Best Payment Gateways for Tours & Travels Business in India: Razorpay, Stripe, Instamojo, IppoPay & PayU
by Ranjith Dhandapani
Choosing the right payment gateway is essential for businesses to accept digital payments smoothly and securely in India. This article covers five popular and reliable payment gateways with their features, advantages, disadvantages, fee structures, and technical capabilities.
1. Razorpay
Description: Razorpay is a popular Indian payment gateway that supports payment methods including UPI, credit/debit cards, net banking, and wallets. It enables businesses to receive payments easily in INR with tools for managing transactions, settlements, and analytics.
Advantages:
- Strong support for Indian payment modes (especially UPI)
- Fast onboarding and settlements
- Detailed analytics dashboard for business insights
- Developer-friendly APIs and webhook support for real-time updates
Disadvantages:
- Minimal focus on international payment methods
- Requires full KYC for activation
- Some users report occasional delays during dispute resolution
Commission: Typically 2% + GST per domestic transaction
2. Stripe
Description: Stripe is a global payment platform offering multi-currency support including INR. It provides extensive APIs for payment processing, billing, and subscriptions, with excellent support for international transactions.
Advantages:
- Accepts payments worldwide in 135+ currencies
- High security and compliance standards
- Well-documented APIs and global availability
- Rapid payouts and sophisticated dashboard
Disadvantages:
- Limited support for Indian local payment methods like UPI
- Higher fees for international card payments
- Less localized for Indian regulatory and market nuances
Commission: Around 2% per domestic transaction; 3-4% for international cards
3. Instamojo
Description: Instamojo focuses on simplicity and quick deployment for Indian businesses. It supports UPI, cards, wallets, net banking, allowing rapid payment request creation and management.
Advantages:
- Instant onboarding with no setup fees
- Supports various Indian payment methods and QR codes
- Bulk payouts and analytics suitable for SMEs
- Customizable payment interfaces and reminders
Disadvantages:
- Transaction limit per payment without custom plans (~₹1,00,000)
- Some advanced features require manual configuration
- Slower dispute and refund processing compared to larger gateways
Commission: ~2% + ₹3 (excluding GST) per transaction for most plans
4. IppoPay
Description: IppoPay is a developer-centric Indian payment gateway focused on scalability and security. It supports a wide range of Indian payment modes with APIs and SDKs for custom integrations.
Advantages:
- Supports UPI, cards, and net banking
- Fast onboarding with online KYC
- PCI-DSS Level 1 compliant secure processing
- Flexible APIs and customizable payment pages
Disadvantages:
- Lesser known compared to Razorpay or Instamojo
- Limited out-of-the-box plugins; may require custom development
- Pricing is custom and requires direct inquiry
Commission: Generally around 2% + GST per transaction (exact fees upon inquiry)
5. PayU
Description: PayU is a major Indian payment gateway supporting over 150 payment methods including UPI, credit/debit cards, net banking, wallets, EMI, and Buy Now Pay Later options. It caters to both domestic and international payments.
Advantages:
- Wide range of payment methods and international support
- AI-powered fraud detection and risk management
- Fast settlements with instant payout options
- Customizable checkout and detailed reporting
Disadvantages:
- KYC process can be lengthy
- Support response times may vary
- Additional development may be needed for niche platforms
- Pricing requires negotiation for some services
Commission: Around 2% + GST for domestic transactions; ~3% + GST for international cards; UPI fees usually minimal or waived
Summary Table
| Feature | Razorpay | Stripe | Instamojo | IppoPay | PayU |
|---|---|---|---|---|---|
| INR Support | Yes | Yes | Yes | Yes | Yes |
| UPI/Wallet | Yes | Limited/No | Yes | Yes | Yes |
| Multi-currency | Limited | Yes | Limited | Limited | Yes |
| Fast Settlements | Yes | Yes | Yes | Yes | Yes |
| Developer APIs | Comprehensive | Comprehensive | Available | Robust | Available |
| Webhook Support | Yes | Yes | Yes | Yes | Yes |
| Onboarding Speed | Fast | Fast | Instant | Fast | Moderate |
| Typical Commission | 2% + GST | 2% + intl fees | 2% + ₹3 + GST | ~2% + GST | ~2% + GST |
| UPI Charges | 0% to low | Not fully supported | Usually low | Usually low | Usually low |
Conclusion
For businesses seeking reliable payment acceptance in India, these gateways provide diverse options:
- Razorpay excels at Indian payment methods and developer-friendly integration.
- Stripe offers advanced international payment capabilities.
- Instamojo is suitable for quick onboarding and MSMEs.
- IppoPay focuses on customizable, developer-friendly, and secure solutions.
- PayU delivers extensive payment coverage including international payments and advanced fraud detection.
Each gateway offers APIs to manage payments, track statuses, and build custom flows. Choose based on your business’s scale, customer base, integration needs, and cost considerations.