Online Payment Gateways – 4 Popular Online Payment Gateways In Nigeria
Online Payment Gateways – 4 Popular Online Payment Gateways In Nigeria
You shouldn’t make online transactions without knowing online payment gateways in Nigeria and how they work. It is not just important to know the different payment methods for online shopping, but also the approved gateways for such transactions.
What Is A Payment Gateway?
An Online Payment Gateway is a digital service that allows businesses to accept, process, and manage payments from customers.
Upon completing a transaction or purchase, a user will be taken to the payment gateway’s website, where they will be required to provide their credit card details and personal data. Following verification, this data will be returned to the company’s website, where the transaction will be finalised.
A payment gateway in Nigeria enables businesses to accept payments via virtual accounts, cards, banks, unstructured supplementary service data (USSD), mobile money, and other methods.
How To Choose A Payment Gateway?
Choosing the appropriate payment gateway that meets your company’s needs is one of the crucial choices you must make to guarantee the success of your enterprise. Here are some of the things to look out for in a payment gateway:
1. Business Size and Transaction Volume: Because API-hosted gateways are more customizable and scalable, they might be a good choice for large businesses with higher transaction volumes.
2. Level of Customisation: The degree of branding and user experience modification that is necessary must be taken into account.
3. Technical Expertise: An API-hosted or self-hosted gateway might be the best option if you have a committed development team with the necessary skills, because you have a team that can manage their complexity.
4. Security and Compliance: For those that operate in sectors with stringent security and privacy laws, a gateway that manages security protocols and PCI compliance may be the best option.
These are just some of the things you should look out for in a payment gateway when making transactions in Nigeria.
Popular Online Payment Gateways In Nigeria
We know you need to be aware of some of these payment gateways. That’s why we have prepared a list of some of the payment gateways in Nigeria. Note that this list was not arranged in any special format. They include the following:
- Paystack
- Rave By Flutterwave
- Monnify
- Squad By GT Bank
Let’s talk about them
1. Paystack
Paystack, which has emerged as one of Nigeria’s top payment gateways, comes first on our list. Paystack, which was founded by Shola Akinlade and Ezra Olubi and was later purchased by Stripe, provides smooth integration choices for companies of all sizes.
All payments received on your website are remitted the following day.
Features:
- Cost: No setup fees.
- Commission for transactions: 1.5% + ₦100 for local transactions, 3.9% + ₦100 for international transactionsRave
- Transaction success rate: near 100% success rate
- Settlement time: The next day
- Payment options: card, bank account, USSD, PoS, Visa QR, mobile money, bank transfer, Apple Pay, Visa QR
- Security: Level 1 PCI-DSS compliant
2. Rave By Flutterwave
Whether you’re just starting up or managing high transaction volumes, they streamline the process by providing safe, smooth solutions tailored to your company.
Along with an integrated mapping tool that eliminates the stress of getting lost while travelling, the Rave wallet also features a geolocation feature that lets users locate retailers worldwide that accept Rave payments.
Features:
- Cost: No setup fees
- Transaction commission: 1.4% for local transactions, 3.8% for international transactions
- Transaction success rate: 100%
- Settlement time: 24 hours
- Payment options: Bank transfer, bank account, mobile money, PoS, Visa QR, card, etc
- Security: PA DSS & PCI DSS Compliant
3. Monnify
One of Nigeria’s top fintech startups, Moniepoint, developed the Monnify payment gateway. Monnify is used as a payment gateway by well-known companies such as Bankly, Thrive Agric, and Cowrywise.
It is a comprehensive electronic payment service provider that gives businesses the ability to process payments in a more convenient, safe, and straightforward manner.
Features:
- Cost: free
- Transaction commission: 1.5%
- Transaction success rate: Not stated
- Settlement time: The next day
- Payment options: USSD, card, Internet transfer
4. Squad By GT Bank
With Squad developers get access to a special infrastructure that facilitates simple integration opportunities, allowing them to design incredible payment experiences for their customers.
Squad has different transaction fees for different payment ways and doesn’t charge a setup fee.
Features:
- Cost: No setup cost
- Transaction commission: 0.1% for virtual accounts, 1% for USSD and payment links, 3.5% for international payments using a payment link, and 0.25% for SquadPOS transactions.
- Transaction success rate: N/A
- Settlement time: The next day
- Payment options: cards, transfers, USSD
- Security: PCI DSS compliant
Conclusion
Being knowledgeable about the payment methods and payment gateways in Nigeria can be of great help to you when making transactions.
Transactions that come in different volumes can be verified and confirmed to be legal.
This protects your transaction and account from fraudulent activities.
In our next post, we will look at how to register and use Paystack. We hope this content was helpful to you.


















