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July 7, 2026•5 min read•PixelGrid Team

Razorpay vs PayU vs CCAvenue: Best Payment Gateway for Indian E-Commerce

E-CommerceIndiaShopify
Razorpay vs PayU vs CCAvenue: Best Payment Gateway for Indian E-Commerce

If you're building an online store in India, picking the right payment gateway is one of the most important decisions you'll make. Get it wrong and you'll deal with failed transactions, poor UPI support, or fees eating into your margins.

Here's a straight comparison of the three most widely used gateways: Razorpay, PayU, and CCAvenue.

Razorpay: Best for Most Indian Businesses

Razorpay is the default recommendation for the majority of Indian online stores, and for good reason. Founded in Bangalore in 2014, it was built specifically for the Indian payments landscape.

Fees:

  • Standard MDR: 2% per transaction (domestic cards and UPI)
  • No setup fee, no annual fee
  • International cards: 3%

Payment methods supported:

  • UPI (Google Pay, PhonePe, Paytm, BHIM)
  • Credit and debit cards (Visa, Mastercard, RuPay)
  • Net banking (50+ banks)
  • Wallets (Paytm, Mobikwik, Freecharge)
  • EMI (credit card and cardless)
  • Pay Later / BNPL (ZestMoney, LazyPay)

Settlement: T+2 days (instant settlement available at 1.5% extra)

Integrations:

  • Shopify: official Razorpay app on the Shopify App Store
  • WooCommerce: official plugin, well-maintained
  • Custom websites: clean REST API with excellent documentation

Why it works: The dashboard is modern and genuinely useful — you can issue refunds, view analytics, manage subscriptions, and generate payment links all in one place. Support is responsive via chat. Onboarding takes 1–2 business days after KYC.

One limitation: Razorpay's international payment coverage is narrower than PayU for some less common currencies.

PayU: Best for High-Volume and Enterprise

PayU has been operating in India since 2011 and processes a significant portion of Indian online payments. It's the preferred choice for large businesses and high-volume merchants who can negotiate rates.

Fees:

  • Standard MDR: 2% (cards), lower for UPI (platform bears cost)
  • Setup fee: varies; sometimes waived for established businesses
  • Volume-based pricing available for merchants processing ₹50 lakh+/month

Payment methods supported:

  • All major UPI apps
  • Cards (domestic and international)
  • Net banking (100+ banks)
  • Wallets
  • EMI options
  • BNPL

Settlement: T+2 days

Integrations:

  • Shopify: available via third-party apps
  • WooCommerce: official plugin available
  • Custom sites: REST API

Why it works: PayU's strength is reliability at scale. If you're processing thousands of transactions daily, their infrastructure holds up well. They also have stronger international payment capabilities than Razorpay, making them a good fit for businesses selling to NRIs or overseas buyers in Indian rupees.

The downside: The dashboard feels dated compared to Razorpay. Onboarding can take longer, and support is less responsive for smaller merchants.

CCAvenue: Best for Large Enterprises with Complex Needs

CCAvenue is one of India's oldest payment gateways, launched in 2001. It's deeply embedded in the enterprise sector — government portals, large retailers, and travel companies often use it.

Fees:

  • Standard MDR: 2% (negotiable for high volume)
  • Annual maintenance fee: ₹1,200–₹2,400/year depending on plan
  • Setup fee for some plans

Payment methods supported:

  • 200+ payment options — the widest coverage of the three
  • All major UPI apps, cards, wallets, net banking
  • International cards in multiple currencies
  • EMI across many banks

Settlement: T+2 days

Integrations:

  • Shopify: available via plugin
  • WooCommerce: plugin available
  • Custom sites: API (older, more complex to work with)

Why it works: CCAvenue's 200+ payment options is genuinely unmatched. If you need to accept Diners Club, JCB, or obscure regional payment methods, CCAvenue covers them. For government-adjacent businesses or enterprises with compliance requirements, it's often the mandated choice.

The downsides:

  • The integration experience is significantly more complex than Razorpay
  • The checkout UI looks dated and can hurt conversions
  • Annual fees add up
  • Not the right choice for startups or SMBs

Side-by-Side Comparison

| Feature | Razorpay | PayU | CCAvenue | |---|---|---|---| | Standard MDR | 2% | 2% | 2% | | Setup / Annual fee | None | Varies | ₹1,200–₹2,400/yr | | UPI support | Excellent | Excellent | Good | | International payments | Good | Better | Best | | Shopify integration | Official app | Third-party | Plugin | | WooCommerce integration | Official plugin | Official plugin | Plugin | | Dashboard quality | Modern | Average | Dated | | Onboarding speed | 1–2 days | 3–5 days | 5–7 days | | Best for | SMBs, startups | High-volume merchants | Enterprises |

Which One Should You Choose?

Choose Razorpay if: You're a startup, SMB, or D2C brand building on Shopify or WooCommerce. Clean integration, modern dashboard, no unnecessary fees, and the best developer experience of the three.

Choose PayU if: You're processing high transaction volumes and want to negotiate rates, or if you have significant international customers paying in INR.

Choose CCAvenue if: You're a large enterprise with complex payment requirements, government-related business, or specific compliance needs that require the widest payment method coverage.

For most PixelGrid clients building Shopify or WooCommerce stores, we integrate Razorpay by default — it's the fastest to set up, the most reliable for everyday Indian buyers, and the easiest to manage post-launch.

Need help integrating a payment gateway into your store? Get in touch and we'll handle the entire setup.