best payment gateways in india in 2020

5 Best payment gateways in India with no setup fee for small business in 2020

Have you just set up a small E-commerce store or want to sell digital products from a website?

Exploring chrome, for the best cheapest payment gateways in India for your Small Business with no setup fee.

See, India is getting digitized with a lightening pace.

Today consumer is much more aware and takes purchasing decisions wisely.

Exposure to the internet has diverted a large chunk of the customers towards online shopping.

In order to sell online, one need a secure & safe E-payment method.

Don’t worry, This is 2020.

There is a huge list of payment gateway providers in India.

But the question is, as I have just started, I would look for a cheap and safe online payment options to keep my expenses as low as possible.

So here is the solution.

I have summed up some best cheapest (almost free) online payment gateways with no setup and annual fees, available in India for small business.

See, the list I have prepared is my own experience as an E-commerce seller.

I understand the pain an online marketer goes through in his initial phase without proper guidance.

But, you just choose one from the given list of payment gateways especially available for startup in India.

But before you approach an E-payment service provider, look for these five things first

Things to consider before choosing a payment gateway

Visit their official website, Hover over their pricing tab option on the menu and look for these five costs.

# Setup Fees:-

setup fees, consists of three types of cost.

  1. One Time Setup Fees
  2. Annual Setup fees charges
  3. TDR (Transaction Discount Rates)

Nowadays Most payment gateway providers do not charge one time and annual setup fees.

If you have just started, I would advise, look for those which does not charge the first 2 costs.

TDR very, this is where you can play, Choose, the payment gateway with lowest TDR per transaction.

However, do not compromise with services, because there is nothing free kind of thing in this world.

Everything has cost.

That’s what I will guide you, how to choose the best payment gateway in terms or lowest charges with world-class services in India.

# Time for Approval

There are certain payment gateway provider who instantly allow you to take payment online.

But can not transfer payment to your bank accounts until you submit the required documents.

# User Interface (Dash Board)

Merchant is provided with a dashboard, where one can manage all kinds of things by own.

It should be simple to use and full of advance option.

# Payment Options

check availability of all kinds of e-payment option such as Debit, credit card, net banking, wallets and UPI.

Hottest payment option are UPI and wallets.

check availability of all popular UPI & wallet options such as Paytm, Bhim, google pay, etc.

# Paperless Approval

See, now a days there is no need to submit hard copy of the documents. Now payment gateway providers offer paperless approval.

It is fast and furious, just upload PDF file of required documents on their server and boom.

You are approved, congratulation.

# settlement Period

See, settlement time is also very important, some providers take too much time to transfer funds into a bank account.

My Advice is go with those which approved you at most 48 hours just after submitting all documents.

# Support

See, softwars are man made. sometime due to server break down you might face some issues. Here is the support plays a major role.

Check whether they have, following support available

  1. Voice support
  2. Chat support
  3. social media support

How to get a payment gateway in India

If you are selling small digital products with low price, You would be instantly approved.

But, If you are selling online courses, running Ecommerce website, You must have GST Number.

Following Documents would be required.

  1. Pan Card,
  2. Address Proof,
  3. Identity Proof,
  4. GST Number

So here is the list of top payment gateways in India with no setup fees and lowest TDR (transaction charges) in 2020.

Best Payment Gateways in India for startup in 2020

I am numbering this list with top favorable to lowest one. Choose one of them that suits your requirement.

#1. CashFree Payment Gateway

cheapest payment gateways in India with no setup cost

Cashfree payment gateway is one of my favorites. Apart from zero setup fees they charge the lowest TDR in India.

You can go with it blindly. Awesome support, all payment options available including advance features that I will discuss with you in the next section.

Our main concern is pricing let’s discuss it first.

Pricing of Cashfree payment gateway

Setup fee – Zero

Annual Maintenance fee – Zero

Transaction Charges – At present cash free offering 1.75% flat TDR on first come first bases till 30th Sept.

However charges very 1.75% on the following payment modules

2.5% TDR on paylater & cardless EMI given below payment modules

3.5% + Rs. 7 per transaction on International Cards

2.95% per transaction on Diners Club, American Express

Integration of standard payment gateway charges are applicable on PayPal and Paytm.

other Features

  • Next-Day settlement
  • International payments in 30 currencies
  • Instant Refunds
  • Dedicated Account manager
  • can be connected with Juspay
  • paperless and same day onboarding
  • E-commerce plugins
  • Easy to use Dashboard

Great Refund feature (CashGram)

Biggest Issue in running online business is the refund.

CsshFree has made it very simple through CashGram.

Merchant can send a weblink to the cosutmer.

User, enters their accounts details (UPI, bank A/c or PayTm).

Payout is received in their preferred account, instantly.

#2. PayKun Payment Gateway

Paykun also the cheapest payment gateway for a small e-commerce store, websites/apps in India.

offers mostly all kinds of payment options debit/credit card, wallets, UPI, etc.

Prices of Paykun Payment gateway

  • Setup Fees – Zero
  • Annural Charges – Zero
  • Hidden Charges – Zero

Transaction Discount Rate

1.75% per transactions

  • Indian Debit Cards
  • Net Bankings
  • UPI,
  • Wallets including Freecharge
  • Mobikwik

2% per transactions

  • Indian Credit Cards
  • Paytm Wallets

3% per transactions

  • International Credit Cards
  • Diners
  • Amex Cards
  • JCB


  • Voice
  • Email
  • Chat

Other Features

  • Approval in a few hours
  • No physical paperwork
  • Easy integration with website and apps
  • Easy Refund
  • can create payment button through embedded code
  • User-Friendly Dashboard
  • Great support
  • best for small website and apps
  • easily integrate with all e-commerce platform

#3. Razorpay

Razorpay payment gateway is the most popular gateway among small medium
Enterprises and startups.

I am also using it on my one of the ecommerce website.

See, However it is a little bit costly than compare to cashfree and paykun.

But it’s instant activation attracted a lot online marketers.

Just create the account and you are good to go. Documentation process can be
done later.

Charges of Razorpay

Setup Fee – Zero
Annual Fee – Zero
Hidden Charges – Zero

Transaction charges

2% charges

Indian Debit/credit cards, Net Banking (58 Banks) UPI, Wallets including
Freecharge, Mobikwik etc.

3% charges

Diner/Amex Cards, International Cards, EMI


  1. Email
  2. Chat
  3. Call Support

Other Features

  • Paper-less activation
  • User friendly Dashboard
  • Flash Checkout


All E-commerce platform, WordPress, mobile apps etc.

#4. Instamojo

A single payment gateway platform loved by freelancers and website which sell digital products is Instamojo.

This E-payment provider also has inbuild online store free of cost where
one can list digital products and can collect payments.

Apart from it, Instamojo supports all kinds of domestic cards and wallets.

It also supports International and American Exress cards but only on request.

Charges of InstaMojo

  1. Setup Fee Zero
  2. Annual Fee Zero
  3. No Minimum Transaction required
  4. No Hidden Charges

Transaction Charges

2% + Rs. 3

All Domestic Debit/Credit cards, wallets, UPI

EMI facility Avaiable

It also supports EMI option through e-paylater

5% + Rs. 3

If you are selling Digital Products & files it charges 5% + Rs. 3 per

International Transaction

Available on Demand

Other Features

  • Time to get Started – 3-5 Minutes
  • Cost of Integration – Nil
  • Copy-paste Payment Buttons – Yes
  • Online Store – Yes
  • Transaction Failure Prevention – Yes
  • Real-time sales Reporting – Included
  • Payment Links – Yes
  • Integration with SMS, Whatsapp & Social Media – Yes

#5. Payu

Payu payment gateway, earlier known as Payumoney, has been a favorable payment gateway among digital marketers for a decade.

Hassle free joining and quick approval makes it a top choice.

support available for all kinds of application, ios, android, windows web/app etc.

Payu Payment Gateway Charges:-

Fixed Charges of Payu

  1. Setup Fee Zero
  2. Annual Fee Zero
  3. No Minimum Transaction required
  4. No Hidden Charges

For domestic and International card if transaction happen in India

Flat 2% + GST (18%) for each transaction

American Express & Diners Cards

3% + GST

EMI payment Chrages

Setup Fees + Annual Maintenance Charges (AMC) + 3% + RS 6 for every transaction

For International Transaction

Setup Fees + Annual Maintenance Charges (AMC) + 3% + Rs 6 per transaction

Online Platform supported by Payu (Payumoney)

  • Website
  • Mobile App, android, windows, ios
  • Ecommerce website + Payments
  • All major e-commerce supported

Types of Payments collection

  • QR Code
  • Whatsapp/SMS/Instagram/Facebook
  • Blogs/Web Pages
  • Professional Invoices
  • Excel Sheets

Key Features of PayUmoney

  • Domestic/International payment supported
  • Debit/credit card supported
  • visa/MasterCard/Diners/Amex Credit Cards
  • all wallets and UPI
  • EMI option Available
  • withdrawl fees zero
  • settlement days T+2 days
  • Just after creating account can collect payment

Other Features

  • Pay Multiple Customers/vendors
  • Works on bank holidays
  • Personalised Notifications
  • Enable Recurring Payments
  • Customize our templates
  • Accept all payment options

Costumer Support

  • Voice
  • Email
  • Chat


See, you can choose any one of them. All are the best options to go with. But If you want instant approval within a second just you enter your email address and set a password.

You can go with Razorpay. Because You can start transaction within a go.

I am recommending it because when I started Razorpay was my saviour.

Razorpay is very supportive to the new businesses.

Which is the cheapest payment gateway in India (2020)?

See, Cheapest in terms of no setup and no annual fees and lowest TDR are Cashfree, and Paykun. Both two has the lowest TDR for Domestic Indian Card.

Is there any free payment gateway in India (2020)?

the answer is no, yes there are few payment gateways they do not charge setup and annual fee but transaction charges are must to be charged without it they can not meet their business expenses.

which payment gateway is best in India?

As far as services are concerned for small online businesses, I would go with Cashfree, and Razorpay because they are very flexible and approved new businesses instantly. Apart from Cash free has all features an online marketer required. 1st vote for Cashfree and 2nd to Razorpay.

Which is the Best payment gateway in India with no Setup fee?

With boom in the digital marketing in India, payment gateway has become a necessity. New Payment gateway company’s are coming in the market. In 2020 a lot of new company do not charge setup and annual fee. Among them are Cashfree, Paykun, Razorpay, Payu, Instamojo etc

Which is the cheapest payment gateway to sell digital marketing products?

If you are selling digital products and do not have any website Razorpay, and Payu are the best option.

If you like my effort, share it with your friends on your social Media. It motivate me to share more such stuff in future. Because sharing is caring

Further reading:-

Top 20 Adsense alternative in 2020

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