Subscription Payment Gateway: The Best Picks for 2025 and How to Set Up

Key Takeaways: 

• The best subscription payment gateways are PayPal, Wise, Stripe, Square, and Payoneer to handle your recurring payments.
• Most subscription payment gateways charge a transaction fee between 2.5% and 3.5%, with additional costs for international payments or currency conversions.
• Use Agency Handy to manage your agency services, invoices, recurring payments, and clients all in one place. 

For any service-based business, a reliable payment method is important for earning a client’s trust. That’s why most service agencies now rely on recurring billing.

Not just for consistent revenue, but to offer a smooth and predictable payment experience with subscription-based payment gateways.

But managing payments involves more than just collecting money; it calls for strong security, data protection, and a simple checkout process. The way you handle billing has a great impact on your business and long-term success.

In this guide, we’ll go over everything you need to know about the best subscription payment gateways. Let’s get started.

What is a Subscription Payment Gateway?

A subscription payment gateway is a convenient system that handles recurring bills automatically, whether it’s weekly, monthly, or yearly. It’s what makes subscribing and paying for streaming services and SaaS platforms convenient and secure.

The way it works is quite basic and easy to understand. Once you pick a plan, the gateway handles the rest, charging you and confirming payments until you cancel.

With e-commerce and subscriptions booming, payment gateways have become essential. They keep customers coming back by offering easy and safe payment options.

Plus, the market is growing fast—from $37.72 billion in 2024 to $44.68 billion in 2025—as more people trust online payments.

Now, managing payments isn’t always simple. A platform that combines payment gateways and subscription management, like Agency Handy, can make a big difference. And if you aren’t using it already, feel free to check it out. 

Quick Comparison of Best Subscription Payment Gateways  

Here’s a quick breakdown of the key differences between leading subscription payment gateways —

5 Best Subscription Payment Gateways for Your Agency and Services

We’ve compiled a list of the top 5 subscription payment gateways based on their global availability, ease of setup, billing flexibility, and transparency. Each platform has very different strengths; let’s examine them closely.

1. PayPal

With 434 million users and a 45% share of the global payments market, PayPal continues to lead the way in digital payments. It has already established itself as a trustworthy option for businesses looking to set up a subscription billing system. 

The platform is particularly popular for how quickly businesses can get up and running. According to reviews on G2, the platform is especially praised for how quickly businesses can get set up. One user shared, “Thanks to PayPal, we can offer our services with online payments very quickly.”

 It shows that customers trust PayPal for its security and ease of use.

However, user experiences vary, particularly in terms of problem-solving and support. Although PayPal is renowned for reliably processing payments, some users have raised concerns regarding the support system and delayed refunds.

From Capttera, a verified user said, “Great for international payment, but needs to improve customer service,” raising concerns about improving their customer service system.

Despite some of these flaws, it is still an excellent option for subscription-based businesses. Especially because of its easy setup, global reach, and flexible billing tool.

How to Set Up: 

1. Go to the PayPal website and start the sign-up process.
2. Select “Business Account” and proceed with registration.
3. Enter Business Information like company name, contact details, and other required info.
4. Link your business bank account to receive payments.
5. Verify your email to activate your PayPal business account.

Features:

• Quick Subscription Setup: PayPal allows businesses to configure recurring payment plans with ease, facilitating automated billing cycles for subscription services.
• Built-in Fraud Protection: The platform employs advanced security measures to detect and prevent fraudulent activities, safeguarding both merchants and customers.
• Automated Invoicing: PayPal’s system can automatically generate and send invoices for recurring payments, streamlining the billing process.
• Mobile-Optimized Checkout: The checkout experience is designed for mobile devices, ensuring a seamless payment process for users on smartphones and tablets.
• Global Reach: Operating in over 200 countries and supporting multiple currencies, PayPal enables businesses to cater to an international customer base.

Payment Methods:

• PayPal balance
• Linked bank accounts
• Credit cards (Visa, Mastercard, Amex, Discover)
• Debit cards
• Pay Later options (where available)

Pricing and Cost:

• 2.9% + $0.30 per domestic transaction
• 1.5% additional fee for international payments
• 3–4% currency conversion fee
• No monthly subscription fee for basic use

2. Wise

Wise (formerly TransferWise) is a smart subscription service payment gateway for businesses working with international clients. 

It allows businesses to open multi-currency accounts so they can get paid in local currencies like USD, EUR, GBP, and more without opening physical bank accounts abroad.

Many users appreciate Wise’s security and simplicity. One longtime user shared on Reddit, “It is safe, I’ve transferred tens of thousands on it with no problems…”. 

This kind of trust in everyday use shows the platform’s ability to handle international payments securely and efficiently. 

Also, the transparent fee structure is praiseworthy. It simply means there are no surprise costs, and transfer times are fast compared to traditional banking. 

How to Set Up: 

1. To sign up, visit wise.com and select the sign-up option.
2. During the registration process, choose the “Business” account type.
3. Enter information, including the name, address, and registration number.
4. You can receive and manage transfers by adding your primary bank account.
5. Turn on and set up accounts in different currencies (USD, EUR, GBP, etc.) so that you can begin taking payments from overseas.

Features:

• Real Exchange Rates: Wise uses mid-market rates for currency conversion, offering the same exchange rates and helping businesses save on international transactions.
• Multi-Currency Accounts: Wise lets you hold and manage balances in over 50 currencies, making it easier to receive and send payments globally without opening multiple foreign bank accounts.
• Transparent Pricing: All fees are displayed before you send money, with no hidden charges, giving you full visibility into what you’re paying for each transaction.
• Fast International Transfers: Most international payments through Wise are completed within hours, providing a faster alternative to traditional bank wires that often take several days.
• Simple Account Management: Wise offers a clean, intuitive dashboard where you can send invoices, track payments, and manage currencies—all from one centralized interface.

Payment Methods:

• Bank transfers
• Debit cards
• Credit cards
• Wise account balance

Pricing and Cost:

• Currency conversion fees range from 0.35% to 2.85%, depending on the currency
• No setup or monthly fees
• Fixed low fees for sending and receiving payments

3. Stripe

Stripe Billing makes it easier for businesses that use a recurring billing software to operate. It’s widely recognized as a top payment gateway for SaaS platforms due to its flexibility of use.

With multiple billing models that include coupons, free trials, usage-based pricing, and more, the gateway is made to grow with your company.

On Trustpilot, one user highlighted it as an “amazing experience with quick actions, user-friendly interface, lower fees, and very fast transaction transfers,” highlighting exactly why Stripe stands out. 

Plus, the extensive APIs and clear documentation allow developers to create fully customizable subscription checkout experiences. It gives a smooth and branded payment flow for users.

How to Set Up:

1. Sign up for a free Stripe account at stripe.com.
2. Verify your email address to activate the account.
3. Enter your business details, including name, address, and tax info.
4. Link your bank account to receive payments.
5. Set up subscription settings like billing cycles and pricing plans.
6. Integrate Stripe into your website using built-in tools or APIs.

Features:

• Flexible Subscription Management: Stripe supports a variety of billing models, making it appropriate for everything from basic plans to complex SaaS billing structures.
• Smart Dunning and Payment Recovery: The system automatically retries failed transactions and allows you to set custom retry rules, thereby reducing involuntary churn and recovering lost revenue.
• Advanced Fraud Protection: Stripe Radar uses real-time machine learning to detect and block suspicious activity, securing your company and customers against potential fraud.
• Global Support: Stripe supports over 135 currencies, allowing you to accept payments from customers all over the world.
• Developer-Friendly Integration: Stripe’s extensive APIs and clear documentation allow developers to create fully customizable billing and checkout experiences.

Payment Methods:

• Credit cards
• Debit cards
• ACH bank transfers
• SEPA bank transfers
• Apple Pay
• Google Pay
• Buy-now-pay-later options (e.g., Klarna, Afterpay)

Pricing and Cost:

• 2.9% + 30¢ per successful domestic card transaction
• 1% extra for international cards
• 1% currency conversion fee if applicable
• No setup or monthly fees for standard usage

4. Square

Square works the fastest for any type of sale when starting a subscription business. It gives real-time payment tracking and accepts credit cards, ACH transfers, and digital wallets. 

This makes it an excellent choice for small service businesses seeking a simple, all-in-one billing and POS system that requires no technical setup. 

One important reason to consider Square as a payment gateway for subscriptions is its focus on data privacy and security. 

Upon asking if Square is reliable or not, we found a review on Quora stating, “safe, reliable, and secure: Security is engineered into Square hardware and software from the ground up…”

This shows Square’s commitment to incorporating security into all layers of its system. Every transaction is encrypted, ensuring that sensitive information from both businesses and customers remains secure.

While Square provides a user-friendly platform, it has a few challenges. Square’s subscription and billing features are exclusive to their ecosystem, limiting your ability to use external gateways. 

How to Set Up:

1. Go to squareup.com and click “Get Started.”
2. Create a free account by entering your email and setting a password.
3. Choose your business type (e.g., retail, service, restaurant).
4. Enter business details like name, address, and industry.
5. Link your bank account to receive deposits.
6. Set up your payment methods (card reader, online checkout, etc.).

Features:

• Simple Recurring Billing: Square makes it easy to set up subscription plans in a few steps. It automatically bills customers on the specified cycle without requiring any extra effort.
• POS System Integration: It links your online store with your physical point-of-sale system. This lets you manage payments, inventory, and customer data from just one platform.
• Digital Invoicing: You can generate and send invoices electronically, set payment due dates, and even automate recurring invoices.
• Customer Profiles: Square safely stores customer information, including payment methods and purchase history.
• Real-Time Analytics: The dashboard provides immediate access to your sales, revenue, and transaction history. 

Payment Methods:

• Credit cards
• Debit cards
• ACH bank transfers (U.S. only)
• Apple Pay
• Google Pay

Pricing and Cost:

• 2.9% + 30¢ for online transactions
• 2.6% + 10¢ for in-person card payments
• No monthly fees for basic use

5. Payoneer

Cross-border payments are now easier than ever with Payoneer, a platform trusted by over 5 million users worldwide for its credible payment services. 

It’s designed for freelancers, remote teams, and global sellers, allowing you to receive payments in multiple currencies via local receiving accounts.

When it comes to picking up international payments, many users like Payoneer’s convenience and reliability. On Capterra, one user described their experience, stating, “I like Payoneer. Thanks to it, I can receive my money for work on foreign platforms, in addition, I can be sure that my bank details are safe”.

The secure, client-initiated payment process is one of Payoneer’s major selling points. Instead of charging customers directly, like you can with traditional point-of-sale systems, Payoneer lets you send a payment request. 

So, the customer can securely initiate the transaction.

How to Set Up: 

1. Go to payoneer.com and click “Sign Up.”
2. Choose your account type – Freelancer or Business.
3. Fill out your personal or company information.
4. Submit documents to verify your identity.
5. Link your local bank account to receive funds.
6. Complete your profile details for payout preferences.
7. Start receiving payments from clients or platforms.

Features:

• Local Receiving Accounts: Payoneer offers local bank details in major currencies such as USD, EUR, and GBP. This allows you to accept payments from international clients.
• Marketplace Integration: Easily connect your Payoneer account to platforms such as Upwork, Fiverr, and Amazon. Payments from these platforms are routed directly to your Payoneer account.
• Multi-User Management: You can add team members to your Payoneer account with role-based access. 
• Simple Reporting Tools: You can easily track incoming payments and monitor activities using a simple dashboard. It also allows you to check transaction histories and earnings reports.
• Direct Bank Withdrawals: Easily transfer funds from Payoneer to your local bank account with a few clicks.

Payment Methods:

• Bank transfers
• Credit card payments
• Payoneer-to-Payoneer internal transfers

Pricing and Cost:

• Free to receive Payoneer-to-Payoneer payments
• 3% fee on incoming credit card payments
• Withdrawal fees vary by country
• About 2% currency conversion markup

Common Challenges in Subscription Payment Processing

Even the best online subscription payment systems can face failed charges and fraud risks. You’ll likely face some of these issues at some point—here are a few to look out for:

• Failed Payments. Cards expire, funds run low, or banks block charges. Without a system in place, missed payments can interrupt service and delay revenue.
• Low Authorization Rates. Recurring and international payments often get flagged or declined by banks, hurting your success rate and requiring manual follow-ups.
• Subscription Misuse. Account sharing, free trial abuse, or duplicate signups can cause revenue loss and skew your user data.
• Security Risks. Handling card details without strong encryption or compliance can create a data breach and open the door to fraud.
• Localization Issues. Clients prefer to pay in their local currency and method. Without that flexibility, international sales can drop. Local regulatory pressures, cited by 30% of businesses, also make it harder to stay compliant across different regions.
• Chargebacks and Fraud. Unauthorized claims can result in lost revenue and platform penalties. Too many chargebacks damage trust and can lead to gateway restrictions.

How to Set Up a Subscription Billing System Using a Payment Gateway

Starting a subscription payment system is easier than you think. You can do it on your own. You just need a plan, and here are the steps to make things easier for you:

Step 1: Pick a Pricing Strategy

Figure out how you’ll charge customers. Will it be a flat monthly fee? Tiered pricing? Per user? Or based on usage? Choose what makes sense for your product and your customers.

Depending on what you’re offering, there are different types of subscription payment models you can use to charge your customers.

• Flat-Rate Pricing: This is the most straightforward. Everyone pays the same amount, whether it’s weekly, monthly, or annually, no matter how much they use it.
• Tiered Pricing: With this setup, users can pick from multiple plans. The more they pay, the more features or benefits they get. Think “Basic,” “Standard,” and “Pro” levels.
• Pay As You Go: Often used by software tools or platforms, the price goes up based on how many team members or users are added to the account.
• Freemium: You offer a free version with limited features, and users can upgrade to a paid plan when they want more. It’s a great way to hook users early.

Step 2: Choose a Payment Gateway

 Select the payment processor that fits your needs—Stripe, PayPal, Wise, etc. Create your account and get familiar with the dashboard.

Step 3: Check for Legal Compliance

Make sure your billing setup follows the rules in your region. If you’re operating across borders, this part gets more complex. It’s worth checking with a legal expert, especially for recurring payment terms.

Step 4: Set Up Your Billing Logic

Inside your billing gateway, define how often customers will be charged—monthly, annually, or custom. Match your pricing model with your billing rules. 

Step 5: Decide What Payment Methods to Accept 

Cards? Bank transfers? Digital wallets? Offer more than one option if you can. It makes checkout easier for your users, and fewer drop-offs mean better conversions.

Step 6: Get Clear Consent from Customers

Before you charge anyone, be transparent. Explain what’s being billed, how often, and how users can cancel or change plans. Add this info to your terms, checkout, and email communication.

Step 7: Prepare for Failed Payments 

Cards expire. Banks block charges. These things happen. Set up automatic retries and notify users if a payment doesn’t go through. You’ll save time—and reduce churn.

Step 8: Support Your Support Team

Make sure your customer service folks are ready to handle billing questions. That includes failed payments, refund requests, and plan changes. 

How to Connect Subscription Payment Gateways with Agency Handy

Agency Handy connects you with trusted payment gateways like PayPal, Wise, and Stripe. You can set them up in minutes and start managing payments. Here’s how to set it up:

1. PayPal Payments

Follow these steps to connect your PayPal account:

• Link Your PayPal Account: Quickly connect PayPal to your account settings.
• Set Up Subscription Payments: Assign PayPal to your services or subscription orders.
• Automated Invoicing: PayPal invoices are created automatically with each billing cycle.
• Track Payments Easily: Monitor which clients have paid, all within your subscription payment portal.

2. Wise Payments

Wise is for businesses dealing with international clients who prefer direct bank transfers with low conversion fees:

• Add Wise Bank Details Manually: In your invoice, add your Wise account information (such as IBAN, SWIFT, or account number).
• Customize Invoice Notes: Add clear instructions for clients to send payments through Wise, directly on each invoice.
• Manually Confirm Payments: Once you receive the payment in your Wise account, mark the corresponding invoice as paid inside Agency Handy.
• Use for Full or Split Payments: Whether charging upfront or across milestones, Wise payments can be easily tracked for any subscription period.

3. Stripe Payments

Steps to connect and use Stripe:

• Connect Stripe: Link your Stripe account once through simple settings.
• Enable Stripe for Subscription Billing: Assign Stripe as the default payment processor for any subscription service or order.
• Auto-Bill Clients: Stripe automatically charges clients during every billing cycle.
• Multiple Payment Options: Clients can pay with credit cards, Apple Pay, Google Pay, and more.
• Real-Time Payment Tracking: Instantly view Stripe payment statuses for each client subscription.

4. Manual Banking

Manual banking gives you freedom for clients who prefer traditional transfers —

• Set Up Manual Banking Details: Add your business’s bank account information under the manual payment setup section.
• Display Payment Instructions on Invoices: Customize each invoice to show your bank details so clients can transfer funds directly.
• Mark Payments Manually: After confirming receipt in your bank, manually mark the corresponding invoice as paid in Agency Handy.
• Track Manual Transactions: Even manual payments are fully tracked inside your subscription list view, helping you stay organized.

Final Note

A good subscription payment gateway makes sure payments are collected on time, without you constantly checking in. When the system works well, your revenue stays predictable, and your team isn’t stuck dealing with payment issues. 

But with the wrong setup, you risk missed payments, frustrated clients, and time lost on manual fixes. If you want to keep things simple, Agency Handy can help. It connects you with trusted payment gateways.

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FAQs

What happens if a subscription payment fails?

Most subscription payment gateways automatically retry failed payments several times (often 3–5 attempts) before cancelling the subscription. Some platforms also allow you to customize the retry logic or notify clients automatically when a payment fails.

Can I offer free trials through a subscription gateway?

Many gateways, like Stripe and Braintree, let you create free trial periods before billing starts. You can set the trial length and automatically begin charging once the trial ends.

Do subscription gateways support multi-currency billing?

Gateways like Stripe, PayPal, and Wise allow you to charge customers in different currencies. You can often set the preferred currency per customer or subscription plan, making it easier to handle international clients.

Can clients update their payment methods without cancelling their subscription?

Most modern gateways allow clients to update their card details, bank accounts, or payment methods without interrupting the subscription. Some also offer automatic reminders if a card is about to expire.