How to manage payment methods in Magento?

When you run an online merchandising business it is very important to provide your customers with various payment methods, so they can choose the one that best fits their needs.

In this section of our tutorial we will show you how to manage the payment methods in Magento and also describe the difference between the most commonly used ones.

To review the available payment gateways in your Magento store you need to access its administration area and navigate to Stores > Settings > Configuration:

How to manage payment methods in Magento?

Next go to Sales > Payment Methods:

How to manage payment methods in Magento?

On the new page you will be able to see the available payment methods:

How to manage payment methods in Magento?

In order to help you understand the basics of the available payment options we will now explain them one by one.

In Magento, as in most of the eCommerce applications, there are two major types of payment gateways – offline and online.

Let us start with the offline ones. In Magento there are two such methods – Cash On Delivery (COD) and Check/Money Order.

 

– Cash On Delivery – this is an appropriate solution for orders which will be collected from your physical store or such that the delivery address is near around you. It is not applicable for remote geo-locations, such as remote states or countries. Using this method will allow the customer to pay the product when he receives it and then the delivery agent will forward the money to you.

To configure COD you need to expand the corresponding menu on the Configuration page which we have mentioned above:

How to manage payment methods in Magento?

The options you need to configure here are the following:

Enabled – here you need to specify if this payment method is enabled or not.
Title – this is the name of the payment method that the customers will see.
New Order Status – set this option to Pending, so the order will stay with this status until the payment is confirmed.
Payment from Applicable Countries – here you need to specify the countries from which the customers can use this payment option.
Payment from Specific Countries – you can use this option to set only certain countries as applicable.
Instructions – here you can add information concerning the COD payment for your customers.
Minimum Order Total – here you can set the minimum amount which is required for making a COD payment.
Maximum Order Total – this is the maximum amount which qualifies for COD payment.
Sort Order – here you can set the sequence in which the COD is listed with other payment methods. The lower the value is, the higher position you get. (0 – first, 1- second…)

 

– Check/Money order – this is another example of offline payment in which the customer provides you either with a check or a bank statement. However the payment needs to be verified by contacting the corresponding bank by your side.

How to manage payment methods in Magento?

To configure this method you need to set the following options:

Enabled – here you need to specify if this payment method is enabled or not.
Title – this is the name of the payment method that the customers will see.
New Order Status – set this option to Pending, so the order will stay with this status until the check is received.
Payment from Applicable Countries – here you should specify the countries from which the customers can use this payment option.
Payment from Specific Countries – you can use this option to set only certain countries as applicable.
Make Check Payable To – this is the person or company to whom the check should be payable.
Send Check To – your address.
Minimum Order Total – here you can set the minimum amount which is required for paying by check.
Maximum Order Total – this is the maximum amount which qualifies for check payment.
Sort Order – the order in which this payment method will be displayed.

 

We will now proceed with the Online Payment Methods.

The first one is probably the most commonly used one on a global scale – PayPal.

 

– PayPal – it is an online payment method that allows your customers to pay using their PayPal account, which is connected to a credit/debit card. In order to configure your PayPal payment gateway properly we advise you to check out the official Magento documentation, concerning this matter, which is available here.

 

– Braintree – this is a platform which is very similar to PayPal and it has the same purpose. You can find more information about integrating Braintree with your Magento store here.

– Bank Transfer Payment – this is an online payment method, using which the customer can order money transfer from their bank account to yours.

How to manage payment methods in Magento?

The options you need to configure to use this feature are the following:

Enabled – here you need to specify if this payment method is enabled or not.
Title – this is the name of the payment method that the customers will see.
New Order Status – set this option to Pending, so the order will stay with this status until the payment is received and verified.
Payment from Applicable Countries – here you should specify the countries from which the customers can use this payment option.
Payment from Specific Countries – you can use this option to set only certain countries as applicable.
Instructions – depending on the country that you use and the bank in question here you should provide some information that the customers will need to order the payment.
Minimum Order Total – here you can set the minimum amount which is required for bank transfer.
Maximum Order Total – this is the maximum amount which qualifies for bank transfer.
Sort Order – the order in which this payment method will be displayed.

 

– Zero Subtotal Checkout – this option can be used for orders which price equals zero. Such situation may occur if, for example, the customer is provided with a coupon code or another discount that covers the full price.

How to manage payment methods in Magento?

Title – this is the name of the payment method that the customers will see.
Enabled – here you need to specify if this payment method is enabled or not.
New Order Status – it is advisable to set this option to Pending so you can make sure that the subtotal is really equal to zero.
Payment from Applicable Countries – here you should specify the countries from which the customers can use this payment option.
Payment from Specific Countries – you can use this option to set only certain countries as applicable.
Sort Order – the order in which this payment method will be displayed.

 

These are the most widely used payment methods in Magento. In case that you experience any issues with configuring some of them, feel free to contact our Technical Support Team. Our colleagues will gladly answer all your questions 24/7/365.