How to Setup Stripe as Payment Gateway in Shopify: A Step-by-Step Guide
You are on your way to launching your first online store.
But there is still one crucial step you have to do before you go live with your store: You have to ensure your store accepts credit card payments before you can start selling anything. For this purpose, you have chosen Stripe.
In this post, I show you how you can connect Shopify with Stripe to start accepting payments online.
How to Setup Stripe as Payment Gateway in Shopify
Take these steps to add Stripe as your payment gateway in Shopify.
Step1: Set up a Stripe Account
Make sure first that you have a Stripe account. If you don’t, you can create it by going to this address and filling in the required information:
Once you have created the account, you also need to verify your email address by finding an email in your inbox with the title, “Verify your email to start using Stripe.”
Just open the message, and then click the Verify email address button inside the email:
The final step is to activate the Stripe account. You do that by entering basic information regarding your business.
In Stripe, click the Start button under the “Next, add your business details” heading:
Then, add all the necessary business information by filling in all the steps:
Once you enter all the required business details, your account moves from test status to active. It’s now time to set up Stripe with Shopify.
Step2: Set up Stripe with Shopify
1. Log in to your Shopify account.
2. On the bottom-left of the screen, click Settings:
3. On the next view, choose Payments:
4. In the Payments view, under the Third-Party Providers section, click on the Choose third-party provider button:
5. On the next view, click the Setup Stripe button:
6. Then, enter the email address you used when creating the Stripe account, and click Continue:
7. You can now see the password field. Enter your Stripe password into that field and click Log in:
8. Next, enter your phone number for an extra layer of security. Once you have done that, click the Send text button:
9. On the next page, enter the verification code sent to your phone:
10. If everything goes right, you should next see the page stating: “Your account is secured.” You will also see an emergency backup code in case your device is lost or stolen, and you need to unlock your Stripe account:
Once you have taken note of the code, click Next.
11. Connect Shopify with your Stripe account. Your Stripe account should be selected by default.
Once you have chosen the account, click Connect.
12. As a final step, review the business details. You already filled this information in the “Setup Stripe” section of this post. But if everything looks good, click the Submit button:
13. You’ll land on the Payments view. When your Stripe account is correctly connected with Shopify, you should see the “Stripe is activated” text at the top of the Payments view.
You’ll also see Stripe listed in the Payment providers list:
Stripe as Payment Gateway in Shopify: The FAQ
Stripe is a payment gateway solution for online businesses. With Stripe, you can process credit card transactions securely.
Shopify Pay is a payment system built-in into Shopify. Stripe is a third-party solution provided by Stripe.
While both systems can offer basic functionality like accepting various payment types or supporting multiple currencies, the availability and payment fees vary.
For instance, Shopify Payments is available in 17 countries, while Stripe is in 44 countries.
Also, Shopify Payments doesn’t charge any transaction fees, while Stripe charges 1.4% + 0.25€ for European cards and 2.9% + 0.25€ for non-European cards per transaction.
On top of Stripe’s fees, Shopify adds extra fees for third-party gateways (like Stripe): 2% for Basic Shopify, 1% for Shopify, and 0.5% for Shopify Advanced plans.
There are other differences between the systems, like in fraud detection, chargebacks, too.
A payment gateway is software that encrypts the payment data. It offers a secure channel between your website/browser and the credit card company. The encrypted data is sent to the payment processor.
A payment processor is a company that handles credit/debit card transactions, while the payment gateway receives approvals or denials of the payment transaction.
It’s free to register with Stripe, but you will pay for the transactions (see the question “What is the difference between Shopify Pay and Stripe“) for more info.
In this post, I showed you how to set up a Stripe gateway with Shopify. Once you have successfully followed these steps, you can start using Stripe to accept payments through your store.
Are you using Stripe to process payments in your Shopify store? If you are, we’d love to hear about your experiences in the comments below.