Top Payment Service Providers That You Must Know!!

December 07, 2021

Dinesh Kumar

VP Engineering @ Radiansys

Introduction

The global digital economy landscape has seen major shifts in the past years. A major portion of these shifts occurred in the digital payments market — and for the better. The digital payments transaction value is set to grow at an annual rate of 12.24%. This directly impacts the status of online payment service providers, who have seen tremendous growth as well.

Payment service providers or payment processing platforms are the entities that handle financial transactions between multiple parties. Typically the main players include the merchant, customer, payment processor, gateway, and the banks on each side. The financial data flowing through this process is sensitive and must reach the right destination securely. With so many providers claiming to be the “best”, how do you choose the right one?

In this article, we'll walk through the top payment service providers you should know, and how to shortlist the best fit for your product and customers.

Top 5 online payment service providers

Here is a curated list of leading online payment processing platforms and what makes each of them stand out.

1. Stripe

Best for: online businesses (especially eCommerce), international payments, custom payment solutions, competitive rates.

Any discussion about top payment solutions is incomplete without mentioning Stripe. While Stripe is developer-centric, it is equally popular for its extensive features and strong UX. Launched in 2010 as a prime payment gateway, Stripe quickly became the preferred choice for businesses of all sizes thanks to its standards and flexibility.

Stripe's interface is trusted by brands like Pinterest, Slack, Deliveroo, Lyft, and Postmates. It is an excellent choice if you have in-house engineers or work with a web development company. Key strengths include:

100+ built-in features covering core payment needs: transactions, subscriptions, invoicing, fraud detection, and more.
REST APIs for building custom flows such as recurring billing, user account management, and blocking suspicious payments.
Stripe Connect for marketplaces, platforms, and SaaS tools, making it easy to support multiple sellers and payout structures.
Support for a wide range of payment methods — major cards, wallets, and bank debits.
Advanced features like Terminal, Radar, Sigma, and Billing that help teams go beyond basic processing.

Stripe's rich APIs and excellent documentation across major languages make it one of the most developer-friendly gateways available.

2. PayPal

Best for: online businesses, hassle-free transactions, highly secure financial data handling.

PayPal is one of the most recognized names in digital payments and a trusted solution in many global markets. With over 237 million active users across more than 200 regions, it is often the default wallet for online shoppers.

It supports transactions in over 100 currencies and offers multiple payout and balance options. Merchants can get started quickly with a simple signup and a “Pay with PayPal” button added to their apps or sites. There are no setup fees, monthly charges, or termination fees, and pricing is transparent.

PayPal also provides:

PayPal Payments Pro with advanced checkout, credit support, and phone-based payments.
Strong security and PCI-DSS compliance without forcing merchants to handle card data directly.
SDKs and APIs to integrate payments into web and mobile apps.

3. Plaid

Best for: FinTech applications and secure transfer of banking data.

Plaid connects apps to users' bank accounts securely, acting as a data bridge between financial institutions and fintech products. It powers thousands of apps in the US and Europe, including Venmo, Robinhood, and Coinbase.

Plaid pulls sensitive banking information (account numbers, balances etc.) using encrypted tokens and strict security controls. For developers, it offers:

A single API surface to connect with many banks, rather than building individual integrations.
Higher-level abstractions that simplify linking accounts, checking balances, and initiating payments.
Extensive documentation, libraries, and Plaid Link for smooth in-app onboarding flows.

4. i2c – credit card issuing and processing

Best for: credit card issuing/processing programs and configurable banking solutions.

i2c Inc. provides issuer processing and digital payments technology with a focus on credit, debit, and prepaid programs. Operating globally, it helps financial institutions launch card programs quickly while maintaining high reliability and configurability.

i2c's “building block” architecture allows teams to compose card products from modular capabilities, enabling:

Faster creation and testing of tailored card and banking solutions.
Quick provisioning of cards into mobile wallets.
Over 100k configuration options to adapt to specific use cases.
300+ APIs for deep integration with existing systems.

5. Braintree

Best for: startups and growing businesses that need simple pricing and a developer-friendly platform.

Braintree, part of the PayPal group, combines payment gateway and merchant services in one offering. It is used by companies like Uber and Airbnb and is available across multiple regions.

Braintree provides individual merchant accounts, can operate purely as a gateway, and supports a variety of payment methods including cards, wallets, and local payment options. It offers:

A robust control panel and APIs for billing, recurring payments, and fraud protection.
Strong documentation and sandbox environments for rapid experimentation.
Advanced security and compliance features out of the box.

How to choose the right payment provider

As a responsible business, you must ensure the payment solution you choose fits your needs and protects your customers. Keep these factors in mind:

Security: look for PCI-DSS compliance, 3D Secure, fraud detection tools, and strong data protection practices.
Global reach: if you serve international users, ensure the provider supports multiple currencies and payment methods with reasonable payout times.
Integration and flexibility: SDKs, APIs, and clear documentation are critical for reliable integration and customization.
Developer experience: strong docs, code samples, and test environments save time and reduce implementation risk.
Community and support: active communities, forums, and responsive support teams can make a big difference when issues arise.

The providers above were selected after carefully reviewing security, cost, features, integrations, and support. With the right partner, you can offer seamless, secure payments that build trust with your customers.

Thanks for reading!