Payment Gateways for Online Shopping in the Philippines

Payment Gateways for Online Shopping in the Philippines

Online shopping is a growing trend in the Philippines, be it with Shopee, Lazada, Zalora or your niche Facebook group. Shopping keeps getting more convenient as e-commerce sites continue to add more payment methods for a hassle-free shopping experience. Speaking of which, what payment method works best for peso transactions? 

Online payment options:

Cash on Delivery (COD)

Cash on delivery minimizes the risk of fraud. This is why it’s the top payment method among Filipino online shoppers. 

Even if the seller is legit and trustworthy, sometimes there can be problems on the logistics side. Incomplete or lost packages are not uncommon. So if your package doesn’t reach your doorstep within the delivery schedule, you have no worries about getting your money back.

More than 80% of local merchants offer this payment option, according to the State of eCommerce in Southeast Asia 2017 published by the Malaysia-based iPrice Group. So if COD is an option, definitely go for it. 

Deliveries within the metro usually take 1-2 days, while deliveries to other provinces take 5-7 working days. International shipping can take up to a couple of weeks. Couriers like 2Go and Ninjavan usually give you a heads-up that a delivery is coming your way. That way, you can prepare the cash and be at the specified address at the time of delivery.

You might also want to read Best Free Online Payment Methods in the Philippines

Payment center

All major malls feature payment centers, where you can pay your bills including your online shopping orders. Of course, this requires you to go to a mall and be there during opening hours.

Over-the-counter bank deposit

If your bank’s online banking facility is acting up (as they sometimes do), you can do a direct deposit to pay for your order. Then, you will usually need to send the merchant a photo of your bank receipt as proof of payment. It’s a bit of a hassle since banks close early in the day. And while most banks don’t have lunch breaks, there’s usually a queue around that time.

These three modes of payment require you to go or be somewhere at a specific time. And that defeats the purpose of online shopping: the point is to do it from home when you want, right? That’s why we’ll now look at modes of payment that you can do online or that are at least pretty flexible with their time.

Bank transfer

Make use of your bank’s online banking facility – it’s fast and easy. Plus, the funds are transferred in real time. So you can have your order shipped faster. 

Tip: After processing the fund transfer, take a screenshot of the acknowledgement receipt. The seller will likely ask you to send them a copy for confirmation before they proceed to shipping.

Credit/Debit card

Credit cards offer a two-layer protection against online scams, thanks to 24-hour fraud monitoring services and the chip card technology (EMV) upgrade. 

 It’s the ideal way to pay. But many Filipinos don’t use it unless they’re paying installments. When using your credit card to shop online, be sure to check the website’s secure payment systems first. 

If you are using BDO, BPI or Metrobank, consider availing of their virtual card, i.e. the BPI eCredit, BDO Virtual Card, or Metrobank ON Internet Mastercard. These cards have different numbers from your physical credit card. So you have another layer of protection against fraud.

E-wallets: Smart Money, GCash,, PayMaya

Virtual wallets simplify the process of refunds and point redemption, like in Lazada and Shopee. The latter runs in-app games which allow you to accumulate virtual coins as a reward. Then, the points can be used to offset the price of future purchases. 

Major telco companies also offer e-wallet services. There’s Smart Money provided by PLDT and GCash by Globe Telecoms. Here are their service fees:

  • Smart Money
    • Php 120 (US$2.32) – one-time fee upon creating an account
    • Php 2.50 (US$0.05) – fee for every online purchase
  • GCash
    • Php 50 (US$0.97) monthly charge

Trading platform also serves as an e-wallet, for Pesos but also for bitcoin and Ethereum cryptocurrencies. You can use this service on top of daily deal sites like CashCashPinoy and Metrodeal.

PayMaya is a mode of payment for online shopping whose biggest feature is the PayMaya card—a virtual debit Mastercard. You have it only on your phone, so you cannot use it to “swipe”, but you can use it to pay online—note though that these types of cards are not accepted everywhere. Apart from that PayMaya offers various payment products for load and bills, similar to

7 Connect

You won’t have trouble finding a 7 Eleven store in major cities like Cebu. If you don’t have a credit card, 7 Connect is a good alternative payment method. Or if you don’t have time to go to the bank, any 7 Eleven branch will accept your payment at any time. The only drawback is not a lot of online sellers are utilizing this payment method at present.

Payment Gateways Philippines


Hundreds of merchants have integrated Dragonpay into their virtual shops. By doing so, their customers can pay online (via PayPal or banks), over the counter (via partner banks and payment centers), or using an ATM. The fees are shouldered by the merchant, so buyers only need to pay the item plus shipping.

Is it safe? Yes. Dragonpay uses Secure Socket Layer (SSL) technology to protect your online banking data. It’s the same tech used by all financial institutions worldwide. 

How it works:

  1. After confirming your order, you will be given an email or SMS instruction. It’s pretty straightforward.
  2. If you go to a remittance center, you simply need to fill out a payment form using the details in the email instructions.
  3. You’ll receive a text confirmation once payment is done. Dragonpay will process your payment the following day. But some sellers will ask you to take a photo of the receipt and send a copy to them so they can ship your items immediately.

Need cash? Check out our page about withdrawal limits for ATMs in Cebu.


JuanPay is a Cebu-based startup offering an alternative payment gateway for ecommerce merchants in PH. As the “PayPal alternative for Pinoys,” it allows users to pay through credit cards, online banking, and OTC deposits. It also supports e-wallet payments via Smart Money and GCash.


Operated by e-payment service provider AsiaPay, PesoPay caters solely to merchants and consumers in the Philippines. It allows you to make payments via credit cards (Visa, Mastercard, and JCB), online fund transfers (Bancnet), OTC bank transfers (RCBC and BDO), PayPal, and physical payment centers. 


Accepts payments via major credit cards (Visa, MasterCard, American Express, JCB), PayPal, online banking (Bancnet and MegaLInk), e-wallets (Gcash and Smart Money), and direct debit from banks. It shares the same OTC payments as Dragonpay.


Accepts online payments from all banks through ATM consortia Bancnet and MegaLink, as well as GCash payments.

Where to shop online:

Below are the big players in the country’s fast-growing ecommerce landscape.


Lazada is the most preferred ecommerce site for Filipinos, especially around Christmas when prices are the lowest. Health and beaty products, baby items, and electronics are its best sellers. The product selection is extensive and they host a sale every so often. They also offer buyer protection. 

The catch: shipping fees are unreasonable sometimes. Depending on where the item is coming from, you could pay more for the delivery than for the item itself. 

Payment options:

  • Cash on delivery
  • Lazada E-Wallet
  • Credit and debit cards (Visa, Mastercard, JBC)
  • PayPal

The site is teeming with buy-and-sell merchants offering bargain prices on items you won’t typically find in local shops. It’s Lazada’s closest competitor site. My personal observation is that Shopee has more product options especially for novelty goods from Korea and China. Prices and shipping fees are generally cheaper, too.  

Payment options:

  • Cash on delivery
  • Shopee Wallet
  • Globe GCash
  • Credit and debit cards (Visa or Mastercard)
  • Online fund transfer (BPI, Metrobank, Landbank, and RCBC)
  • ATM bank transfer (BDO, BPI, and Metrobank)
  • Over the counter (BDO, BPI, Metrobank, EastWest Bank, Chinabank, Landbank, Security Bank, PNB, RCBC, and UCPB)
  • Bills payment and remittance centers (7-Eleven CLIQQ, Bayad Center, SM Bills Payment, EC Pay, Robinsons Department Store, Palawan Express, M Lhullier, and LBC)

It’s the top online fashion destination in Southeast Asia, and for good reasons. Their customer service is superb. And they allow you to return an item if the size, color, or style doesn’t suit you – or if you simply changed your mind. Zalora also stocks some of the newest releases or collections from your favourite brands.

Payment options:

  • Cash on delivery
  • PayPal
  • GCash
  • Credit and debit cards (Visa or Mastercard)
  • E-gift card or Wallet Credit

If you’re looking for brand-new tech gear, gadgets and electronics, this is your go-to. Kimstore has an online fan base of over 2 million mainly because of their pocket-friendly prices. 

Payment options:

  • Cash on delivery
  • Bank deposit
  • Remittance centers: Cebuana Lhuillier and M Lhullier (with Php 25 service charge)
Poundit has a well-curated selection of mobile gadgets and electronics from popular brands like Apple, Sony, Samsung, Xiaomi, etc. People rave about the speedy delivery and superior product quality.

Payment options:

  • Cash on delivery
  • Bank deposit (BDO, PNB, and UCPB)
  • Online fund transfer (BDO, PNB, UCPB, and Unionbank)
  • Credit card (Visa, Mastercard, and American Express)
  • ATM bank transfer (Bancnet ATMS)
  • GCash
  • Bills payment and remittance centers (7-Eleven CLIQQ, Bayad Center, M Lhullier, EC Pay, and Direct Agent 5)

Perhaps the best place to shop for all things beauty. BeautyMNL has an assortment of cosmetics, skincare, haircare, health, and fitness products from local and international brands – and at low prices, too.

Payment options:

  • Cash on delivery (for Metro Manila and select provinces with purchases below Php 5,000)
  • PayPal
  • Credit card
  • Over-the-counter bank transfer and online fund transfer: BPI, BDO, and Metrobank
Carousel (formerly OLX)

Carousel is a buy and sell community for second-hand items. Here you’ll find anything from used cars to home furniture and gadgets. You can even search for a house or condo to rent or buy. The payment method depends per listing, but you can negotiate with the seller for a more convenient option.

Make online shopping simpler by checking how each online payment methods work. It’s worth your time and effort.