We bet you agree that today quick and easy payments are essential. Especially for fintech companies. As they need to make it simple for their customers to pay, and that means having a smooth payment process.
Payment aggregators can help in this case!
They act like a middleman, connecting businesses with different payment methods. This makes it easier for businesses to manage payments from various providers in one place, making the experience better for customers.
For fintech companies, a good payment aggregator can boost customer satisfaction, make operations more efficient, and open up new markets. But choosing the right one can be tricky, especially in Europe where payment rules and preferences vary from country to country.
In this article, we’ll look at the top payment aggregators in Europe and provide step-by-step instructions for different countries. Whether your business is in Germany, France, Eastern Europe, or elsewhere, we’ll help you simplify your payments and grow your business.
THE ROLE OF PAYMENT AGGREGATORS
IN MODERN FINTECH BUSINESS
We’ve mentioned above that payment aggregators are like middlemen in the world of fintech. They connect businesses to many different payment methods, such as credit cards, bank transfers, e-wallets, and even cryptocurrencies. This way, companies don't have to partner with each payment provider individually - it’s better to use a payment aggregator.
Instead of dealing with many different contracts, systems, and rules, companies can use one platform to handle all their transactions. This also benefits customers, who get a smoother payment experience with fewer problems and more ways to pay.
The key advantages of payment aggregators are:
➕ Scalability
Would you like to enter a new country or offer more payment options? These platforms have the tools to help you adapt quickly. You won't need to worry about complex integrations, making the process much smoother.
➕ Efficiency
Aggregators simplify payments by handling everything in one place. This saves time and money, and makes it easier to track spending.
➕ Enhanced customer experience
Making the checkout process easy is key to keeping customers happy. By offering many ways to pay and ensuring reliable service, payment aggregators make it simple for customers to finish their purchases.
Modern fintech companies are relying on payment aggregators more and more. These aren’t just tools; they’re partners that handle the complicated world of payment processing. This lets fintech companies focus on what they do best: innovation. It’s no surprise that more and more companies are turning to aggregators.
KEY CRITERIA FOR CHOOSING THE BEST PAYMENT AGGREGATOR FOR YOUR FINTECH COMPANY
Choosing the right payment aggregator is a big decision for any fintech company, especially if you’re doing business across Europe.
Most payment aggregators offer similar services, but what sets them apart is how well they can adapt to the unique needs of businesses and customers in different countries.
Here are the key things to look for when choosing a payment aggregator:
✓ Reliability & performance
A reliable payment aggregator is crucial for uninterrupted service. European customers demand seamless and secure transactions. It's essential to choose an aggregator with a proven history of reliability. Make sure the aggregator has strong systems that can handle a lot of transactions, especially in countries like Germany and Sweden where many people pay digitally.
✓ Ease of integration
Integrating a payment aggregator can slow down your launch. Choose an aggregator with easy-to-use APIs, clear instructions, and plugins for popular platforms. This is especially important for startups in tech-forward countries like Estonia and the Netherlands, where speed is key.
✓ Regulatory compliance
Europe has strict rules for businesses, especially those dealing with money. Laws like PSD2 and GDPR, as well as country-specific regulations, govern how payments are handled. It's important to make sure your aggregator follows all these rules in every country where you do business. For instance, in France, aggregators must use strong security measures to verify customers' identities. In Poland, there might be special rules about what information needs to be reported.
✓ Scalability
As your fintech company expands, your payment aggregator should keep up. Choose a solution that can handle multiple currencies, languages, and payment methods. This will make it easier to enter new European markets smoothly. Scalability is especially important in diverse markets like Spain, where people prefer local options like Bizum alongside global payment methods.
✓ Customer support & SLAs
Great customer service is really important, especially when it comes to things like payments. Make sure the payment processor offers help 24/7 in different languages. This way, customers can get help whenever they need it, no matter where they are. A good service level agreement (SLA) will also help. This is a contract that sets clear expectations for how quickly the processor will respond to issues, how often their service will be available, and what will happen if they don't meet these standards.
✓ Market-specific features
Payment preferences vary greatly across Europe. For instance, Germans often prefer direct bank transfers (SEPA). So, a payment aggregator that’s good at handling SEPA payments is essential for businesses there. In Italy, many people still like to pay with cash-based solutions like MyBank. And in Eastern Europe, offering popular local payment methods like PayU or WebMoney can give businesses a competitive edge.
By taking these factors into account, fintech companies can select a payment aggregator that aligns with their present and future goals.
UNDERSTANDING FEES & COMMISSIONS
Choosing the right payment aggregator is a big decision for any fintech company. One of the most important things to think over is the cost. Payment processing fees can eat into your profits, especially in Europe where costs can vary a lot. Let’s break down the main types of fees you’ll see and how to handle them wisely.
Types of fees
✓ Transaction fees
Most fintech payment aggregators charge a fee for each transaction. This fee is often a % of the transaction amount + a fixed amount. For example, PayPal charges 2.9% plus €0.35 per transaction in many European countries. Adyen, on the contrary, offers a flexible fee structure based on your transaction volume. This can include additional fees for specific payment methods, such as SEPA in Germany or iDEAL in the Netherlands.
✓ Setup costs
Not all payment aggregators charge the same. Some, like Authorize.Net, might have a one-time fee to get started. Others, like Stripe and Braintree, usually don't charge this fee to attract new businesses.
✓ Subscription charges
Some platforms, like Payoneer (Optile), charge monthly or yearly fees for extra features like detailed reports or international payments. These fees are often appropriate for growing fintech companies.
✓ Cross-border fees
When you process payments in different countries, there can be extra costs. For instance, Worldpay charges fees to convert currencies for transactions that aren't in the local currency. This can add up if your fintech company does business in many European countries.
Payment costs can vary greatly between European countries, depending on popular payment methods and local banking rules.
For instance:
- In France, credit card fees might be a bit higher due to specific agreements with French banks.
- In Eastern Europe, top 10 payment gateways like PayU or Mollie often offer good rates to tap into growing markets. However, they may charge extra fees for less common local payment methods.
Tips how to manage fees
- Save money with high volume
If your business processes a lot of payments, you might be able to get a discount on fees. Companies like Checkout.com and Adyen, considered the biggest payment gateways, are known to cut deals for bigger businesses.
- Look for clear pricing
Pick a payment aggregator that shows you exactly what you'll pay upfront. Mollie, for example, makes things easy by listing all their fees with no hidden surprises. This helps you plan your budget accurately.
- Know your country's rules
Different countries have different payment laws that can affect fees. For example, using "Buy Now, Pay Later" options might cost more in some countries if you partner with local companies like Klarna. This is because they need to follow specific rules and guarantee customer satisfaction, which adds extra costs.
SUPPORTED PAYMENT METHODS & CURRENCIES
To win over European customers, it's crucial to offer a wide range of payment options and currencies. People in different countries have different ways they like to pay, so it's important to adapt to their preferences. This can really boost customer satisfaction and sales.
Let's look through some great examples of payment fintech companies that do this well.
Offer your customers many ways to pay
Today's shoppers want lots of ways to pay. While credit and debit cards are still popular across Europe, other payment options are becoming more and more common:
✔️ Digital wallets
Services such as Apple Pay, Google Pay, and PayPal are widely spread in Western Europe.
✔️ Direct bank transfers:
Methods like SEPA (in the EU) and SOFORT (in Germany) let people pay directly from their bank accounts.
✔️ Local favorites:
People in the Netherlands often use iDEAL, while Belgians prefer Bancontact.
Best payment gateways like Adyen and Mollie are great choices for businesses that want to reach customers in many European countries. They support a wide variety of local payment methods.
Selling across borders
If your business deals with customers from different countries, you'll need a payment service that handles multiple currencies. This means accepting not just Euros, but also currencies like British pounds, Polish złotys, and Swedish kronor. With multi-currency support, your customers won't get charged extra fees to convert their money, and they'll have a smooth checkout experience.
For companies selling globally, Stripe is a great option. It automatically converts currencies and lets you set prices in over 135 different ones.
Checkout.com is another strong choice, especially if you're expanding across Europe. They handle many different European currencies, even the less common ones.
What works best in Europe
Nordic Countries: People in Sweden, Denmark, and other Nordic countries love using their phones to pay. Apps like Swish and MobilePay are very popular. Payment gateways like Klarna and Adyen help businesses accept these digital payments.
Central and Eastern Europe: While some people still like to pay with cash when they get their order, more and more people are using digital wallets. Companies like Payoneer (Optile) are good at handling both cash and digital payments in these countries.
Southern Europe: Credit cards are still the most common way to pay in Southern Europe. Payment processors like Braintree make it easy for businesses to accept credit card payments.
Fintech companies can make life easier for their customers by offering many different payment options and supporting various currencies. This helps them reach more people and grow their business across Europe. By choosing a payment aggregator that can handle all of this, fintech companies can save time and money while keeping their customers happy.
GEOGRAPHIC COVERAGE & MARKET REACH
Europe is a complex market with many different countries and regulations. To grow your fintech business across Europe, you need a gateway payment system that can handle payments in many different countries.
Biggest payment processor importance of a local touch
If you're doing business across Europe, it's important to understand how people pay in different countries. Local knowledge can make a big difference.
Why local matters:
- When payments are processed locally, they're often quicker.
- Companies that are well-established in a country are better at dealing with local regulations.
- Customers are more likely to use payment methods they know and trust.
Finding the right partner for your region
The best payments companies for your fintech startup depends on where you operate. Here's a quick guide to some top players in different regions:
Western Europe (Germany, France, UK):
Tech-savvy startups: Stripe shines with its easy-to-use developer tools, letting you connect to both local and global markets smoothly.
High-volume businesses: Worldpay handles large transaction volumes with ease and supports a wide range of payment methods.
The Nordics (Sweden, Finland, etc.):
Mobile payment champions: Klarna, a Swedish giant, integrates seamlessly and offers popular options like "Pay Later" for Nordic customers.
Mobile-first support: Checkout.com excels at supporting mobile payment methods preferred in these countries.
Central and Eastern Europe (Poland, Hungary, etc.):
Crossing borders: Payoneer (formerly Optile) is ideal for managing international payments, focusing on cross-border transactions.
Local favorites: Mollie simplifies integration with local payment methods like Przelewy24 (Poland) and QR code payments.
Southern Europe (Italy, Spain, Portugal):
Small businesses welcome: Braintree provides a variety of payment options and user-friendly tools for smaller fintech companies.
Complex operations made easy: Adyen tackles complex payment needs in these markets, offering both global reach and local expertise.
❗Remember: This is just a starting point! Research different aggregators to find the one that best fits your specific needs and region.
By choosing a payment aggregator with a wide reach, fintech companies can:
- Quickly enter new markets, launch your services in new countries with minimal hassle.
- Build customer trust, offer payment methods that are familiar and convenient to local customers.
- Scale efficiently, grow your business while staying compliant with local regulations.
ADDITIONAL FEATURES & INTEGRATIONS
Payment aggregators can do more than just process payments. They offer extra tools and services that can make your fintech business run smoother and more securely. These added benefits, like enhanced security, valuable insights, and easy integration with your existing systems, are essential for success in today's competitive European fintech market.
Keeping your business safe and informed
In Europe, with so many purchases happening across borders, catching fraud is essential.
* Adyen uses fancy computer programs (machine learning) to find suspicious transactions in real-time, stopping fraudsters before they can steal money.
* Checkout.com offers strong anti-fraud tools that work well for different businesses and follow the latest European security rules (PSD2 and SCA).
Good reports help businesses see how well they're doing and make smarter decisions.
* Stripe gives a clear overview of your fintech payment system performance, including how many transactions happen, how often they fail, and what your customers are buying across different regions.
* Worldpay lets you customize reports so you can find trends and improve how payments flow through your business.
Making subscriptions easy
If your business offers memberships or subscriptions, managing those payments smoothly is important.
* Braintree is great at handling subscriptions with built-in tools that manage payment schedules and what happens if a payment fails.
* Mollie makes recurring payments simple, making it a good choice for new businesses in countries like the Netherlands or Belgium.
Connecting the dots: easy integration
Making sure your fintech payment system works well with your existing tools is key to running things smoothly. Here's how some popular options stack up:
⚙️ For E-commerce powerhouses
If your business uses platforms like Shopify or WooCommerce, giants like PayPal and Braintree are a great fit. They integrate smoothly, saving your time and avoiding headaches.
⚙️ Building your own system
Starting a fintech company from scratch? Galileo might be your best friend. They let you build custom integrations, so your payment system fits perfectly with your unique plans.
⚙️ Keeping things simple for established businesses
For smaller businesses or those already using established software, Authorize.Net is a good option. It integrates easily with older systems, so you don't have to overhaul everything to start accepting payments.
TOP 10 PAYMENT AGGREGATORS FOR FINTECH COMPANIES
When a fintech company is looking for a payment platforms, they should ask yourself:
❓ Can it grow with us? The payment system should be able to handle more business as the company expands.
❓ Is it easy to set up? The integration process should be smooth and hassle-free.
❓ Does it work in the markets we're in? The fintech payment processor should be able to process payments in the countries where the company does business.
Here are 10 top best online payments services that are popular in Europe:
💰 PayPal
A global giant that allows sending & receiving money in over 200 countries and 25 currencies.
➕ It's simple to set up and use. PayPal helps protect buyers from fraud and unauthorized transactions. It has advanced fraud detection systems to keep your money safe.
✅ PayPal is an excellent choice for fintech companies that want to reach customers worldwide, especially those selling products or services online.
💰 Payoneer (Optile)
A global payment partner is a popular choice for businesses that deal with customers and suppliers around the world. It offers a simple way to manage international payments.
➕ Easy-to-use APIs. It holds and transfers money in multiple currencies. Strong local support.
✅ New businesses can easily set up international payments. If you have customers in many countries, Payoneer can help you get paid quickly and efficiently.
💰 Galileo
A powerful tool for fintech companies looking to build their own custom payment solutions. It’s known for its user-friendly APIs, which allow businesses to easily integrate payment features into their apps and websites.
➕ Galileo lets you tailor payment solutions to your specific needs. You can issue your own branded debit cards. Galileo processes transactions quickly and efficiently.
✅ If you’re a fintech startup that wants to get to market quickly and offer unique payment experiences, Galileo is a great option. Its flexible and scalable platform can help you grow your business.
💰 Stripe
A developer’s dream for businesses that want to build custom payment solutions. It's known for being easy to integrate into your website or app, thanks to its user-friendly APIs.
➕ Stripe supports payments in many countries, making it ideal for businesses that want to expand internationally. You can customise Stripe to your own needs. No matter if you're a small startup or a large enterprise. Stripe takes security seriously, protecting both you and your customers.
✅ If you're a tech-savvy company that wants to offer innovative payment options, Stripe is a great choice. It's especially well-suited for fintech companies (provides the tools to build complex financial products), e-commerce businesses (makes it easy to accept payments online), subscription-based businesses (can handle recurring payments and subscription management).
💰 Square
A simple solution designed to make it easy for small businesses to accept credit and debit card payments. It's known for its user-friendly interface and transparent pricing.
➕ Get started quickly with minimal technical knowledge. Accept payments on the go with your smartphone or tablet. Understand exactly what you're paying.
✅ If you're a new or small business, Square offers a straightforward solution to get started. Square's point-of-sale system is perfect for in-store sales. If you're a freelancer or consultant, Square can help you process client payments.
💰 Adyen
A popular payments platform for businesses that want to expand globally. It offers a single platform to manage all your payments, no matter where your customers are.
➕ You can manage all your payment methods, from credit cards to digital wallets, in one place. You can track your sales and payments in real-time, so you can make informed decisions about your business. You can accept payments in multiple currencies, so you can do business with customers around the world.
✅ Adyen is a great choice for businesses that need a robust and scalable payment solution. It's especially well-suited for large enterprises that operate in multiple countries.
💰 Mollie
A simple solution for businesses that want a hassle-free way to accept payments. They're especially good for smaller companies and startups that are just getting started.
➕ Getting started with Mollie is quick and easy. They support a wide range of local payment methods, which is perfect for businesses that operate in multiple countries. Mollie offers competitive pricing, especially for smaller businesses. You'll be 100% sure what you're paying for, without hidden fees.
✅ If you're a young fintech company looking to expand into new markets, Mollie is a great option. It's a simple and affordable solution for managing payments across different countries.
💰 Braintree
Backed by the financial giant PayPal, Braintree provides a versatile range of payment tools for businesses of all sizes.
➕ Has features like recurring billing, support for popular digital wallets, and customisable APIs.
✅ Braintree is a great choice for companies that: need to automate recurring payments and manage customer subscriptions efficiently. Want to offer seamless mobile checkout experiences to their customers.
💰 Authorize.Net
Authorize.Net has been processing payments for over 20 years, so they know what they're doing. They're known for being reliable and secure, which is a big deal for any business.
➕ They offer some handy features like tools to catch fraudsters, easy ways to send invoices, and a dashboard that's simple to understand.
✅ Makes them a good fit for small and medium-sized fintech companies that want a secure and user-friendly payment processing solution.
💰 Checkout.com
It is a payment processing company known for its cutting-edge technology. They offer a wide range of features that are perfect for modern fintech companies.
➕ Checkout.com has powerful APIs (think of them as instructions for computers) that make it simple to connect their services to your business. They provide real-time data on your transactions, so you can always stay on top of things. It uses PROtools for preventing fraud, and keeping your business and your customers safe.
✅ If you're a new fintech startup looking for a data-driven payment solution with the latest tech, Checkout.com could be a great fit.
RECOMMENDATIONS FOR DIFFERENT TYPES OF
FINTECH COMPANIES
When choosing a payment partner, fintech companies should pick one that fits their business model and the markets they serve. Here's a guide to help fintech companies in Europe find the right payment aggregator.
📍 Payment aggregators for local-only fintech companies
If your fintech company is focused on a specific country or region, it's important to offer payment methods that people are used to.
What to look for in a payment aggregator:
* Local payment methods
Your aggregator should support the most common payment methods in your target market.
* Understanding local rules
Your aggregator should know the specific rules and regulations of your market to avoid legal issues.
* Simple pricing
Look for a pricing structure that's easy to understand and that works for smaller businesses.
Top choices for local markets:
- Mollie is a great choice for European startups and small businesses. It supports a wide range of local payment methods and is easy to set up.
- Square is a popular option for small businesses that want to accept payments in person or online. It's user-friendly and has a simple pricing structure.
📍 Payment aggregators for international fintech companies
Businesses that operate in multiple countries need payment processors that can handle different currencies and payment methods. These processors should be flexible and able to grow with the business.
Here are some important things to consider when choosing a payment processor:
* Multiple currencies
It should support many different currencies and offer competitive exchange rates.
* Global compliance
It should follow the rules and regulations of different countries.
* Fast transactions
It should propose a global network in order to process payments fast.
Here are some popular payment processors for international businesses:
- Stripe is a great choice for growing businesses that want to easily integrate payments into their website or app. It supports many countries and offers a variety of payment methods.
- PayPal is a famous and trusted largest payment gateway. It's a good option for businesses that want to reach customers around the world.
- Adyen is an all-in-one payment platform that helps businesses manage their global payment operations. It offers a variety of features, including fraud prevention and risk management.
📍 Payment aggregators for subscription-based fintech companies
Subscription-based fintech businesses rely on strong, reliable tools to handle recurring payments and customer management.
These tools must be able to:
* Automate billing
Send out invoices automatically, ensuring timely payments.
* Track subscriptions
Keep tabs on active subscriptions, upgrades, downgrades, and cancellations.
* Handle multiple currencies
Support customers from around the world.
* Customise plans
Offer flexible subscription plans to meet diverse needs.
Top payment processors for subscriptions
Here are two popular payment processors that excel in subscription management:
- Braintree offers a user-friendly platform for handling recurring payments. It's great for businesses of all sizes, from startups to large enterprises.
- Stripe provides robust tools for creating and managing complex subscription plans. It's a popular choice for businesses that need a high degree of customization.
TIPS FOR CHOOSING THE OPTIMAL FINTECH AGGREGATOR FOR YOUR FINTECH BUSINESS
Selecting the right payment aggregator is crucial for the success of any fintech startup. Here are some key factors for you to consider:
1. User-friendliness
Opt for platforms that offer developer-friendly APIs, clear documentation, and easy integration.
2. Cost-benefit analysis
Carefully evaluate the fees associated with different platforms, such as transaction charges and subscription costs.
3. Reliability and performance
Before making a decision, read reviews and case studies to gauge the reliability and performance of potential aggregators.
4. Local market focus
If you're targeting European markets, consider aggregators that offer robust local payment options and deep regulatory expertise.
5. Seek expert guidance
To streamline the selection, integration, and optimization process, consider partnering with Patternica. They can help you choose the best payment platform for your specific needs and ensure smooth scaling and compliance.
CONCLUSION
Choosing the right payment aggregator is essential for fintech businesses in Europe. These aggregators act as middlemen, simplifying payments for both businesses and customers. They offer a variety of benefits, including scalability, efficiency, and an enhanced customer experience.
However, with many options available, selecting the best one can be tricky. Fintech companies should consider factors like reliability, ease of integration, regulatory compliance, scalability, customer support, market-specific features, supported payment methods and currencies, geographic coverage, and additional features.
We tried to create a helpful guide for you, outlining key considerations and recommending top payment aggregators for different types of fintech companies. By carefully evaluating these factors, fintech businesses can choose the optimal payment aggregator to support their growth and success in the European market.
To streamline the selection, integration, and optimisation process, consider partnering with Patternica. Our experts can help you choose the best payment platform for your specific needs and ensure smooth scaling and compliance.