Cash and check payments are becoming less and less prominent, especially as cross-border trade and Internet connectivity remain on the rise. For instance, the average US citizen signs one check per year, while only 1% of North American transactions involve checks.
Today, these increasingly redundant payment methods on a global scale are replaced by more reliable and swift payment options like credit/debit cards, digital wallets, and even international bank transfers.
This guide explores the most popular ways people pay online around the world in 2025, based on global trends and statistics from pros in the online payments service sector. We’ll also see the perks and downsides of each option to help you choose the right method when you shop online.
What are the Most Used Payment Methods for Online Transactions in 2025?
Knowing the most popular methods, along with their unique perks and downsides, can help you prioritize your options.
Our top online payment methods in this review include:
- Credit and debit cards
- Digital wallets
- Bank transfers
- Cryptocurrency
- Buy Now Pay Later (BNPL)
Each method has a significant market share globally, compared to checks and cash. Next, we explore our five top payment preferences in detail.
Credit and Debit cards
Credit and debit cards are still very popular globally. While their usage is slowly on the decline in favor of virtual wallets and cross-border bank transfers, one in every four financial transactions involves credit or debit cards.
Perhaps the biggest downside to card payments is their relatively high transaction rates compared to other top payment methods like Apple Pay (e-wallets) and crypto. Typically, this option costs 1.5%-3.5% per transaction (note that fees vary by card network and transaction type).
However, the global market value of companies providing credit or debit cards like Mastercard or Visa, alongside their enduring reputation make them highly dependable services.
That makes little wonder they remain one of the most popular e-commerce platforms in North America, Europe, and Asian nations like the Philippines.
According to betting expert Evelyn Balyton, these cards are preferred by many punters for processing their betting transactions in many countries because of their security. For instance, a significant number of bettors in the Philippines use credit and debit cards.
Meanwhile, if you also want to use these cards for your iGaming transactions, be sure to choose a sportsbook that accepts them. You can go over review sites in the Philippines to see the most reliable ones that accept credit cards for betting and gambling activities.
Digital Wallets
Digital wallets like Apple Pay, PayPal, and Google Pay have significantly overtaken the online payments sector over the last decade. Having approximately 50% of the global market share, this online method is the most popular preference in North America, Europe, and Asia.
More specifically, Apple Pay and Google Pay hold significant market share in Europe and North America, while PayPal will host nearly half of digital wallet transactions globally in 2025.
Although their transaction fees are similar to those of credit cards, they’re generally more convenient for users. Ecommerce platforms that don’t accept virtual wallets might be missing out on younger and more tech-savvy customers.
Buy Now, Pay Later (BNPL)
Buy Now, Pay Later (BNPL) services are becoming more popular globally, especially among younger consumers making online purchases. Under services like BNPL, customers can spread their payments into smaller amounts over a short period, usually weeks or months.
For a large customer base in Europe, Africa, Australia, and North America, this can be a top choice for financially challenged consumers. However, there have been growing concerns in many countries (such as the UK) that this option could expose users to unaffordable debt.
The UK government introduced new legislation in 2023 to reduce the risk associated with BNPL offers. Under the recent legislation, BNPL firms must follow consistent standards that inform shoppers ahead of the payment option’s terms so they can better decide whether they can afford the purchase or get any necessary help assistance.
Speaking about the regulation, Tom MacInnes, director of policy at Citizens Advice, UK, says the provisions are vital towards aiding better consumer protection.
“For too long, people have been exposed to unaffordable debt from a BNPL sector that has operated in a regulatory grey area,” Mr. Maclness says. “For some, the impact has been severe. Many people are unable to repay unaffordable credit, falling behind on crucial bills and frequently relying on emergency aid, such as food bank vouchers, to make ends meet.”
With these upfront checks, users can access refunds faster and tender any complaints surrounding their purchases to the Financial Ombudsman.
We can safely expect similar regulations in many other countries surrounding this new payment method and other popular payment methods Despite their higher transaction cost, this process remains a preferred option for many users within and outside Europe.
Bank Transfers
Bank transfers keep experiencing significant growth, despite the proliferation of other multiple payment methods today. Thanks to the development of real-time systems like UPI (India) and FedNow (USA), moving money directly between bank accounts has remained trendy among tech-savvy users.
Perhaps one of the biggest advantages of this option is its relatively cheaper transaction rate and growing reach. Moreover, FedNow lets users make swift transfers among over 1,000 commercial banks, while Canada’s eTransfer processes over 1 billion transactions annually.
That said, bank transfers remain significantly popular globally with about 15% of the global market share and a sizable preference in the United States, India, and the European Union. Moreover, with this method, users can avoid credit card fees and reduce costs.
If you’re running an e-commerce platform offering multiple payment methods, including bank transfers could improve your potential customer reach.
Cryptocurrency
Cryptocurrency’s low fees and creativity make it a preferred payment method for mobile payments. However, instability surrounding virtual assets makes crypto an unreliable payment option, especially when not instantly converted into cash.
However, the cryptocurrency payment service provides businesses and individuals with a swifter, cheaper, and more innovative alternative. It’s particularly popular in tech, luxury, or global markets, providing highly anonymous and secure payment processing services to users.
Often, users immediately convert crypto in their mobile wallet into dollars or local currency via a payment gateway. While cryptocurrencies may not be essential for many businesses at the moment, they demonstrate innovation and can attract a unique audience.
Conclusion
“Glamorous and casual are both good options.” – Sasha Luss.
Customers seeking seamless transfers at online retailers but don’t mind relatively high fees can explore credit cards or other convenient payment platforms like PayPal. Bank transfers are highly affordable for larger payment options, but usually take longer to complete.
BNPL payment providers can drive more sales but at a higher transaction cost and the risk of increasing users’ debt profiles. Cryptocurrencies are highly innovative, swift, and affordable, but they’re risky when not instantly converted to cash.
By offering a wide range of payment options, businesses can increase their customer base and provide flexible alternative payment methods for users. The most popular online payment methods may offer unique transaction fees, but they’re highly reliable and secure.
