What Is a White-Label Payment Gateway?

by Ann deBruyn

Online businesses need a payment gateway , a portal where customers can securely enter their payment information to process transactions on their websites. White-label payment gateways, unlike traditional gateways, let businesses customize the online checkout process with their own names, logos and brand components without having to create their own systems from scratch. Many payment processors now have white-label checkout tools or open software for developers to fully customize the checkout process, and some companies make products solely for white-label use.

Nerdy tip: White-label products are produced by one company and rebranded by another. In the case of payment gateways, it means that you can rebrand the checkout process so your customer doesn't see the name of the payment software you used.

Benefits of a white-label payment gateway

Can improve brand consistency

A white-label service increases brand recognition and consistency because the customer won’t have to leave the business page to checkout or see multiple brand logos and layouts. This can make your online business appear more streamlined and reliable.

Relatively inexpensive and convenient

A customizable platform can make online store customization much easier, as businesses may be able to take advantage of advanced tools without hiring someone to code a custom checkout page.

Drawbacks of a white-label payment gateway

Requires coding

Most payment service providers offer checkout customization through the platform’s application programming interface, or API, which can require developer experience to use. Platforms like Dwolla or WePay Clear, which are made to be white-label, may be easier to use but can have less flexibility than payment giants like Stripe.

Might need a separate processor for in-person options

Many white-label payment gateways and payment service providers that offer customization are geared for online businesses. Payment services that offer brick-and-mortar payment processing tend to be less individualized, so businesses might have to compromise or choose a separate option.

Best white-label payment service providers

Stripe

Cost: 2.9% plus 30 cents per transaction.

Stripe is one of the most popular payment platforms. In addition to its large suite of features and add-ons, the platform is highly customizable through its sandbox API and developer tools. Though it may take developer experience to take full advantage of the tools, Stripe can be completely branded to match your website.

Customization options include color, font, shapes and brand logos, plus the option to use your business URL instead of Stripe’s so customers aren’t redirected during checkout.

Dwolla

Cost: Quote-based pay-as-you-go pricing. Plans free and up.

Dwolla is a white-label payment service that integrates your business with the Automated Clearing House network to send and receive ACH payments. The software, when integrated with your online website, can be fully customized to match your business’s branding.

With lower per-transaction fees than a typical payment processor, it's a good option for businesses that only accept payments via bank transfer, like real-estate investors, utility providers, wealth management businesses and reimbursement services. API access for further customization costs an additional $250 per month.

WePay Clear

Cost: Quote-based.

WePay offers a white-label payments integration on top of its standard payments platform. The Clear service helps businesses integrate WePay into their websites and checkouts without redirecting customers. You can either build your own checkout form or customize existing templates, enabling you to have your brand colors and logo appear seamlessly throughout the payment process.

Like Stripe, you may need some developer experience to get the most out of the API, but customer support can assist with more basic customization.

Braintree

Cost: 2.59% plus 49 cents per transaction for card and digital wallet payments.

Braintree is a merchant services provider within the PayPal brand suite that offers payment processing services for mobile apps and websites. Like Stripe, Braintree has an advanced API that developers can use to customize checkout and payment pages.

The platform doesn't charge monthly fees, payment card industry, or PCI, compliance fees or minimum transaction fees, and it accepts a wide variety of payment options. In-person options are minimal, but it’s comparable to Stripe for a customizable online payment platform.