Payment & Finance Guide

Ways to Accept Paymentson Etsy

Master Etsy Payments to understand fees, deposit schedules, and how to get paid faster as a seller.

Multiple Payment OptionsGlobal Buyer ReachSecure TransactionsFast DepositsBuilt-in ProtectionEasy Management
Analyze Your ShopSee Payment Methods

Etsy Payments at a Glance

40+
Countries Supported
Etsy Payments
3%+$0.25
Processing Fee
Per transaction
1-3 days
Deposit Time
To your bank
10+
Payment Methods
Buyers can use

💳Quick Answer: How Etsy Payments Work

Etsy Payments is the required payment system for sellers in 40+ countries. It accepts credit cards, PayPal, Apple Pay, Google Pay, Klarna, and more—all processed through Etsy.

How you get paid:

  1. Buyer pays via their preferred method (card, PayPal, etc.)
  2. Etsy deducts fees (3% + $0.25 payment + 6.5% transaction)
  3. Remaining funds go to your Payment Account balance
  4. Etsy deposits to your bank (weekly or daily, your choice)
  5. Funds arrive in 1-3 business days

Key point: You cannot bypass Etsy Payments or accept direct PayPal payments if Etsy Payments is available in your country.

Payment Methods Buyers Can Use

All processed through Etsy Payments

💳

Credit Cards

3% + $0.25

Visa, Mastercard, American Express, Discover accepted worldwide

Most common payment method

🏦

Debit Cards

3% + $0.25

Direct debit from buyer bank accounts

Same processing as credit

🅿️

PayPal

3% + $0.25

Buyers pay via PayPal but funds go through Etsy Payments

Popular for buyer protection

🍎

Apple Pay

3% + $0.25

One-tap checkout on iOS devices

Fast mobile checkout

📱

Google Pay

3% + $0.25

Quick checkout on Android devices

Streamlined mobile experience

💰

Klarna

3% + $0.25

Buy now, pay later in 4 installments

You get paid upfront

Complete Etsy Fee Breakdown

Understand all costs before you sell

Fee TypeAmountDescription
Listing Fee$0.20Per listing, lasts 4 months or until sold
Transaction Fee6.5%On item price + shipping
Payment Processing3% + $0.25On total order amount
Currency Conversion2.5%If buyer pays in different currency
Offsite Ads12-15%Only if sale comes from Etsy ad (optional opt-out <$10k/yr)

Example: On a $50 item with $5 shipping, you'd pay roughly $0.20 (listing) + $3.58 (6.5% transaction) + $1.90 (3% + $0.25 payment) = $5.68 in fees, keeping ~$49.32.

Deposit Schedules: Weekly vs Daily

Choose how often Etsy sends your funds

Weekly Deposits

Default setting. Etsy sends deposits every Monday for previous week's sales.

Pros:

  • + Fewer transactions
  • + Easier bookkeeping
  • + Predictable schedule

Cons:

  • - Wait up to 7 days for funds
  • - Delayed cash flow

Best for: Established shops with stable cash flow

Daily Deposits

Etsy sends deposits every business day (Mon-Fri) for available funds.

Pros:

  • + Faster access to money
  • + Better for high-volume shops
  • + Smoother cash flow

Cons:

  • - More bank transactions
  • - Slightly more complex tracking

Best for: New sellers or shops needing quicker access

Change your deposit schedule anytime: Shop Manager → Finances → Payment settings → Deposit schedule

How to Set Up Etsy Payments

Get started accepting payments in your shop

1

Go to Payment Settings

Shop Manager > Finances > Payment settings

💡 You must have an open Etsy shop first

2

Click "Get Started"

Select "Get started with Etsy Payments" to begin enrollment

💡 Available in 40+ countries

3

Enter Bank Details

Provide your bank account and routing number for deposits

💡 Use a business account if you have one

4

Verify Your Identity

Submit tax ID (SSN/EIN in US) and government ID if requested

💡 Verification typically takes 24-48 hours

5

Choose Deposit Schedule

Select weekly or daily deposits based on your cash flow needs

💡 You can change this later anytime

Payment Do's and Don'ts

+ Do This

  • ✓Set up daily deposits if you need faster access to funds
  • ✓Track all fees for accurate pricing and taxes
  • ✓Keep bank info updated to avoid deposit failures
  • ✓Monitor reserves if you're a new shop
  • ✓Price items accounting for ~10% total fees

- Avoid This

  • ✗Don't ship before seeing "Paid" status in orders
  • ✗Don't accept payments outside Etsy (against ToS)
  • ✗Don't ignore reserve notices from Etsy
  • ✗Don't forget currency conversion fees for international
  • ✗Don't miss setting aside money for taxes on earnings

Track Your Shop's Performance

Use InsightAgent to analyze your shop stats, monitor competitors, and find profitable keywords to grow your Etsy revenue.

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Frequently Asked Questions

Everything about Etsy payments and getting paid

Through Etsy Payments, buyers can pay with credit cards (Visa, Mastercard, Amex, Discover), debit cards, Etsy Gift Cards, Etsy Credits, PayPal, Apple Pay, Google Pay, Klarna (buy now pay later), and some local payment methods like iDEAL (Netherlands) or Sofort (Germany). The specific options shown depend on the buyer's location.
Etsy Payments is Etsy's all-in-one payment processing system. It handles all buyer payment methods and deposits funds to your bank account. You must use Etsy Payments if it's available in your country (40+ countries). It simplifies payment management by consolidating all payment types into one system with a single deposit schedule.
No, you cannot use PayPal as your sole payment method on Etsy. Etsy Payments is required in most countries. However, PayPal is included as a buyer payment option within Etsy Payments. Buyers can choose to pay via PayPal, but the funds still go through Etsy's payment processing and deposit to your bank account on Etsy's schedule.
Etsy deposits your available funds directly to your linked bank account. By default, deposits happen weekly on Mondays. You can switch to daily deposits in Payment settings. Funds typically arrive 1-3 business days after Etsy initiates the deposit. Processing time depends on your bank and country.
Etsy charges 3% + $0.25 per transaction for payment processing (in the US). This fee varies by country. It's charged on the total order amount including shipping. This is in addition to the 6.5% transaction fee on item price + shipping. Combined, expect roughly 10% in fees on each sale.
Go to Shop Manager > Finances > Payment settings. Click 'Get started with Etsy Payments' and enter your bank account information, tax ID (SSN/EIN in US), and verify your identity. Etsy may ask for additional documentation. Once approved, your shop can accept all payment methods through the platform.
Yes! Switch from weekly to daily deposits in Shop Manager > Finances > Payment settings > Deposit schedule. With daily deposits, Etsy sends funds every business day (Mon-Fri). Funds still take 1-3 days to reach your bank. For faster access, some sellers use Etsy's partnership with Payoneer for same-day deposits (with fees).
Etsy may hold a percentage of your funds (payment reserve) for new shops, shops with sudden sales spikes, or those with policy issues. Reserve amounts are held for 45-90 days as protection against refunds and chargebacks. As your shop builds history, reserves typically decrease. Check Finance tab for your reserve status.
Etsy Payments is available in 40+ countries including the US, UK, Canada, Australia, Germany, France, and more. If Etsy Payments isn't available in your country, you can still sell but with limited payment options (typically PayPal standalone). Check Etsy's current list of supported countries in the Help Center.
When you issue a refund, Etsy deducts the amount from your payment account balance. If your balance doesn't cover it, Etsy charges your bank. The buyer receives funds back to their original payment method within 3-5 business days. You won't get the transaction fee back for refunded orders.
If a buyer's payment fails, Etsy notifies them to update payment info. The order remains pending until payment completes. If not resolved within 24 hours, the order is automatically cancelled. You won't be charged fees for failed transactions. Never ship until you see 'Paid' status in your orders.
Yes, through Klarna integration. Buyers in eligible countries can choose 'Pay in 4' to split purchases into 4 interest-free payments. You receive full payment upfront as normal—Klarna handles the installment collection from buyers. This can increase conversion on higher-priced items.

Related Guides

Etsy Fees Explained

Complete breakdown of all selling costs.

Etsy Deposit Schedule

When does Etsy pay sellers?

Change Payment Method

Update your card or bank account.

Profit Margins Guide

Price for profit after all fees.

Payment fees and policies are based on Etsy's terms as of January 2026 and may vary by country. Always check Etsy's official fee schedule for current rates. This guide is for informational purposes and not financial advice.

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