Payment methods for your online shop
If you have an online shop, you have to offer your customers different ways to pay. The law states that customers do not have to pay more than 50% of the cost before receiving a product. You cannot demand more than this. Do you offer pre-payment? Then you must also offer other options, such as credit card payments or buy now, pay later. Find out about the various payment methods.
No obligation to pay the entire amount in advance
No matter which payment methods you offer, you may not require customers to pay more than 50% of the amount due before receiving a product. This always applies to customers buying for their own use (consumers). These customers may pay the whole amount in advance, but only if they choose to. Different rules apply to business customers.
Popular payment methods in the Netherlands
These are the payment methods you can offer your customers:
iDEAL
iDEAL lets your customers pay directly via their bank. It can be used as a prepayment method or to pay after a sale. To use this online payment method, you must have an iDEAL agreement with one of the participating payment partners. These partners offer technical solutions to use iDEAL on your online store.
Credit card
With a credit card, your customer pays after the purchase transaction. The advantage is that almost all credit cards offer purchase protection. This insures your customer against loss and damage. You pay a small percentage for each credit card payment. You may not pass on these extra costs to your customers. Exceptions to that rule are American Express and Diners Club business credit cards.
Several commercial providers offer software plug-ins. These let you accept credit card payments in your online store.
PayPal
PayPal is a worldwide payment system for individuals and businesses. Your customers pay with a PayPal Balance, or a linked bank account or credit card. Like a credit card, the customer benefits from purchase protection via PayPal. PayPal is an attractive online payment method if you have many international customers.
PayPal charges a small fee for every payment. The amount depends on your monthly turnover. You can calculate this on the PayPal website.
Direct debit
Direct debit (automatische incasso) is a method by which a customer makes a payment directly from their bank account. It is easy to set up in your online shop. The money is immediately transferred into your bank account. This is visible on their account statement. To make a direct debit transaction, you must first request a digital direct debit authorisation from your customer. This authorisation states, among other things, the amount and the payment date.
A disadvantage is that your customer can (wrongly) ask their bank to reverse a direct debit payment that has been approved without a written signature. And keep in mind that you pay a small amount for every payment made by direct debit.
Buy now, pay later
Buy now, pay later, also known as post-payment, means the customer pays after buying and receiving the product (achteraf betalen). This payment method generates trust because the customer can view the product at home and then pay. Buy now, pay later service providers include Riverty, Klarna, or Billink. These companies take over the financial settlement and provide a payment guarantee. You need not worry if you will receive your money after sending the product. The risk lies with the payment provider. You do pay a fee for this service.
Other payment methods
There are also other less common payment methods, such as:
You can also let the customer pay via bank transfer. The buyer then transfers the amount to your account in advance or afterwards.
With this payment method, your customer pays for the order directly upon delivery. This is done via the parcel delivery driver or at a collection point.
Cryptocurrencies are types of digital money. To accept crypto as a means of payment, you need special software. After receiving crypto, you can choose whether to keep the crypto in a digital wallet or exchange the crypto for another type of money or currency.
With In3, the customer pays in 3 parts without interest. As the seller, you pay a certain percentage of each transaction.
Do you have a physical shop in addition to an online store? Then you can also let your customer pay in the physical shop.
This is an anonymous prepaid card for online shops offering music, films, and games.
With Tikkie zakelijk, you can send payment requests to your customers. This can be done via WhatsApp, email, or social media.
Questions relating to this article?
Please contact the Netherlands Chamber of Commerce, KVK