you issue to customers are not charged again — you do not pay a fee to refund money.
When money reaches your bank account
Shopify Payments deposits funds into your connected bank account on a regular schedule. For most merchants, payouts happen every two business days. Some newer accounts or accounts with higher risk may have longer payout windows — sometimes five to seven business days. Shopify tells you your payout schedule in the admin under Finances > Payouts.
The payout includes all completed transactions from the previous period, minus any refunds or chargebacks. If a customer disputes a charge or files a chargeback, Shopify deducts that amount from a future payout while the dispute is being investigated.
Weekends and holidays do not count as business days, so a payout scheduled for Friday may not arrive until Monday. Bank processing times vary — most banks deposit the money the same day they receive it, but some take an extra day.
Fraud protection and security
Shopify Payments includes fraud detection tools that flag suspicious orders automatically. The system checks for patterns like multiple orders from the same IP address in a short time, mismatched billing and shipping addresses, and other warning signs. You can review flagged orders in your admin and decide whether to accept or cancel them.
The system also handles PCI compliance — the security standard that protects credit card data. Because Shopify Payments is integrated into Shopify, the platform manages PCI requirements for you. You do not store raw credit card numbers on your own servers, which reduces your security burden.
If a customer disputes a charge or files a chargeback, Shopify provides tools to respond with evidence — order confirmations, shipping records, customer communication. You have a set window to submit your response, usually around 7 to 10 days depending on the card network.
Comparing Shopify Payments to other processors
The main advantage of Shopify Payments is simplicity. Everything lives in one dashboard. You do not need to create accounts with Stripe, Square, or another processor, and you do not need to switch between platforms to see payments and orders. Setup takes minutes because Shopify already has your bank information.
The trade-off is flexibility. Shopify Payments works only on Shopify stores. If you use a different platform — WooCommerce, BigCommerce, or your own custom site — you cannot use Shopify Payments. You would need Stripe, Square, or another processor that works across multiple platforms.
Transaction rates are competitive but not always the lowest. Stripe and Square sometimes offer lower rates for certain card types or business models, especially if you process high volume. Compare the rates for your specific situation — the difference might be small enough that the convenience of Shopify Payments outweighs it.
Setting up Shopify Payments
To use Shopify Payments, you need a Shopify store, a valid business address in a supported country, and a bank account in that same country. Shopify verifies your identity and business information before activating the account. This process usually takes a few hours to a few days.
In your Shopify admin, go to Settings > Payment Providers. You should see Shopify Payments listed. Click to activate it, then provide your bank account details. Shopify will send two small test deposits to your bank account to verify you own it — you confirm the amounts in your admin to complete verification.
Once activated, Shopify Payments becomes your default payment method. Customers see it as an option at checkout. You can also add other payment methods — PayPal, Apple Pay through other processors, or alternative payment systems — if you want to offer more choices.
What happens if Shopify Payments is not available to you
If Shopify Payments does not work in your country or for your business type, you can use an alternative processor. Shopify supports Stripe, Square, PayPal, and dozens of other payment systems. The setup process is similar — you create an account with the processor, connect it to your Shopify store, and configure it in your admin.
The main difference is that you will see transactions in two places: your Shopify admin and the processor's dashboard. Some processors offer better features for specific use cases — Stripe is strong for subscriptions, Square is strong for in-person sales, PayPal is useful if you already have a PayPal business account.
You can also use multiple processors at once. Some stores use Shopify Payments for most transactions and add Stripe or PayPal as a backup option. This gives customers more choices and reduces the risk that a payment method fails.
Frequently Asked Questions
Can I use Shopify Payments and another processor at the same time?
Yes. You can activate Shopify Payments and also add Stripe, PayPal, or other processors. Customers see all available methods at checkout and choose which one to use. This is useful if you want a backup option or if you accept payment types that Shopify Payments does not support in your region.
What payment methods does Shopify Payments accept?
Shopify Payments accepts Visa, Mastercard, American Express, Discover, and Diners Club credit and debit cards. It also supports Apple Pay, Google Pay, and Shop Pay (Shopify's digital wallet). Some regions support additional local payment methods. Check your admin settings to see the full list for your location.
How long does it take to get paid after a customer buys something?
Funds typically arrive in your bank account within one to two business days. Shopify deposits payouts on a regular schedule — usually every two business days for established accounts. The exact timing depends on your payout schedule and your bank's processing speed. Weekends and holidays do not count as business days.
What happens if a customer files a chargeback?
Shopify notifies you and deducts the disputed amount from a future payout while investigating. You can submit evidence like order confirmations and shipping records to dispute the chargeback. If you win, the money is returned to you. If you lose, the customer keeps the refund and you lose the product or service.
Do I need a separate merchant account to use Shopify Payments?
No. Shopify Payments includes everything you need — the merchant account, payment processing, and fraud tools. You only need a Shopify store and a bank account. This is one reason Shopify Payments is simpler than setting up a processor like Stripe, which requires you to create and manage your own merchant account.