How Does Dropshipping Payment System Works?

A good product catalogue is not enough to ensure success.

DropShipping systems are a great way to create an ecommerce site without major investments. However, the main factor that determines the success of your ecommerce store is the payment system.

You can satisfy more customers, regardless of whether you’re a supplier or seller.

Here are the top methods that the largest dropshippers worldwide use.


One of the most secure online payment platforms allows you to use this method. You can link your payments to a credit card or debit card or to a bank account. The variable cost is charged by the supplier and can range from 1% to 3.4% (plus EUR 0.35 per transaction). These additional costs are precisely why some suppliers offer it with an extra cost of around 1% on the total invoice (even though this practice is illegal as per the Antitrust Authority or the Consumer Code).

Credit Card

This can be combined with your ecommerce through specific gateways such as Stripe or the PayPal service. The costs may vary depending on the operator, but they will all have monthly fees. These charges are charged to the supplier.

Bank Transfer

Sending a bank transfer is the simplest way to pay. Even though it is the most convenient method of payment, it can delay order evasion by a few days. This is because, except for certain types of special transfers, the crediting of the payment does not occur immediately. Both the seller and supplier will confirm the status of the payment. With the seller taking some risk, it is possible to expedite the order processing by sending the bank transfer receipt.

Money Box

This is a digital piggy bank that will be opened by the seller at the supplier. The piggy bank can be recharged with a bank transfer or credit card. All orders will be processed instantly and the balance will be used to place subsequent orders. It is quick, easy and free of additional charges

Cash on delivery (payment on delivery)

This allows the customer to pay the courier directly in cash. This is the most popular method of payment in certain countries, such as Italy and Bulgaria. However, it is not always approved by suppliers. After weighing the cost of the goods and any additional services, the total order will be paid to the courier.

There are many payment options, all safer and faster than others.

Do you not want to be the best seller in an era when large marketplaces have delivery within a few hours? !

Now that you know what payment options are available, it is time to decide which are safer and cheaper for you and your customers.

DropShipping: Which payment is more affordable for sellers?

Undoubtedly, the “cost” of a payment determines how convenient it is.
Higher “cost” means higher bank fees and lower income.
The bank takes its commission immediately for each collection. This leaves you with a net value lower than what your customer paid.

Example: A customer spends EUR 100.00 on your website to purchase a pair of glasses. Your customer will pay 100.00 EUR once the order has been placed.
However, your account will not have EUR 100.00 as an asset. Instead, bank commission fees (example: 3%) will be deducted from the account. This will result in a net receipt equal to EUR 97.00.

As you can see, the “cost” of a payment is proportional to the amount you collect. Therefore, you should always choose the most favorable payment or the lowest cost on the market.

As mentioned, however, it is not always possible to receive a lower payment as quickly as you would like.

Which payment is the fastest to DropShipping sellers?

Payments made with “credit cards” (PayPal Credit Card, Money Box, and Credit Card) are immediate. However, bank transfers or cash on delivery take longer to receive.
A bank transfer may take up to five days to credit due to the fact that the issuing bank has European or International banking.
Instead, a payment upon delivery can take up to ten days. This is because the courier responsible for sending the payment is also the one who collected the shipment when it was delivered.

The security aspect of payments is last but not least. It is crucial to be aware of the scams and scams that are constantly around.

Which payment is best for DropShipping sellers and how do you make it safe?

It is essential to first trust your common sense. You would not give your money to the first street vendor that you see on the street without knowing the truth and without receiving the goods immediately.
There are many virtual shops on the Internet, and most of them don’t even provide a detailed description of their company. These are not real people, but they wander the internet without any real homes. It is best to be careful and take all precautions to avoid being reported to them.

Although I don’t claim that your store is fake, it is not a fake. I am just trying to help you see that there are many people who have been scammed online.
Trust is the key to Amazon’s success. Trust is a key component of Amazon’s success. Many people shop on Amazon because they trust it. It is important to give your customers every opportunity to trust you.

You can change your mind later, once you’ve gained confidence. But this is another matter, which we will discuss in another article.

In fact, some payments offer fraud protection, while others deter fraudsters.

You can also offer your final customer the option of a “protected”, or “traditional” payment. This will increase your confidence to the exclusion of any additional fees that will undoubtedly be at you expense.

What is the best way to make a sale in DropShipping and what are your options?

This guide is not meant to “unveil the sacred grail”, but rather provides basic information that can be used by dropshippers who don’t have any literacy.

Your customers will choose the payment method you prefer. I will only provide a summary of the possible payment options after I have presented some theoretical concepts.

It is evident that the payment system is not the best. However, it is important to win the trust of potential customers, especially during the initial stages of sales.

DropShipping suppliers: What is the best payment?

The speech for sellers is the same as the seller’s for all payments. If the seller is willing to agree, the “Money Box” is a great payment system. It’s a digital piggy bank that seller opens at supplier to allow for the immediate evasion of orders. Reduce (or eliminate) bank institution fees.

In fact, the seller will load the piggy bank by bank transfer (no fees) and all orders generated by the seller at the supplier will automatically be paid internal without the need to use any additional banks (no fees).

The type of credit (by bank transfer), is an indication that the seller trusts his supplier. However, statistically speaking, suppliers are often large and reliable businesses. Sellers can sometimes be inexperienced or improvised.