Are you starting a webshop? Then choosing the right online payment provider is one of the most important decisions you will make. Because without a good payment solution, you won't generate any revenue. In this article, you will discover exactly what a Payment Service Provider (PSP) does, how an internet checkout works, what costs you need to take into account, and how to choose the right payment provider for your situation.
You are reading:
What is a Payment Service Provider (and how does it differ from a Payment Service Provider)?
How a payment works, from checkout to settlement
Why a PSP helps you get started professionally, safely, and quickly
Which payment methods you should offer for maximum conversion
What PSP costs should you take into account?
And: how to choose the right provider
An online payment provider, or Payment Service Provider (PSP), is a digital link that ensures your webshop can easily receive payments. A PSP offers access to multiple payment methods such as iDEAL, Bancontact, credit cards such as MasterCard and VISA, Apple Pay, or Klarna via a single platform.
As an entrepreneur, you don't need to sign separate contracts or link up with different banks or card companies — the payment provider has already done that for you. A good PSP not only takes care of the technology, but also security, compliance (regulations), and settlement. All you need to do is sign one contract, link your website to the PSP payment platform once, choose your set of payment methods, and you're ready to accept online payments. The payment provider takes care of the rest.
Online payment provider, Payment Service Provider (PSP), Internet Payment Service Provider, or online checkout—these terms are often used interchangeably. And to be honest, in practice, people usually mean the same thing. However, there is a slight difference between them.
Whereas the term "online checkout" or "online cash register" mainly refers to the checkout process in a webshop, a Payment Service Provider or online payment provider goes one step further. In addition to the checkout, they also offer extras such as real-time dashboards, reports, links to accounting software, and fraud prevention tools. In short: a complete payment solution, not just an online checkout system.
There is therefore a subtle difference between terms such as Payment Service Provider, online payment provider, and Payment Service Provider (PSP). However, we also use them interchangeably. Simply because everyone uses slightly different keywords in Google and because it makes the text easier to read. So, when we talk about thecomparing Payment Service Providers, do we mean the same thing as thecomparing PSPs.
A Payment Service Provider (PSP) offers an all-in-one payment solution that allows your webshop to quickly start receiving online payments. Most payment providers offer:
the connection with banks and local and global payment methods
security measures such as fraud detection and encryption
a clear dashboard with insight into transactions
the transaction processing and settlement of your revenue
plugins and integrations for popular e-commerce platforms (such as Woocommerce, Shopify, and Magento)
For start-up webshops, it is particularly important that everything is as plug-and-play as possible. And that is exactly what a good online payment provider excels at.
The online checkout provided by the PSP is the environment or place where customers actually pay for their purchase. As soon as a customer clicks on "checkout," the PSP springs into action. The process goes something like this:
The customer selects a payment method on the checkout page, for example iDEAL.
The PSP processes the selection and directs the customer securely to their banking environment.
After payment, the bank sends a confirmation to the PSP.
The PSP then sends a confirmation to your webshop.
The customer sees that the payment has been successful
You will receive the amount - minus payment method and processing costs - paid out by the PSP.
This entire transaction process usually takes only a few seconds and is fully automated. Thanks to the Payment Service Provider, you can quickly and efficiently accept payments in your webshop without any technical hassle or knowledge.
When you're just starting out with your online store, it's all about focus. You're busy selecting products, marketing, getting your first customers, and figuring out logistics. That's why it's crucial that your payment process doesn't cause any extra stress. A good online payment provider takes care of everything for you — and helps you grow faster.
Here are the five most important reasons why a Payment Service Provider (PSP) is indispensable for new webshops:
A major advantage of an all-in-one payment provider such as Mollie or Buckaroo is that they take care of the entire technical infrastructure behind your payments. As an entrepreneur, you don't have to build complex links with banks, credit card networks, or payment methods such as iDEAL or Klarna—the PSP does that for you. Everything is already connected, tested, and securely set up.
The PSP acts as an intermediary that is directly connected to dozens of financial parties. You only sign one contract, and that single connection gives you access to all those payment methods. This saves you a lot of time, money, and technical stress.
Are you planning to build your webshop with platforms such as Shopify, WooCommerce, or Magento? Then it's even easier: just use a plug ('plugin') developed and maintained by PSP (check in advance whether it supports the required plugin). Instead of spending weeks building a solution, you can be linked to a complete online payment solution in just a few clicks. No technical hassle, no expensive IT specialists, and no waiting weeks to go live.
Learn more:
Discover all online payment providers active in the Netherlands
Consumers expect to be able to pay with their preferred method: iDEAL in the Netherlands, Bancontact in Belgium, Klarna for Buy Now Pay Later, Apple Pay on mobile. Most PSPs offer these options directly through a single integration. If you don't offer these payment methods, customers will abandon their purchase, especially at the crucial moment of checkout. That's a waste of your marketing budget and conversion.
Most payment providers in the Netherlands support well-known local and international payment methods. However, there are clear differences. It is therefore worth comparing them, especially if you already know in which countries you want to operate. If you choose too quickly, you run the risk that your provider does not support an important (local) payment method. This can not only be inconvenient later on, but also cost you revenue.
Learn more:
Which online payment methods should you accept in the Netherlands?
iDEAL payment providers
A reliable and smooth checkout page – even on mobile devices – makes a good impression right away. Your customer will feel like they are dealing with a professional webshop, even if you have just started out from your living room. With a payment solution from a Payment Service Provider (PSP), you get access to:
Mobile-friendly checkouts
Customized checkout pages in your own house style
Quick confirmations and emails after payment
It all contributes to trust and conversion. When your customer arrives at a professional, secure, and recognizable checkout page—for example, with the iDEAL or Klarna logo and a clear interface—they feel more confident about their purchase. Trust is crucial at the moment of payment: if the environment feels unclear or unsafe, people will abandon their purchase. A trusted and well-designed online payment solution lowers that threshold, resulting in more visitors actually completing their purchase. That's a direct gain in your conversion rate (visitors converted into paying customers), and therefore in your revenue.
As a new online store, you want to focus on sales, customer service, and improving your offering—not on legal or technical risks. However, online security and compliance are crucial for your customers' trust and for your own protection. Fortunately, a good Payment Service Provider for online stores takes on this responsibility.
A PSP payment solution automatically complies with the strictest requirements, without you having to delve into complex regulations such as PSD2 (European Payment Services Directive) or PCI DSS (security for processing card payments).
What does the PSP do for you?
Encrypted data transfer (SSL): All customer data and payment information are sent securely, so hackers don't stand a chance.
Fraud prevention and chargeback management: Many PSPs use smart algorithms that automatically block or flag suspicious transactions. This helps you avoid losses and reputational damage.
Automatic updates in case of legal changes: Is there a new EU regulation or safety standard coming? Your PSP will adjust the systems without you having to do anything.
Audit trails and transaction documentation: For your accounting or in the event of a dispute with a customer, you always have access to the complete transaction history.
AVG/GDPR-compliant processing of customer data: Your PSP knows exactly how customer data must be processed in a legally compliant manner.
As a start-up, you want to keep your costs under control, avoid surprises, and, of course, not pay too much. Fortunately, many Payment Service Providers (PSPs) offer standard packages or special starter rates. Because payment providers compete with each other, rates and conditions vary, so it makes sense to compare them.
With every PSP, you pay per transaction. There are usually two types of costs:
A rate per payment method – for example, a fixed amount per iDEAL payment, or a percentage of the amount for credit card payments such as MasterCard. For accepting iDEAL payments, you usually pay a fixed amount per transaction, such as €0.25 to €0.50. For payments with MasterCard, the rate is usually between 1.75% and 3.50% of the purchase amount.
A processing or platform fee – A fixed amount per transaction for using the payment platform, sometimes even if the payment fails. The processing fee is usually between €0.10 and €0.35 per transaction, and often depends on how many payments you expect to process.
In addition, there may be other costs, such as one-time connection fees, monthly subscription fees, or costs for additional features such as a fraud prevention module. In short: in addition to the range of payment methods and services offered, it is wise to carefully compare the total costs of PSPs, especially if you are just starting out or switching providers.
tip: Use ourfree provider selector for payment providers and receive quotes immediately from providers that match your situation
If you are looking for an online payment provider for your webshop, you will quickly discover that there is quite a lot of choice in the Netherlands. That's good news — but it also makes choosing a little more difficult. Every Payment Service Provider (PSP) has its own approach, pricing structure, focus, and technical capabilities. That's why it's wise to take your time and compare them carefully.
Below is a brief overview of some well-known names on the Dutch market:
Mollie
Very popular among start-up webshops due to its user-friendliness, transparent cost structure, and easy integrations with Shopify, WooCommerce, Magento, and others.
Adyen
A globally operating PSP with a strong focus on scalable, international payment solutions. Particularly suitable for larger e-commerce players or entrepreneurs with serious growth plans.
Buckaroo
Flexible PSP that offers solutions for subscriptions, donations, and marketplaces in addition to standard payment methods. Ideal if you need more customization.
Pay.
Wide range of Dutch products with many local integrations. Supports both small businesses and larger webshops and offers useful tools for omnichannel retail.
CCV
Known for its physical POS payment terminals, but also active as an online PSP. Interesting if you are looking for a combination of online and offline payments in one system.
Worldline
One of the largest European players, with extensive experience in sectors such as retail, travel, and finance. Often chosen by larger companies with specific compliance requirements.
CM Payments
Part of CM.com and strong in mobile payments, ticketing, and digital communication. Suitable for platforms and companies focused on conversion and reach.
As you can imagine, there are clear differences in focus, price, and technical capabilities. One PSP is ideal for quick integration and low volumes, while another excels in international payments or subscription models. The right choice therefore depends entirely on your type of webshop, your ambitions, sales expectations, and technical requirements.
💡 Tip: Use ourProvider Selector to discover which payment provider suits your situation within a few minutes.
Choosing the right online payment provider isn't just a box to tick on your to-do list. It's a strategic decision that affects your conversion rate, customer satisfaction, and long-term growth. That's why we've written a separate blog post about it, especially for startups like you. It's a good idea to read it before you make your choice — it'll save you time, money, and hassle later on.
Here's a brief preview: the right choice always starts with understanding your webshop needs. Be sure to ask yourself these five questions:
Which payment methods do I want to offer?
Think of iDEAL, Bancontact, credit card, or Buy Now Pay Later with Klarna. Not every PSP supports everything.
Which webshop platform should I use?
Do you work with Shopify, WooCommerce, or Magento? Choose a PSP with ready-made plugins for quick integration.
What are the total costs?
Look beyond transaction fees. Also pay attention to fixed monthly amounts, payout fees, and costs for refunds or chargebacks.
How good is customer service?
As a starter, you want immediate help when something goes wrong — without long waiting times or technical jargon.
Can the PSP grow with you?
If you plan to sell internationally or work with subscriptions, you want your PSP to be able to support you in this.
Read the full blog here: How to choose the right Payment Service Provider?
Simplify your search – our free tool helps you find the right provider.
Use our free Provider Selector and find the right provider for your business
