Best payment gateway with no setup fee India 2026

In India (2026), **no payment gateway is truly “zero cost”**, but several have **₹0 setup fee + no monthly/AMC charges**, so you only pay per transaction (MDR). Here are the **best options with no setup fee in India right now**: --- ## 🥇 1. Razorpay (Best overall default) - ✔️ Setup fee: ₹0 - ✔️ Monthly fee: ₹0 (standard plan) - 💳 Charges: ~2% per transaction + GST - ⚡ Settlement: T+1 to T+2 days - 🧾 Supports: UPI, cards, EMI, netbanking, subscriptions **Why it’s #1:** Most startups use it because onboarding is fast, UPI success rates are high, and integrations (Shopify, WooCommerce, APIs) are the easiest in India. 👉 Best for: startups, D2C brands, SaaS, freelancers --- ## 🥈 2. Cashfree Payments (Best for low cost & speed) - ✔️ Setup fee: ₹0 - ✔️ Monthly fee: ₹0 (basic plans) - 💳 Charges: ~1.75%–1.95% depending on volume - ⚡ Settlement: T+1 (faster cash flow) - 🧾 Strong in: payouts, bulk disbursals, UPI-heavy businesses **Why people choose it:** Cheaper than Razorpay at scale + faster settlements. 👉 Best for: marketplaces, high-volume ecommerce, payout-heavy businesses --- ## 🥉 3. PayU (Best for enterprise / EMI-heavy businesses) - ✔️ Setup fee: usually ₹0 (sometimes waived offers) - 💳 Charges: ~1.99%–2%+ (negotiable) - ⚡ Settlement: T+2 to T+3 - 🧾 Strong in: EMI, BNPL, enterprise banking **Why choose it:** Better for large businesses and EMI-driven sales (electronics, high-ticket items). 👉 Best for: enterprises, big D2C brands, EMI-heavy stores --- ## 🧾 4. PhonePe Payment Gateway (UPI-first option) - ✔️ Setup fee: ₹0 - 💳 Charges: ~2% or lower for UPI-heavy setups - ⚡ Settlement: T+1 - 🧾 Strong in: UPI conversion rates 👉 Best for: businesses where 80–95% payments are UPI --- ## 🧠 Quick decision guide (simple) - Want safest default → **Razorpay** - Want lowest cost at scale → **Cashfree** - Want EMI / enterprise deals → **PayU** - Want UPI-only focus → **PhonePe PG** --- ## ⚠️ Important reality check Even “no setup fee” gateways: - charge ~1.5%–2.5% per transaction - may add GST - sometimes have hidden costs like instant settlement fees or AMC on higher plans So the real competition is not setup fee—it’s **transaction cost + payment success rate + settlement speed**. --- If you tell me your use case (website type, monthly sales, UPI vs cards), I can suggest the *cheapest real-world combination* instead of just the popular ones.

In India, almost all major modern payment gateways have shifted away from charging upfront setup fees or Annual Maintenance Charges (AMC) for their standard plans. Instead, they operate on a **pay-as-you-go** model, where you only pay a percentage per successful transaction (Merchant Discount Rate or MDR). The best payment gateways in India with **zero setup fees** and **zero AMC**, categorized by your business needs, include: --- ### 1. Razorpay (Best Overall & Most Reliable) Razorpay is the market leader for startups and small-to-medium enterprises (SMEs) due to its superior developer APIs, high success rates, and quick digital onboarding. * **Setup Fee / AMC:** ₹0 * **Transaction Fee (MDR):** Standard **2.0%** per successful transaction (for domestic credit/debit cards, net banking, UPI, and wallets). It goes up to 3% for international cards. * **Best For:** E-commerce stores, SaaS startups, and businesses looking for seamless integrations (Shopify, WooCommerce, etc.) and a clean customer checkout experience. ### 2. PhonePe Payment Gateway (Best for High UPI Volume) PhonePe has aggressively captured market share by heavily discounting its fees, making it one of the most cost-effective options on the market. * **Setup Fee / AMC:** ₹0 * **Transaction Fee (MDR):** Standard plan is free to set up. While they historically offered a 0% promotional rate for UPI, they generally offer highly competitive standard rates (often lower than 2%) or custom pricing depending on transaction volume. * **Best For:** Businesses whose target audience heavily utilizes the PhonePe app and UPI ecosystem. ### 3. Cashfree Payments (Best for Fast Payouts & Disbursals) Cashfree is Razorpay's closest direct competitor, heavily favored by businesses that need to automate refunds or pay out vendors instantly. * **Setup Fee / AMC:** ₹0 * **Transaction Fee (MDR):** Starts around **1.75% to 2.0%** for standard domestic modes. They frequently offer introductory promotional rates (like 1.6% for the first year) for new merchants. * **Best For:** Marketplaces requiring split-payment settlements, on-demand delivery apps, or businesses managing high-volume vendor payouts. ### 4. Instamojo (Best for Solo Creators & Freelancers) If you don't have a fully functional website or a developer to code an integration, Instamojo is a no-code alternative that lets you create payment links or simple online store pages instantly. * **Setup Fee / AMC:** ₹0 (Lite Plan) * **Transaction Fee (MDR):** **2.0% + ₹3** per successful transaction. * **Best For:** Freelancers, digital creators, and home bakers who just want to collect payments via a WhatsApp or Instagram link. ### 5. Zaakpay by MobiKwik (Best Bootstrapped Startup Sweetener) Zaakpay offers an attractive startup plan designed to help early-stage businesses keep costs down during their launch phase. * **Setup Fee / AMC:** ₹0 * **Transaction Fee (MDR):** Offers **0% MDR on your first ₹5 Lakhs** of Gross Merchandise Value (GMV) under their startup scheme. Afterward, standard rates hover around **1.85%**. * **Best For:** Bootstrapped startups looking to save every rupee on transaction fees in their first few months. --- ### Summary Checklist: How to Choose | Payment Gateway | Setup Fee / AMC | Standard Domestic Fee | Key Strength | |:--- |:--- |:--- |:--- | | **Razorpay** | ₹0 | 2.0% | Best success rates & integrations | | **PhonePe PG** | ₹0 | Highly Competitive / Vol-based | Native UPI ecosystem trust | | **Cashfree** | ₹0 | 1.75% – 2.0% | Industry-leading payout & refund APIs | | **Instamojo** | ₹0 | 2.0% + ₹3 | No-code setup & instant payment links | | **Zaakpay** | ₹0 | 1.85% (Free first ₹5L GMV) | Great for saving initial capital | > 💡 **Pro-Tip on Hidden Costs:** All payment gateway fees attract an additional **18% GST** on the transaction fee itself (not the product cost). For example, on a 2% fee for a ₹1,000 product, the gateway takes ₹20 + 18% GST (₹3.60), meaning you receive ₹976.40. If you already have a website hosted on a platform like Shopify or WooCommerce, **Razorpay** or **Cashfree** will give you the easiest plugin setup with zero upfront cost.

The best payment gateway with no setup fee in India is ****, which remains the industry standard for most startups and e-commerce stores. It features **₹0 setup fees** and **zero Annual Maintenance Charges (AMC)**, operating strictly on a transparent pay-as-you-go model. While Razorpay is the top all-rounder, multiple RBI-compliant gateways offer zero setup fees tailored to different business needs. Top Zero-Setup Payment Gateways Compared | Payment Gateway | Setup Fee | Annual Maintenance (AMC) | Standard Transaction Fee (MDR) | Best For | |---|---|---|---|---| | **Razorpay** | **Free** | **Free** | 2% + GST | Overall standard & easy integrations | | **PhonePe PG** | **Free** | **Free** | 1.95% + GST | Lowest transaction fee for top-tier UPI | | **Cashfree** | **Free** | ₹4,999/year (Standard plan) | 1.75% – 1.95% + GST | Bulk payouts & fast settlements | | **PayU India** | **Free** | **Free** | 2% + GST | International scaling & enterprise volumes | | **Instamojo** | **Free** | **Free** | 2% + ₹3 per transaction | Solopreneurs & links without a website | Detailed Breakdown of the Best Options - **Razorpay** - **Zero hidden fees**: No onboarding, setup, or hidden software costs. - **Top checkout UI**: Exceptional smart routing algorithms that boost payment success rates to 85-90%. - **Unmatched integrations**: Seamless native plugins for popular platforms like Shopify, WooCommerce, and Wix. - **** - **UPI dominance**: Leverages India’s largest UPI ecosystem for ultra-low friction checkout. - **Competitive pricing**: Marginally lower transaction rates (1.95%) compared to the standard 2% flat rate. - **Clean reporting**: Transparent, free onboarding with helpful real-time transaction insights. - **** - **Global reach**: Supports multi-currency payments across 150+ countries, making it ideal if you sell overseas. - **High reliability**: Excellent enterprise-grade infrastructure with smart transaction routing. - **No maintenance costs**: True pay-as-you-go with zero upfront or hidden annual costs. - **** - **Fast cycles**: Best-in-class T+2 standard settlements, with instant 15-minute settlement options for qualified users. - **Marketplace friendly**: Advanced API tools built specifically for marketplace vendor splits and automated refunds. - **Note on cost**: While setup is free, keep in mind they levy a fixed yearly maintenance charge on standard tiers. If you would like to find the exact match for your platform, let me know your **website platform** (e.g., Shopify, custom code), expected **monthly transaction volume**, and whether you need to accept **international currencies**.