Best Merchant Accounts Compared: Our Verdict
Payment processors can unlock growth for your business, but which one is best for you? Payment
Best Merchant Accounts Compared: Our Verdict
Payment processors can unlock growth for your business, but which one is best for you?
On This Page
On This Page
Find a card machine for your business today
Get a quote in seconds with our simple form
Best Merchant Accounts Compared: Our Verdict
Payment processors can unlock growth for your business, but which one is best for you?
Last updated 04/09/2025
A merchant account acts as a middleman between your customers’ bank accounts and yours. It’s where funds are held while transactions are processed. They form an essential part of the whole payment process.
The merchant account is provided to you by an acquiring bank, and your agreement with them outlines the terms of your deal. These terms include things like contract length, account type, and merchant fees.
When it comes to taking card payments, the core relationship is between your business and your acquiring bank, so the fundamental thing to get right is the acquiring bank you choose, as this is the company to whom you pay most of your merchant account fees.
The Best Merchant Account for Small Businesses
We know it can be challenging to find the right merchant account, especially if you’re just getting started with accepting electronic payments. That is why we’ve done the research for you, and the results are in…
According to our research, Stripe offers the best merchant account for your business. Its lack of monthly costs, transparent fees, and ability to grow with your business make it ideal both for businesses finding their feet and for businesses establishing themselves in their niche. Â
Top Five Merchant Accounts: Compared
While a Stripe merchant account comes out on top, other options would work for your business. This article will review five merchant account providers (listed below), which would all be suitable choices for your business.Â
We’ll discuss processing fees, usability, and integrations to arm you with all the information you need to choose the best merchant account for you. Click each provider to find out more about them.Â
If, however, you want to cut to the chase, you can compare merchant account quotes with Commercial Experts today.Â
Want to know more about merchant account fees?
If you want to know more about merchant account fees, we’ve written a guide on merchant account fees which breaks down all of the associated fees, from card processing fees and beyond.Â
What industry are you in?
Please select the industry that you trade within. This information allows us to tailor your quote.
Barclaycard Merchant Account
Choose between a contract or pay-as-you-go model and access a range of highly capable card machines.
Transaction fee: Customised for your business.
Barclaycard offers flexible payment options, including a contract-based service and a pay-as-you-go plan. The pay-as-you-go plan is ideal for businesses looking to start accepting card payments with lower upfront costs, and if you already bank with them, it makes them the perfect choice for your merchant account.Â
Choosing Barclaycard will also mean you can choose from a range of Barclaycard card machines, which can perform various functions for your business. This means there’s one less thing to worry about as your card machine provider is already sorted, although they do come with their own cost.
Barclaycard’s Key Features
One of Barclaycard’s strongest features is its fraud prevention, which performs statistically better than the market average. The platform also focuses on optimising payment processing speed to reduce checkout times and keep customer queues to a minimum.Â
It is, however, worth noting that Barclays might not be suitable for your business if you want a merchant account that can be fully integrated with an EPOS system.
Â
How Much Does a Barclaycard Merchant Account Cost?
For a one-time fee of £29 + VAT, you can get a mobile card reader and start processing payments. The transaction fee is tricky to analyse, as Barclaycard have recently switched to a flexible pricing model, whereby your transaction fees are worked out according to our specific business.
On the plus side, the lack of a contract goes a long way in making Barclaycard one of the most affordable options on this list, but you do pay a monthly card rental (as high as £29 per month) on some of their card machines, while others are available outright.
Stripe Merchant Account
Access competitive transaction fees with no setup fees or other monthly fees.
Transaction fee: 1.5% + 20p
Stripe is a big player in the merchant account provider industry. It’s often favoured by small businesses thanks to its competitive transaction fees and lack of monthly card machine rental. It also provides hardware and the payment gateway software you need to take payments in-person and online.Â
Your business also gets six reporting tools, so you can get in-depth business insights, which allow you to track refunds, chargebacks, and transaction fees, among other metrics. These insights can prove useful in easily seeing the comings and goings of your business’s card payments.
Stripe’s Key Features
Stripe’s platform offers a single integration to handle transactions in 195 countries, over 135 currencies, and through more than 100 payment methods. While this might not be at the top of your requirements right now, it does mean that Stripe is able to grow with your business as it expands.Â
The platform also includes built-in fraud prevention, PCI compliance, and various other tools to optimise your checkout process, such as flexible UI components, pre-built payment forms, and options for accelerated payments.
How Much Does a Stripe Merchant Account Cost?
Stripe charges 1.5% + 20p for standard UK cards and 2.5% + 20p for EU cards, which compares well to the other merchant account providers on this list. The lack of card machine rental and monthly fees, and setup fees adds further to Stripe’s appeal, as the only monthly fees you pay are the transaction fees.Â
However, where Stripe falls is in its hardware. Its most basic card reader is the Wisepad 3, which accepts card and phone payments, and costs £49. Its more advanced cousin, the WisePOS E, is a more interactive reader with a touchscreen display and costs £179. The most advanced card reader, meanwhile, is the Stripe Reader S700, which, with a £279 upfront cost, is one of the most expensive portable card machines on the market.
Takepayments Merchant Account
Five-star customer service from the UK's most trusted payment processor.
Transaction fee: Customised for your business.
Takepayments is a popular choice of merchant account for small businesses and provides services specifically catered to them. It provides everything from card processing services and card machines, right through to fully-fledged EPOS systems and online payment gateways. Best of all, you get hold of the money you make the next working day.
According to Trustpilot, it’s the most trusted card payment provider, and offers a five-star customer service; pretty useful if yours is a business that’s just starting.Â
Takepayments’ Key Features
In addition to its 5-star service, takepayments also offers next-day settlements to ensure you’re never waiting around for cash to flow, a great set of card machines that enhance your efficiency and customer experience and, as if that wasn’t enough, the company even send a specialist member of staff to visit your business, ensurng that takepaments can offer you an arrangement that suits you.Â
While the company advertise it as a benefit, takepayments does require you to sign a 12-month contract right from the start, which, when there are other card processors out there which don’t require a contract, can look like it’s tying you down. Further to this, its lack of transparent fees makes choosing takepayments a little more tricky.Â
How Much Does Takepayments Cost?
Takepayments’ pricing is bespoke, which means we can’t tell you exactly what you’ll end up paying if you choose them as your merchant account provider. It does, however, offer flexible pricing that’s adapted to your specific needs, which means the price you pay is the right one; you won’t be paying for any services you don’t use or want.Â
It is, however, still important to compare any quote you get from takepayments with other providers, just so you can be sure that you’re getting the best deal you can for your business.
Worldpay Merchant Account
Ideal for businesses with a larger turnover or those that operate mostly online.
Transaction fee: Customised for your business.
Worldpay offers two core pricing plans: one suited to smaller businesses and one suited to larger businesses. The distinction between the two plans lies in how much your business takes in card payments. To qualify for the larger business plan, your business will need to take over £75k annually; this gives you access to Custom Tariff Pricing and variable pricing on most of the payments you take. If your takings fall below this mark, you’ll be more suited to the Simplicity Pricing Tariff with fixed transaction fees. Â
Because Worldpay offers lower rates to businesses that turnover larger amounts, it’s most suited to businesses that can qualify for the company’s Custom Pricing Tariff. If this is you, Worldpay could be the best merchant account for you. It’s also worth going with Worldpay if your business has ambitions of introducing a no-cash policy, as this would bolster the overall turnover from card payments.Â
Worldpay’s Key Features
While other merchant account providers on this list specifically aim their services at smaller-sized businesses, Worldpay offers something different: a solution to fast-growing ones. What’s more, it also offers services to larger businesses, which means that if you are on the way up, it can grow with you. This, coupled with variable pricing options (for larger businesses), no joining fee, and next-day settlements, makes Worldpay a contender for your merchant account of choice.Â
It doesn’t stop there either. Worldpay’s online services allow you to take payments in 135 different currencies, connect to several different payment gateways, and access domestic processing in 68 markets across the globe, all while providing a whole suite of different payment methods, including PayPal and Klarna.Â
If in-person payments are your thing, Worldpay has you covered there, too. Its devices, terminals and other hardware match the industry standard and ensure you’re able to boost your efficiency at even the busiest times.Â
How Much Does Worldpay Cost?
As alluded to above, Worldpay charges custom rates if your business’s card payment turnover is £75,000 or more. If you don’t meet the £75,000 threshold, you’ll be on the Simplicity Pricing Tariff, which fixes your transaction fee for most card types at 1.5%.Â
When it comes to card machine rental, Worldpay charges a £15 monthly card machine rental fee for businesses on the Custom Pricing Tariff and a £22.50 monthly rental fee for businesses on the Simplicity Pricing Tariff. Neither plan requires any joining fee to be paid.Â
As well as these fees, there are monthly service charges, online transaction fees, payment gateway charges and costs for EPOS systems (should you choose to use one). All of these fees are conditional and, again, are partly influenced by your turnover.Â
Zettle Merchant Account
Zettle is free to set up, easy to use, and has no rental fees. Ideal for start-ups and smaller businesses.
Transaction fee: Starts at 1.75%
Zettle is part of PayPal, which makes taking payments easier for businesses. Like its parent company, it also focuses on offering small businesses payment solutions.Â
Zettle’s Key Features
Zettle gives businesses the option of owning their card machines outright – doing away with card machine rental fees. As well as this, its software is free, easy to use, and pays out money quickly. You can even progress to a full EPOS system should your business require it, and its card readers compare well to market leaders like Square and SumUp. The lack of sign-up fees is also a plus. Its transaction fees, however, aren’t.
Â
How Much Does Zettle Cost?
The card machines Zettle provides – of which there are two – each come with a reasonable price tag. Its most basic card reader, the Zettle Reader, is yours for a one-off payment of £29, and its more advanced cousin comes in at £149. If neither of the card machines suits your business, you can use the Zettle app on your mobile device, which is free.Â
While these prices are competitive, where Zettle falls is with its transaction fees. Each payment charges at least 1.75%, regardless of the device you use to take it. If you use a payment link, you’ll pay a 2.5% fee and the same on Zettle invoices. These prices don’t fare as well as some of Zettle’s direct competitors, some of which you’ll find on this list. For this reason, the lack of card rental fees and free membership might not save you the money you think.
Verdict: Which is The Best Merchant Account for Your Business?
So there you have it, the Commercial Experts round-up of the best and most popular merchant account providers in the UK. But which is the best one? Well, while we consider Stripe to be the strongest contender, the decision will ultimately depend on your circumstances.Â
If your business has a large turnover of card payments or expects to be doing so soon, you could be best opting for something like Worldpay as it gives favourable rates to these businesses. If, however, your business is just starting and you want the freedom to choose where you go, Zettle could be the best. If a contract doesn’t bother you, takepayments could be where to look.
It all depends on what you want from your merchant account. Do you want a cheap card machine, low transaction fees, no contract, or no card machine rental? Let yourself be led by the answers to these questions, and you will find the best merchant account for you.Â
If, however, you’ve read all of the above and would rather we just find a selection of tailored merchant account quotes for you, answer the question below and follow the on-screen instructions.
FAQs
Do I need a merchant account?
No, but not having one could mean putting blockades in front of your business’s progression. A good merchant account means you can take full advantage of a cashless society while also keeping your fees down to a minimum.
The best merchant account, coupled with the best card machine and best payment gateway would mean your business will be able to grow. This makes having a merchant account one of the most important things to get sorted when it comes to running your business.Â
Can I get a free merchant account?
No. While many of the merchant account providers explored here do offer accounts that are free to create, there are still transaction charges, card machine rentals and other types of merchant fees that all cost money.
There are ways to keep costs as low as you can, and doing your research on which providers charge which fees will be a big part of that.
What's Trending?
Find out how you could save your business money
Card Processing Fees: What They Are and How They Work
While having a merchant account boosts profits, understanding their cost is important. While having a merchant
Barclaycard Review: The Best Payment Processor for Your Business
Barclaycard provides merchant accounts to small and large businesses. Barclaycard provides merchant accounts to small and
