How to Accept “Pay by Bank” Payments

Pay by Bank is an account-to-account (A2A) payment method that transfers money directly from a customer’s bank account to a store’s bank account.

European merchants accept Pay by Bank by connecting an A2A payment gateway to their website. Bank payments eliminate credit card processing fees and stop subscription payment failures caused by expired cards.

Whether you are adding bank transfers to an existing credit card checkout or launching a brand-new store from scratch, accepting European bank payments follows four simple steps:

Step	Goal	Key Action
Step 1: Pick Your Method	Match your product type	Choose Open Banking for one-time sales, direct debit for subscriptions, or both.
Step 2: Set up Your Account	Get authorised to take bank funds	Submit basic ID and company papers for online verification.
Step 3: Connect Integration	Link your checkout page	Turn on a single gateway setting or install a plugin.
Step 4: Test & Launch	Ensure order accuracy	Run a test sale, check order status, and turn on “live mode.”

Step 1: Choose Your Pay by Bank Method

Shop owners must pick the right bank payment type based on whether they sell one-time products or recurring subscriptions:

• Instant Bank Transfer (Open Banking): Redirects buyers to their online banking or mobile app during checkout to approve their one-time purchases instantly using Face ID or fingerprint.
• SEPA Direct Debit: The Single Euro Payments Area (SEPA) collects recurring subscription payments automatically after a customer signs a digital agreement at checkout.

What If You Need Both Payment Types?

Maintaining two separate systems for single sales and recurring bills creates extra work and higher fees. An all-in-one payment provider solves this problem by grouping both options together. The system automatically routes one-off sales through instant transfers and recurring bills through direct debit under one central control panel.

Step 2: Set Up Your Account for Pay by Bank

You must unlock official access to European banking networks before you display bank payment options on your site. Your setup path depends on how your current online store is built.

Option A: Adding a Second Provider to Accept Payments

You can open a secondary account with a specialist provider if your current card company does not support European bank transfers.

Keep in mind that managing multiple payment providers creates “dashboard chaos.” You end up with separate transaction reporting, split payout schedules, duplicate monthly account fees, and complex accounting reconciliation across different software tools.

Option B: Moving to an All-in-One Gateway

Many growing stores replace their limited payment company with an all-in-one platform like Unicorn Group instead of juggling multiple tools. Their full-service payment platform lets you accept payments online from credit cards, debit cards, digital wallets, and European bank transfers into one bank account. This setup keeps all your financial records in one place and lowers your overall processing costs.

Comparing Gateway Setup Options

Feature	All-in-One Gateway (Unified)	Secondary Provider (Stacked)
Setup Complexity	Single account and single dashboard	Multiple accounts and separate logins
Checkout Impact	Clean, combined payment list	Multiple plugins and cluttered checkout
Financial Reporting	Unified payouts and simple bookkeeping	Split payouts and double reports
Processing Costs	Lower total software overhead	Double monthly account and gateway fees
Best Choice For	Growing stores and clean launches	Legacy setups unable to switch card processors

Digital Verification

Either path requires a quick document check to follow financial safety rules. You will submit three basic items through an online portal:

1. Business Proof: Official company signup papers and tax details
2. Owner ID: Government photo identification for company leaders
3. Bank Details: An official bank document showing where to send your payout money

Step 3: Connect the Checkout Integration

A Pay by Bank setup connects your website’s checkout page straight to European financial institutions. This step makes sure order approvals automatically change your store records from Unpaid to Paid and send items to fulfilment.

Your integration setup depends on how your main account is built.

The Single-Plugin Setup (All-in-One Provider)

Stores with an all-in-one payment provider can turn on bank payments in a few clicks. You just update your current plugin settings or check the “Pay by Bank” box inside your store’s admin panel. The new option appears right next to credit cards on your checkout page without extra coding.

The Multi-Plugin Setup (Secondary Provider)

Merchants who add a second provider alongside their card company must download an extra plugin or paste secondary code into their site. Be aware that extra checkout plugins from different software companies will clutter your payment page, slow down your website, and may break during site updates.

Integration Options & Technical Support

Merchants connect their store using two main methods:

1. Online Store Plugins: Ready-made add-ons for popular e-commerce platforms let you add bank options without writing code.
2. Direct Gateway APIs: Customisable code keys give custom websites total control over how the checkout looks.

What If You Do Not Have a Web Developer?

Dealing with website code often leads to tech headaches and delays. Pick a payment provider that offers free setup support to remove this worry. Their experienced technical team hooks the system up to your store for free.

Step 4: Test Your Store & Go Live

Testing your payment setup makes sure money and orders flow smoothly before real customers try to buy.

Shop owners finish their launch with two quick actions.

1. Run a Test Sale

Switch your payment gateway settings into “test mode” and place a fake order on your site. Verify that approving a test bank transfer automatically flips your store record from Unpaid to Paid. This quick check shows that your checkout and order systems are properly connected.

2. Switch to Live Mode

Change your gateway settings from Test to Live inside your store dashboard. The “Pay by Bank” option will now show up for real buyers on your live checkout page.

Benefits of Switching to Pay by Bank Transfers

Online shop owners who add direct bank transfers to their checkouts solve three major financial headaches for their online stores.

Eliminates Extra Card Fees

Taking credit cards means paying several different processing fees on every sale. Card companies charge interchange fees, processing fees, network assessment fees, and extra monthly gateway costs. Pay by Bank uses simple, flat fees that save huge amounts of money on large orders.

Stops Chargeback Fraud

Customers can trick credit card companies into forcing dishonest refund reversals. Pay by Bank transfers require buyers to log into their personal bank app and use Face ID or a fingerprint, which makes completed payments final.

Gets You Paid Faster

Regular credit card payouts take 24 to 72 hours to reach your business bank account. Modern bank transfers deposit cleared money into your account in under 10 seconds.

Industry Data: Market research from Juniper Research shows that global direct bank payments will top 186 billion transactions by 2029, mostly because merchants want lower fees and faster payouts. Retail group Ecommerce Europe also reports that steady rises in extra card network fees are a growing concern for European merchants looking to protect their margins.

Local Payment Preferences Across Europe

European shoppers rarely want to use credit cards online. Customising your checkout options by country prevents cart abandonment:

• The Netherlands: Over 70 per cent of online purchases occur through direct bank transfers using the local iDEAL network.
• Germany: Consumers overwhelmingly prefer direct bank transfers and direct debits over credit cards.
• Poland: Bank transfers are widely used for online purchases.
• Belgium: Regional bank-linked options lead online commerce.

Make Mobile Payments Easy for Customers

When a customer gets sent to their bank app on a phone, any small problem can make them walk away without buying. Follow these simple tips to keep your checkout running smoothly and keep sales high:

• Open the Bank App Directly: Your site should automatically open the customer’s bank app on their phone instead of sending them to a web browser. This saves buyers from typing in sensitive bank account details and keeps them from abandoning their purchase.
• Use a Clear Store Name: Use your business name so customers easily recognise your store on their bank statements.
• Retry Failed Subscription Payments: Set your system to retry failed subscription payments automatically at a later time. This recovers lost sales without requiring extra work from your team.

Pay by Bank Optimises European Checkouts

Pay by Bank optimises European checkouts by transferring money directly from a customer’s bank account to a store’s account without relying on credit cards. Online merchants who adopt this system eliminate credit card processing fees, prevent chargeback fraud, and receive cleared payouts in seconds.

Store owners are able to match local European buying habits by offering instant bank transfers for single purchases or direct debits for recurring bills. Choosing a single, unified payment gateway simplifies setup, keeps financial reporting in one place, and ensures a smooth checkout experience for your online shoppers.

Published: July 15, 2026
Last updated: August 17, 2026