What is The Cheapest Way of Taking Card Payments?

By Olivia Johnson - Trusted UK Business Expert

Last Updated 10th of May 2025

4 minute read

Are you looking for the Cheapest Way of Taking Card Payments? You have come to the right place. We understand that saving money is important for your business. We will show you smart ways to take card payments without breaking the bank.

The Cheapest Way of Taking Card Payments is by using mobile card readers, online payment gateways, and low-cost merchant accounts. Choosing a pay-as-you-go system and comparing fees can help you save more money.

There’s more you need to know to make the best choice! We will walk you through the best options, how to avoid hidden fees, and which providers offer the lowest costs. Keep reading to learn how to spend less and still accept cards easily.

Looking for low-cost payment solutions? Find out the cheapest methods to accept card payments without sacrificing quality. Get started below.

What is The Cheapest Way of Taking Card Payments?

When it comes to running a business, taking card payments is very important. Cash is no longer king. People today prefer the ease of paying with cards or phones. But how do you accept card payments without spending too much?

The Cheapest Way of Taking Card Payments depends on your business size, type, and how often you get paid. You can choose from many options like mobile card readers, online systems, and even simple payment links. Some businesses only pay when they use the service. Others pay a small fee every month but enjoy lower charges on each sale.

Let’s break it down so you can find the best and cheapest way for your business.

Best Options for the Cheapest Way of Taking Card Payments

Mobile Card Readers

Mobile card readers are small machines that connect to your phone or tablet. They are very cheap to buy or rent. Companies like Square, SumUp, and Zettle are great choices.

Pros:

• Low upfront costs
• Easy to set up
• Pay-as-you-go pricing

Cons:

• Higher transaction fees for very large sales volumes

If you are a small shop, café, or market trader, a mobile card reader could be your perfect solution.

Online Payment Gateways

If you sell online, you need a payment gateway. Think of companies like PayPal, Stripe, and Square Online.

Pros:

• Easy to use
• No monthly fees for basic accounts
• Widely trusted by customers

Cons:

• Small percentage taken per transaction
• Some extra charges for certain types of payments

For example:

• Stripe charges 1.4% + 20p per transaction (UK cards).
• PayPal charges 2.9% + 30p per transaction.

If your business is online-only, this might be the Cheapest Way of Taking Card Payments for you.

Low-Cost Merchant Accounts

Merchant accounts are bank accounts for businesses. They let you take card payments directly. Companies like Worldpay and Barclaycard offer merchant services.

Pros:

• Lower transaction rates for bigger businesses
• Trusted payment processing

Cons:

• Monthly fees
• Some contracts lock you in for a long time

Merchant accounts are best if you take a lot of payments each month.

How to Choose the Cheapest Way of Taking Card Payments

Choosing the right way depends on a few things:

• How many sales you make: If you sell a lot, a monthly plan might save you more.
• Where you sell: In person or online.
• Your budget: Some plans have no upfront costs but slightly higher fees.

Top Tip:

Always read the small print! Some companies add hidden fees for refunds, chargebacks, or even customer support.

Comparing Providers for the Cheapest Way of Taking Card Payments

Here’s a quick guide:

Important Tips to Save Even More

• Negotiate: Ask providers if they can offer a discount, especially if you have a high turnover.
• Bundle services: Some offer free extras like receipts, accounting tools, or customer loyalty programmes.
• Use your own device: Some providers let you use your own phone or tablet instead of renting an expensive machine.

Common Mistakes to Avoid When Finding the Cheapest Way of Taking Card Payments

Mistake 1: Choosing a provider based only on the lowest fees without checking other charges.

Mistake 2: Locking into a long contract without flexibility.

Mistake 3: Ignoring customer support quality. Cheap services with poor help can cost more in the long run.

Real Life Story

Emma owns a small coffee van. She used to only take cash but was losing customers. She bought a SumUp Air for £29 and now accepts cards. Her sales jumped by 40%! She only pays 1.69% per sale and has no monthly fee.

Emma says:
“It was the best thing I did for my little business. Easy, cheap, and my customers are happy!”

Final Thoughts

The Cheapest Way of Taking Card Payments is finding the right fit for your business. Think about your needs, your budget, and how your customers want to pay. A little homework now can save you a lot later!

Ready to start saving on card payments? Click the link below to find the best and cheapest way for your business today.

FAQ

What is the Cheapest Way of Taking Card Payments?

Using mobile card readers like SumUp or Square is often the cheapest for small businesses. Online businesses can save by using Stripe or PayPal.

Can I Take Card Payments Without a Monthly Fee?

Yes! Many providers offer pay-as-you-go services where you only pay when you make a sale.

What Is a Mobile Card Reader?

It is a small device that connects to your smartphone or tablet. It lets you accept card payments anywhere.

How Do I Avoid Hidden Fees?

Always check the full contract. Ask about charges for refunds, customer service, and contract exit fees.

Which Is Better for Online Businesses?

Stripe is usually cheaper for UK online businesses, but PayPal is better if you want global customers.