Shopify Payment Gateway Comparison for Indian Merchants (2026)

1. Razorpay — Best Overall

Razorpay is the gold standard for Indian Shopify stores. It supports UPI, debit/credit cards, netbanking, and wallets — everything your customers expect. The dashboard is clean, settlements are fast, and activation takes minutes.

• Fee: 2% per transaction
• Best for: Mid-size to large stores wanting the best all-rounder
• Standout feature: Instant activation, no paperwork

2. PayU India — Highest Card Success Rate

PayU boasts a 93% card transaction success rate — the highest in India. If your customers primarily pay via credit/debit cards, PayU minimizes failed transactions and chargebacks. EMI support is built-in.

• Fee: 2% + GST
• Best for: Stores with high card transaction volume
• Standout feature: 93% success rate, EMI support

3. Instamojo — Best for Beginners

If you're just starting out, Instamojo is the friendliest option. Free setup, built-in invoicing, and a simple onboarding process. You can start accepting payments the same day you install it.

• Fee: 2% + GST
• Best for: New stores, solopreneurs, small catalogs
• Standout feature: Free setup, built-in invoicing

4. CCAvenue — Most Payment Options

CCAvenue supports 200+ payment methods including international cards, multi-currency, and regional Indian options. But this comes at a cost — their fees are the highest on this list.

• Fee: 3-4% per transaction
• Best for: Stores with international customers or diverse payment needs
• Standout feature: 200+ payment methods, multi-currency support

5. Paytm Payment Gateway — UPI-First

Paytm takes a UPI-first approach, which makes sense in India where UPI dominates digital payments. If your audience primarily uses Paytm Wallet or UPI, this gateway converts well.

• Fee: Competitive (varies by plan)
• Best for: UPI-heavy stores, Paytm ecosystem users
• Standout feature: Deep Paytm wallet integration

Verdict

For most Indian Shopify stores, the winning combination is Razorpay as your primary gateway + a UPI-only backup. Razorpay covers 95% of payment scenarios with competitive fees and a smooth checkout. Add a secondary UPI option if your audience skews heavily toward UPI payments.

If you run a high-volume card-based store, switch the recommendation to PayU for its superior card success rate. And if you're just launching, start with Instamojo — you can always upgrade later.