Understanding payments and the options. Newbie 102

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Topic summary

A parent setting up a Shopify store for kids selling phone cases (Canada-based, shipping to Canada, the US, and beyond) asks which payment option to use. Typical orders are CAD $20–$30 plus shipping.

The core question: choose Shopify Payments or a third‑party gateway/PayPal, given perceived rates (Shopify ~3% depending on plan vs. third‑party 2% + fees). They seek real-world preferences and reasons.

Main guidance from replies favors Shopify Payments for:

  • Lower overall cost by avoiding Shopify’s additional 2% fee applied when using third‑party gateways (on top of gateway/PayPal fees), especially impactful on low‑ticket orders.
  • Easier setup and management with payouts in one place.
  • Smoother cross‑border handling; CAD→USD payouts are cleaner without extra processor fees (CAD = Canadian dollars; USD = US dollars).

No opposing views were presented. Consensus suggests Shopify Payments is a good fit for selling in Canada and the US.

Outcome: No final decision from the poster yet; advice points toward using Shopify Payments for simplicity and cost on low‑value transactions.

Summarized with AI on December 11. AI used: gpt-5.
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First off I’d like to thank people for previous help and making some suggestions, I’m posting this in here because I think it’s more of a beginner question and to be honest it’s probably already been answered.

Just a reminder I’m building this for my kids who want a cell phone cases so I’m going to be the adult who’s over eighteen while they do all the work. Just so you all have some context

I have been reviewing the payments and I see Shopify offers a higher percentage around 3% based on the Monthly package you choose versus if I use a 3rd party software at 2% + fees or even Paypal which my PayPal account is goes back to when Elon still worked there Yes I’m that old.

I’m just curious if I can get a sense of what everyone’s using? Whether it’s the Shopify default system or specifically an app and which app I’m based out of Canada We plan to sell to my country the US pretty much anyone who wants to purchase.

And if you are using the Shopify account versus a 3rd party account Is there a specific reason why?

Would love Someone to drop some knowledge on this newbie or direct me to some education so that i might make the right choice.

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Just a side note in case it matters typical transaction will be between 20 and $30 Canadian with maybe a shipping fee depending on the object.

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Shopify Payments is usually cheaper overall since you avoid the extra 2% Shopify charges on 3rd, party gateways. Had this come up on a client buildlow, ticket orders definitely favoured staying native. Also, keeps CAD→USD payouts cleaner without extra processor fees.

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If you want the easiest setup, most people just use Shopify Payments. It keeps everything in one place, the payouts are smooth, and you avoid the extra fees Shopify charges when using a third-party processor. If you’re selling in Canada and the US, it works well for both.

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