Integrating payment gateways for e-commerce sites, usually require a business to be a registered entity i.e. a sole proprietorship, a pvt. ltd., etc. But here is an option for you to sell online and start accepting online payments even without registering your business. How is that possible? Well, here’s the solution. PayU Paisa is essentially payment gateway solution for individuals and the following is a review of the payment gateway.
Q.How do I accept online payments, if my business is not registered?
A. PayU Paisa is necessarily a savings account payment gateway for individuals. You can start receiving payments on your online store, even if your business is not registered. The only pre-requisite is, you should have a Savings Bank A/C. And you can start accepting online payments on your store in just 48 hours.
Q. What is PayU Paisa?
A. PayU Paisa is a leading online payments solution company in India, which started operations in October 2011. And since then it has grown into the fastest growing consumer payment processor in the online payment space. As of now, PayU Paisa boasts of having more than 1200 merchants on board.
Q. What documents are required to integrate PayU Paisa on the online store?
A. To integrate PayU Paisa on your online store, you only need to submit 2 documents, namely:
- Your Pan Card copy, and
- Your Bank Account proof
Q. What are the different charges levied with PayU Paisa PG?
A. There is absolutely no Setup fee or AMC levied with PayU. The only charge borne by you is the TDR% i.e. Transaction Discount Rate. Details of which are as follows:
| Different Charges | PayU Paisa Payment Gateway |
| Set-Up Fee | 0 |
| AMC | 0 |
| TDR% | 3.2% + Rs.3 |
Q. How do these charges translate per transaction?
A. Given below are 2 examples to help you better understand the per transaction costs that will be borne by you.
| Case A | |
| Transaction Amount | Rs. 100 |
| TDR% | 3.2% + Rs.3.0 |
| Transaction cost | Rs. 3.20 + 3.00 = Rs. 6.20 |
| Case B | |
| Transaction Amount | Rs.200 |
| TDR% | 3.2% + Rs.3.0 |
| Transaction cost | Rs. 6.40 + 3.00 = Rs. 9.40 |
PS. The Rs.3 in the TDR% is the fixed component.
Q. Is the above transaction cost, inclusive of service tax?
A. No, the above costs are NOT INCLUSIVE of service tax.
So when service tax, i.e. 12.36% is levied on the above numbers, the transaction costs are:
| Case A | |
| Transaction Cost | Rs. 6.20 |
| Service Tax | 12.36% = Rs. 0.77 |
| Total Transaction Cost | Rs. 6.20 + 0.77 = Rs. 6.97 |
| Case B | |
| Transaction Cost | Rs. 9.40 |
| Service Tax | 12.36% = Rs. 1.16 |
| Total Transaction Cost | Rs. 9.40 + 1.16 = Rs. 10.56 |
Q. How long does it take the payment gateway to get activated?
A. PayU Paisa offers immediate activation of the payment gateway i.e. within 48 hours of submitting the papers. Unlike other payment gateways which take 15-20 working days. So, for all who need to integrate payment gateways urgently, PayU Paisa seems the viable option.
Q. How does PayU Paisa work?
A. So here’s how PayU Paisa processes the transactions on your store:
- Customer A buys the product from your store and makes a payment
- PayU Paisa receives the payment on your behalf and sends you (the store owner) a notification about the same
- After receiving the notification, you dispatch the product to customer A
- Customer A receives the products
- You enter the Order Received details on your PayU Paisa Merchant Portal
- PayU Paisa sends a notification to Customer A to confirm order received
- PayU Paisa waits for customer to confirm delivery of the products for a period of 3 days. As soon as customer confirms, payment is transferred to your (the store owner’s) bank account. If customer doesn’t cofirm within the 3 days, PayU Paisa still transfers the payment to your account, at the end of 3 days.
Q. How is PayU Paisa different from the other more conventional payment gateways?
A. Like mentioned earlier, PayU Paisa is a payment gateway alternative for non-registered business i.e. individuals with nothing more than an individual savings A/C. Some of the other points of distinction are listed below:
| Conventional Payment Gateways | PayU Paisa Payment Gateway |
| Requires a company to be registered | No company registration required |
| Needs a Current bank A/C in the name of the company | All you need is an individual Savings bank A/C |
| Loads of documents required to get an authorized payment gateway | Just a Savings bank A/C and a PAN Card required |
| 15-20 working days required to activate payment gateway | PayU Paisa is activated on your store within 48 hours |
| Store owner receives payment in T+2 days | Payment is received as soon as customer confirms delivery |
We at Zepo have integrated PayU Paisa for our online stores. So you are all ready set and go to get yourself the complete online store for your brand.
This post was originally published here.
Manish Golchha
Can I use this payment gateway for taking payment for services. Like I am providing service at X cost and client need to pay before getting that service. Can he use this medium.
Tanz
Hey Manish,
Whether or not you can PayU Paisa for services will depend on what kind of service you will be providing. To get the exact picture, I suggest you get in touch with PayU Paisa because at the end they will need to approve the payment gateway.
If you could me some information about the kind of service you have in mind, maybe even I can help. 🙂
Abey John
Sounds great.
Do you support recurring payments?
Nameet Potnis
I doubt they can support recurring payments. The problem is with the RBI requiring a customer to ALWAYS enter his VBV/Securecode. Because of this recurring payments becomes impossible for companies registered in India.
asha chaudhry
hey tanya,
do you know anyone at PayU who can help this rodinhooder?
https://www.therodinhoods.com/forum/topics/urgent-requirement