7 Key Factors for Choosing a Payment Service Provider in 2025
Are you a business owner, freelancer, or finance manager wondering how to pick a payment service provider in 2025 that truly meets your needs? With e-commerce expected to account for roughly 75% of all commerce by then, finding the right solution can make or break your revenue goals.
One-click payments have also drastically cut cart abandonment rates—from above 70% in multi-step checkouts to under 1% for single-click purchases. That kind of innovation highlights why smart businesses are taking a closer look at the future of payment services.
If you want more insight into how modern payment gateways function, check out our list of the best payment gateways in the US. Below, you will find seven essential factors to consider when selecting a provider in 2025, along with real data and examples to back up each point.
1. Security & Fraud Prevention
Whenever you process customer payments, safeguarding sensitive data must be a top priority. According to Visa, the company has invested over $3.3 billion in AI and data infrastructure over the past decade to improve risk assessments in digital transactions. This investment underscores how crucial fraud detection systems and advanced security measures have become.
What to Look For
AI-Driven Fraud Detection: Machine learning monitors hundreds of signals in real time. This is increasingly standard for top-tier providers.
Tokenization & Encryption: By replacing card details with secure tokens, your customers’ data remains less exposed.
Industry Compliance: PCI DSS compliance and regular network testing protect against data breaches.
Why It Matters
A single breach can erode your reputation and cost thousands—or even millions—in penalties and lost sales. PSPs with robust security features and proven fraud detection can reduce chargeback rates. Airbnb, for instance, reduced chargebacks by 60% when it implemented enhanced fraud detection tools.
2. Global Capabilities
Cross-border e-commerce might reach $2.2 trillion by 2025—meaning even modest-sized businesses are likely catering to international buyers. If you plan to scale worldwide, your provider should handle local payment methods, multi-currency processing, and compliance with various regional regulations.
Key Elements
Local Payment Methods: In China, Alipay accounts for over half of online transactions; in the Netherlands, iDEAL takes a similar share. A strong PSP recognizes major local preferences.
Real-Time Currency Conversions: Delays or poor rates can frustrate buyers and elevate your operational costs.
Regulatory Know-How: EU Strong Customer Authentication (SCA) guidelines or other regional mandates can affect approval rates.
Spotlight on Mural Pay
A standout example is Mural Pay’s Payments, tailored for businesses that require cross-border transactions with over 40 currencies supported. LATAM companies, for instance, can take advantage of local bank integrations to receive or send funds quickly without excessive foreign exchange markups.
3. Ease of Integration
Integration compatibility can save significant time and resources. Nearly 82% of businesses say they have lost revenue due to providers that were difficult to integrate with existing platforms.
Features to Assess
API-First Approach: A well-documented API is easier to work with, allowing custom payment flows or specialized checkout experiences.
Extensions & Plugins: Ready-made integrations—especially for popular e-commerce platforms—let you launch quickly.
Mobile SDK: With mobile commerce set to account for nearly three-quarters of all e-commerce, providers should offer an SDK that developers can adapt to your app.
Case Example
Deliveroo cut its engineering time on payment-related tasks by 50% when it moved to a platform with a simpler API. This boosted speed to market for app updates, resulting in a smoother checkout for customers on mobile devices.
4. Flexible Pricing & Fees
Transaction fees can be complex. You might face per-transaction charges, tiered pricing, setup fees, or monthly minimums. Some providers offer interchange-plus pricing—where you pay actual interchange costs plus a transparent markup—while others bundle fees in tiers.
Points to Compare
Volume-Based Discounts: Larger businesses may receive custom rates once they surpass a certain monthly threshold.
Chargeback & Dispute Costs: Some PSPs charge high fees for handling disputes, which can quickly eat into your margins.
Currency Conversion Costs: If you sell internationally, watch for hidden markup percentages on top of the mid-market rate.
Value-Added Tools
Some providers also include recurring billing or subscription management in their overall package. For example, Mural Pay’s Invoicing simplifies recurring charges and cuts down on administrative tasks for businesses that bill on a regular cycle.
5. Quality Customer Support
If your system goes down or you face a surge in payment declines, swift support can prevent a major dip in sales. Over 60% of consumers say they would stop doing business with a company that fails to resolve payment-related issues fast.
What Good Support Includes
24/7 Availability: Overnight bugs can be just as damaging as daytime issues if you serve international markets.
Dedicated Account Management: High-volume merchants may need a personal contact to expedite solutions.
Clear Documentation: Many small to midsize companies prefer self-service documentation for quick answers.
Why It’s Important
Unexpected outages or lengthy verification times can lead to abandoned carts and damaged trust. A reliable support team can keep your checkout process smooth whenever glitches arise.
6. Scalability & Performance
A strong provider can handle sudden traffic spikes, particularly during seasonal sales or product launches. Amazon processes hundreds of transactions per second during peak times—highlighting how crucial it is for your PSP to keep pace.
Core Components
High Uptime: Even a brief outage can result in catastrophic losses. Look for uptime above 99.9%.
Redundancy & Load Balancing: Multiple data centers ensure that if one fails, another picks up the load.
Transaction Speed: Fast authorizations reduce cart abandonment, especially for global buyers.
Resource to Explore
If you expect increased volume or foresee rapid business expansion, see these top Wise alternatives for businesses to compare performance and fees. Many solutions now focus on enterprise-level scaling without sacrificing speed.
7. Value-Added Services & Growing Demand
PSPs increasingly separate themselves from the pack by offering extra features—like AI-powered analytics, stablecoin on/off-ramps, or advanced subscription billing. These add-ons can streamline your workflow and empower new revenue opportunities.
Examples of Value-Adds
Subscription Management: Automated billing, dunning management, and flexible billing cycles are crucial for SaaS or membership sites.
Analytics & Reporting: Some providers offer real-time dashboards showing approvals, declines, location data, and more. This insight can reveal patterns to drive business decisions.
Stablecoin or Crypto Support: LATAM businesses and many emerging markets now lean on stablecoins as a hedge against currency volatility. A PSP that supports stablecoin payouts can help you expand into new regions.
Why Mural Pay Stands Out
Mural Pay excels at lowering foreign exchange fees while offering additional services like virtual accounts for USD/EUR. These virtual accounts give businesses operational flexibility by holding funds in different currencies, assisting with quick disbursements or vendor payments around the globe. With stablecoin on/off-ramps for LATAM, Mural Pay lets cross-border companies switch between digital assets and fiat while adhering to KYB/KYC regulations.
What This Means for You
A PSP that aligns with your needs can drive more revenue, enhance security, and lower operational costs in 2025. Keep a close eye on the seven factors above—security, global reach, simple integrations, transparent fees, strong support, robust scalability, and value-added features—to guide your decision. If you anticipate higher payment volumes, you might plan ahead by reading our guide on essential steps to handle high transaction volumes. With the right selection, you’ll be ready to serve your customers quickly, safely, and in ways that foster long-term loyalty.
References
Deloitte. (2025). “Shaping the Future of Payments: Trends and Insights.” Available at: [https://www2.deloitte.com/content/dam/Deloitte/us/Documents/financial-services/us-shaping-the-future-of-payments-trends-and-insights-for-2025.pdf]
Visa. (2024). “Top Trends Shaping 2025 Payments.” Available at: [https://corporate.visa.com/en/sites/visa-perspectives/trends-insights/top-trends-shaping-2025-payments.html]
