5 Best Payment Processors to Sell Your Online Courses

How do you get paid for your online courses without headaches, hidden fees, or payment failures? Choosing the right payment processor is not just about accepting payments. It affects your sales, cash flow, and even student satisfaction.

Some processors do not support subscriptions. Others have strict country restrictions. And let’s not forget about how they handle chargebacks. But there is no need to overthink. 

In this guide, I collected 5 popular payment processors that are great for education and course business. We will discuss the pros, cons, pricing, and opportunities. And if you are wondering what you should pay attention to when choosing the right payment processor, I outlined 7 important factors. 

What is a payment processor? 

A payment processor is a service that handles transactions between buyers and sellers. 

When a student purchases your online course, the payment processor verifies the transaction, authorizes the payment, and transfers the funds to your account. It ensures secure and efficient processing of credit cards, digital wallets, and other payment methods.

Payment processors are essential because they manage fraud detection, security compliance, and transaction approvals. Without one, you would need to handle these complexities manually, which is neither practical nor secure.

How does this differ from a payment gateway? A payment gateway is a technology that collects and encrypts payment details before sending them to the processor for approval. The processor then communicates with banks and card networks to complete the transaction. So, the gateway facilitates the data transfer while the processor executes the payment.

Choosing the right payment processor is crucial for course creators. It affects 

• transaction fees, 
• payout times, and 
• the payment methods you can offer. 

Let’s see how you can choose the right payment processor for your course business, what you should avoid, and what you should pay attention to. 

Key considerations when choosing a payment processor 

• Does it support YOUR business model?

Some processors work well for subscriptions and recurring payments, while others do not. If you plan to offer subscriptions and memberships, make sure the processor you choose allows that option. 

• Is it available in your country?

Not all payment processors work everywhere. You can have an account on the most popular solutions out there. But before you do it, check their websites or request information on whether the processor is accessible in your country.

• Does it offer multiple payment methods?

No matter what they want to buy, people expect options. Credit cards, PayPal, Apple Pay, Google Pay, and even local payment methods can impact conversion rates. The easier you make it for them to pay, the fewer sales you lose.

• How much are the fees?

It is no secret that almost every processor takes a cut. Transaction fees, currency conversion fees, and chargeback fees. These add up. Some providers charge a percentage per sale; others have monthly fees. But what I want you to pay attention to is the hidden fees some charge. Make sure you are well aware of how transactions work for that system so you know if you can trust them. 

• Is it secure?

One of the most important factors is security. A good processor has fraud protection, PCI compliance, and encryption.

• How fast are the payouts?

Some processors take days to transfer funds. Others release them instantly. If this is important for you, look at payout times and minimum withdrawal limits.

• Does it integrate with your platform?

Of course, your processor should connect seamlessly with the course platform you currently use. Because the last thing you want is complicated setups, so, check if it integrates with the tools you already use.

These are the same criteria I used when evaluating the best payment processors for you. 

If you are running your course business on Uteach, lucky you. Because you can be sure that Uteach integrates with all of the options mentioned below. One great thing about Uteach? It supports more than 20 payment processors, and the list is always expanding. Among them, you can find even your local payment providers. 

Another great news is that Uteach actively integrates local payment gateways. So, if you cannot find yours yet, we would be happy to integrate per request. 

Best payment processors you can use for your course business 

Here is a quick breakdown of some of the best payment processors to sell your courses and products: 

PayPal

Payment methods: Bank account, Visa, Mastercard, Discover, or American Express Card, PayPal Balance

PayPal is a widely used payment processor that supports businesses in over 200 countries. It allows accepting one-time payments, subscriptions, and installment plans.

Its biggest advantage is convenience. Millions of users already have PayPal accounts, allowing for faster checkouts without entering card details. This reduces friction and improves conversion rates. It also supports multiple payment methods, including credit and debit cards, PayPal balance, bank transfers in some regions, and Buy Now, Pay Later options.

Security is another strength. PayPal offers fraud protection, dispute resolution, and buyer-seller protection. It integrates easily with most course platforms and marketplaces.

What makes PayPal unique is its digital wallet function. Students can pay directly from their PayPal balance, and the PayPal Pay Later feature allows them to split payments into installments. This is great if you have higher-priced programs. 

Pros

• Easy to use and highly-trusted
• Does not charge fixed fees every month

Cons

• Can freeze funds because of the security measures, which frustrates users 

In fact, many user reviews mention this as a disadvantage for their businesses. 

Pricing: The transaction fees for PayPal depend on the specific currency and the type of transaction, which is frustrating. For example, with PayPal checkout and USD, they keep 3.49% plus 0.49 USD. 

Supported countries: Around 200 countries around the world.

Learn more: How to Use PayPal with Uteach. 

Stripe

Payment methods: Visa, American Express, Apple Pay, Klarna, Discover, Affirm, Mastercard, ACH Debit, USD bank transfers, Google Pay, Click to Pay, Afterpay, and more.  

Stripe supports one-time payments, subscriptions, installment plans, and marketplace payouts. You can use it to sell individual courses, offer memberships, or split payments with other instructors.

Unlike PayPal, Stripe keeps the checkout process on your website. This reduces drop-offs and improves conversions. It integrates easily with most course platforms and supports custom checkout designs.

Stripe accepts credit and debit cards, Apple Pay, Google Pay, bank transfers, and over 135 currencies. Here, you can also set up automated payouts, create fully customized payment flows, set up tax collection, and manage refunds directly from the dashboard.

If you need to share revenue with other instructors, the processor has Stripe Connect. You can use this to automate revenue splits between instructors or your affiliates.  

Pros

• Customizable checkout experience
• Offers solutions for revenue and finance automation

Cons

• The billing setup feels manual and complicated, as reported by reviewers.

Overall, reviewers describe Stripe as a reliable and efficient payment processor. 

Pricing: The standard solution keeps 2.9% + 30¢, and it also offers a custom package

Supported countries: Stripe is currently supported in 46 countries. 

Learn more: How to Use Stripe with Uteach

PayU

Payment methods: Credit and debit cards, bank transfers, e-wallets, installments, cash, loyalty, QR codes 

PayU is a global payment processor focused on emerging markets. It works in regions where other major processors, like Stripe or PayPal, have limitations, particularly in Latin America, Central and Eastern Europe, Africa, and India.

One of PayU’s biggest advantages is its strong support for local transactions. It accepts credit and debit cards, bank transfers, digital wallets, and even region-specific payment methods like UPI in India and Boleto in Brazil. This makes it easier for students to pay using familiar methods, reducing drop-offs.

PayU enables one-time payments, recurring billing for subscriptions, and installment plans. Businesses can automate payments, manage refunds, and customize checkout flows to match their needs.

Pros

• Adapts to local payment preferences
• Supports over 450 payment methods

Cons 

• The pricing is not standard for all markets. 

Although some reviewers complain of high transaction fees, they also find PayU easy to set up. 

Pricing: The options are not transparent. PayU charges a transaction fee of 2% + goods and services tax (18%) for most domestic transactions in India, including payments via debit cards, credit cards, net banking, UPI, and wallets. For American Express and Diners cards, as well as international transactions and EMI options, the transaction fee is 3% + GST. 

Supported countries: PayU is currently available in around 50 countries. 

Learn more: How to Use PayU with Uteach

Adyen

Payment methods: Apple Pay, Google Pay, Visa, Mastercard, American Express, online banking, and popular digital wallets of different countries. 

Adyen positions itself as an all-in-one platform. Instead of using separate tools for payment processing, fraud detection, and financial reporting, Adyen combines everything in one system. This gives businesses real-time insights into transactions, chargebacks, and customer payment preferences.

Adyen also supports recurring payments. So, if you offer memberships or subscription-based learning programs, you will be able to accept those payments. It has automation tools to help manage billing cycles, refunds, and failed payments without manual intervention.

Adyen is PCI Level 1 compliant and uses AI-powered fraud protection to detect suspicious transactions before they become a problem. This helps reduce chargebacks and protects your revenue.

One great thing about this processor is its direct banking relationships. Unlike many processors that rely on third-party networks, Adyen processes payments directly. So, it reduces transaction failures and improves payout speed. 

Pros

• Interchange ++ pricing, so you see what exactly you are being charged for and how much
• Support for local currencies and payment methods

Cons

• Fees appear as expensive for small businesses 

With that being said, people describe Adyen as a reliable solution for their businesses in their reviews. 

Pricing: The transaction feed depends on the payment method you choose with Adyen. It is €0.11 fixed fee plus the payment method fee. 

Supported countries: 31 countries in Europe, plus Canada, USA, Singapore, Australia

Learn more: How to Use Adyen with Uteach

PayTabs 

Payment methods: Apple Pay, Wallets, and cards from different countries 

PayTabs is a payment processor built for businesses in the Middle East, North Africa, and South Asia. If you are selling courses in these regions, PayTabs offers strong local support and multiple currency options. 

PayTabs also enables subscription payments. It automates renewals and can send reminders to students. It is also PCI-DSS certified and provides built-in fraud prevention tools.

To help businesses manage the checkout process more smoothly, PayTabs offers integrations with popular shopping cart plugins like Shopify, WooCommerce, and more. What is great about PayTabs is that it is highly focused on a specific local market and businesses in the Middle East and surrounding regions. Consequently, it offers installment payment plans that are specific to these regions, which makes it a flexible payment option.

Pros

• Ready-made plugins for popular e-commerce platforms 
• Social payment opportunities via Paymes

Cons

• No mobile app for Android systems 

When it comes to reviews, people mostly commenting on customer service. Some found the team helpful, while other had issues contacting them. 

Pricing: Depends on the plan you are on and is complicated (Start up, Growth, Enterprise). Start up does not have transaction fees, yet charges $250 for setup. 

Supported countries: Supports 17+ countries, including UAE, Egypt, Jordan, Palestine, Oman, etc. 

Learn more: How to Use PayTabs with Uteach

FAQ: Payment processor vocabulary explained 

The terms payment processor use in their documentation and communication can be confusing. Let’s find out what there is to know so you can make a better decision on your payment processor. 

• What is interchange ++?  

Interchange++ is a pricing model that payment processors use to calculate transaction fees. Instead of charging one fixed fee per transaction, it breaks the cost into three parts:

1. Interchange fee – This is the fee that your student’s bank charges for processing the payment. It varies based on the card type (debit, credit, premium) and the region.
2. Card scheme fee – This is a fee set by card networks like Visa or Mastercard for using their payment infrastructure.
3. Processor’s markup – This is what the payment processor charges for handling the transaction.

Why does this matter? Because with Interchange++, you see exactly where your money is going. It is more transparent than a flat-rate fee, and for businesses with high sales volume, it can actually be cheaper. 

• What is a payment gateway? 

A payment gateway is the tool that connects your online course platform to a payment processor and the banks involved in the transaction. It securely transfers payment details from your student to the processor and then confirming whether the payment is approved or declined.

When a student enters their card details to buy your course, the payment gateway encrypts the information and sends it to the processor. The processor then communicates with the bank to approve or reject the payment. If approved, the gateway sends a confirmation, and the student gets access to the course.

Some payment processors, like Stripe and PayPal, have built-in gateways. 

• What is a rolling reserve? 

A rolling reserve is a portion of your earnings that a payment processor holds back for a set period before releasing it to you. It acts as a financial safety net for the processor in case of refunds, chargebacks, or fraud.

For example, if your payment processor sets a 10% rolling reserve for 90 days, this means that for every $1,000 you earn, $100 is held for three months before being released to you. This cycle continues, with older reserves getting paid out as new ones are held back.

Why does this matter? Because as a course creator, you might not get all your money right away. If you sell high-ticket courses or subscriptions, some processors may require a rolling reserve to protect against chargebacks.

• What is PCI compliance? 

PCI compliance (Payment Card Industry Compliance) is a set of security standards that businesses must follow to protect customer payment data. It is enforced by major card networks like Visa, Mastercard, and American Express.

If you accept credit or debit card payments for your courses, you need to make sure your payment processor is PCI compliant. This means they follow strict rules to encrypt, store, and transmit card details safely. If a processor is not PCI compliant, your business could be at risk for data breaches, fines, or losing the ability to accept card payments.

• What is a chargeback? 

A chargeback happens when a customer disputes a payment with their bank and gets their money refunded. Instead of asking you for a refund, they go straight to their card issuer, who then pulls the money from your account.

Chargebacks can happen for many reasons. For example, fraud, unauthorized transactions, or even a student forgetting they bought your course.

To reduce chargebacks, make sure your course descriptions are clear, use recognizable billing descriptors, and have a refund policy in place. Some payment processors also offer fraud protection tools to help catch risky transactions before they become a problem

• What is a merchant account? 

A merchant account is a special type of bank account that allows you to accept online payments. It holds the funds from student payments before they are transferred to your business bank account.

When a student buys your course, the money does not go directly to you. It first passes through the payment processor and is temporarily stored in your merchant account. After a set period (usually a few days), the funds are released to your regular bank account.

Some payment processors, like PayPal and Stripe, offer aggregated merchant accounts, meaning they group multiple businesses under one large account. Others, like Adyen, let you have your own dedicated merchant account, which can provide more control but requires additional setup.

• What are merchant fees?

Merchant fees are the costs you pay to accept online payments. Every time a student buys your course, your payment processor takes a small percentage of the transaction or charges a fixed fee.

These fees typically include:

• Transaction fees – A percentage of the sale (e.g., 2.9% + $0.30 per transaction for Stripe and PayPal).
• Interchange fees – The cost set by card networks (Visa, Mastercard) that payment processors pass on to you.
• Chargeback fees – Extra costs if a student disputes a payment.
• Monthly or setup fees – Some processors charge a fixed amount just for using their service.

• How do you choose a payment processor?  

Choosing a payment processor for your course business is all about finding the right fit. It needs to support your business model, handle payments smoothly, and not charge excessive fees. If you sell globally, check currency and country support. Some processors charge extra for cross-border transactions.

One of the most important things is checking if your course platform supports it. If you run your courses on Uteach, you can find your local gateways and payment methods. Uteach is one of the very few platforms that supports more than Stripe and PayPal. 

Learn more about Uteach’s payment gateways and accept payments easily.