Xendit Payment Gateway Setup for Philippines Ecommerce — GCash, Maya, Cards Complete Guide

A payment gateway is the backbone of any ecommerce store. Without a reliable way to accept payments, your online store simply cannot function. In the Philippines, Xendit has established itself as one of the most trusted and scalable payment gateways — powering businesses across Southeast Asia including the Philippines, Indonesia, and beyond. In this comprehensive guide, we will cover what Xendit is, why it is an excellent choice for Philippine ecommerce, what payment methods it supports, how much it costs, and how to set it up for your online store step by step.

What Is Xendit?

Xendit is a leading Southeast Asian payment gateway that enables businesses to accept, process, and disburse payments. Founded in 2015 and backed by Accel, Tiger Global, and other major investors, Xendit processes billions of dollars in transactions annually across the Philippines, Indonesia, and the broader ASEAN region. The platform enables businesses to accept payments through all the methods that Filipino consumers use every day — GCash, Maya, credit and debit cards, GrabPay, direct debit, and bank transfers.

What makes Xendit stand out is its multi-country capability and enterprise-grade infrastructure. While many local gateways focus on a single market, Xendit operates seamlessly across Southeast Asia with a single integration. For Philippine ecommerce, Xendit natively supports GCash (80+ million users) and Maya (50+ million users) alongside direct debit channels like BPI and UnionBank — giving Filipino businesses the most comprehensive payment coverage available.

Why Xendit for Philippine Ecommerce?

Xendit is a preferred payment gateway for Filipino ecommerce for several important reasons:

Payment Methods Supported by Xendit in the Philippines

One of Xendit's greatest strengths is its comprehensive support for the payment methods that Filipino consumers actually use. Here is a complete breakdown:

Understanding GCash and Maya — The Philippines' Dominant E-Wallets

GCash, operated by GCash (formerly Globe Fintech Innovations), is by far the most widely used digital payment platform in the Philippines. With over 80 million registered users and partnerships with Globe Telecom, GCash has become synonymous with mobile payments for Filipinos. For ecommerce stores, accepting GCash is not optional — it is essential. A significant portion of Filipino online shoppers prefer GCash because it is fast, familiar, and does not require a bank account or credit card.

Maya (formerly PayMaya) is the second major e-wallet, backed by Voyager Innovations and PLDT/Smart. With over 50 million users, Maya offers a full digital banking experience alongside e-wallet functionality. Maya users tend to skew slightly older and more affluent, making it important for stores selling mid-to-premium products.

Through Xendit, your store can accept both GCash and Maya seamlessly — customers select their preferred e-wallet at checkout, authenticate the payment on their phone, and the transaction is completed in seconds. No friction, no manual bank transfers, no waiting for payment confirmation.

Direct Debit — A Unique Xendit Advantage

One of Xendit's standout features for the Philippine market is Direct Debit support with BPI and UnionBank. Direct debit allows customers to authorize payments directly from their bank account without needing to log into their online banking portal separately. This creates a smoother checkout experience and is particularly popular for recurring payments and higher-value transactions where customers prefer bank-level security.

Xendit Transaction Fees for the Philippines

Understanding Xendit's fee structure is essential for your business planning. Xendit charges a per-transaction fee with no setup fees, no monthly fees, and no lock-in contracts. You only pay when you receive a payment. Here is the breakdown:

Important note: FlexiCommerce charges 0% platform commission on your transactions. You only pay the standard Xendit fees listed above, which go directly to Xendit. Compare this to Shopify, which charges its own 2% transaction fee on top of the payment gateway fee — effectively doubling your payment processing costs.

Settlement schedule: Xendit settles funds to your bank account on a T+1 to T+3 basis (1-3 business days after the transaction). You can track all settlements, payouts, and transaction details in the Xendit Dashboard. Payouts are made to any Philippine bank account.

Security Features — Keeping Transactions Safe

Payment security is non-negotiable for ecommerce. Filipino consumers need to trust that their payment information is safe. Xendit provides enterprise-grade security features:

With Xendit handling payment security, you can focus on running your business without worrying about data breaches, fraud chargebacks, or compliance issues. Your customers see the Xendit trust badge at checkout, which increases their confidence in completing the purchase.

How to Set Up Xendit for Your Online Store — Step by Step

If you are using FlexiCommerce, the Xendit integration is pre-built and requires zero coding on your part. Here is the simple step-by-step process:

Total time from sign-up to accepting live payments: As fast as 3-5 business days (including Xendit KYC verification). With FlexiCommerce, there is no coding, no plugin installation, no complex webhook configuration. We handle the entire technical setup for you.

Cash on Delivery (COD) — Still Essential for Philippine Ecommerce

Despite the explosive growth of GCash and Maya, Cash on Delivery (COD) still accounts for approximately 35% of ecommerce transactions in the Philippines. Many Filipino consumers — especially those outside Metro Manila, in Visayas, and Mindanao — still prefer paying cash when the order arrives at their doorstep. If you do not offer COD, you are turning away more than a third of potential customers.

COD is not processed through Xendit — it is handled by your delivery partner app, where delivery riders collect cash from the customer and the amount is tracked automatically in the admin dashboard. However, COD comes with challenges that every Filipino ecommerce business owner should be aware of:

• Fake orders: Some customers place COD orders with no intention of accepting delivery, leading to wasted delivery costs and returned inventory
• Return to Sender (RTS): The customer refuses the package at the door, and you pay for both the delivery attempt and return logistics
• Cash reconciliation: Collecting and reconciling cash payments from delivery partners requires proper tracking

FlexiCommerce COD safeguards:

• COD with OTP verification — Customers must verify an OTP (sent via SMS) before the COD order is confirmed. This eliminates up to 90% of fake orders by ensuring the customer is genuine and reachable.
• COD extra charge — Add a small COD handling fee to discourage non-serious buyers while covering your logistics overhead. Customers who are willing to pay the small COD fee are far more likely to accept delivery.
• COD order limit — Set a maximum order value for COD (for example, COD only for orders below a certain amount). This reduces your financial risk on high-value orders and encourages customers to pay online for larger purchases.
• Delivery Partner App tracking — COD collections are tracked in real-time through the Delivery Partner App with automated reconciliation in the admin dashboard. No manual spreadsheets needed.
• COD to Prepaid nudge — Offer a small discount for customers who choose online payment (GCash, Maya, card) over COD. This gradually shifts your order mix toward prepaid, reducing COD-related risks and costs.

Xendit Dashboard and Settlement

The Xendit Dashboard is where you manage and monitor all your payment activity. It provides a clean, modern interface that makes it easy to track your business finances:

Best Practices for Ecommerce Payments in the Philippines

1. Offer every payment method available: GCash + Maya + Cards + GrabPay + Direct Debit + Bank Transfer + COD. Filipino consumers have strong payment preferences, and a missing method is a lost sale. Data shows that offering 5+ payment options increases checkout completion by 30%.
2. Make GCash prominent at checkout: GCash is the dominant payment method in the Philippines. Make it the first visible option on your checkout page. Many Filipino shoppers will abandon their cart if they do not see GCash immediately.
3. Offer COD with safeguards: Do not eliminate COD entirely — it is still how 35% of Filipinos prefer to pay. Instead, use OTP verification, handling fees, and order limits to reduce fake orders while keeping the option available.
4. Display trust signals on checkout: Show the Xendit trust badge, SSL certificate icon, secure payment logos (Visa, Mastercard, GCash, Maya), and customer reviews on your checkout page. Trust is critical for Filipino online shoppers.
5. Send instant payment confirmation: When payment is received, immediately send a confirmation via SMS, email, or push notification through the Customer App. Filipino shoppers want instant reassurance that their payment went through.
6. Optimize for mobile checkout: 78% of Filipino shopping happens on mobile. Ensure your checkout is fast, simple, and mobile-optimized. One-tap GCash payment from a mobile app is the gold standard.
7. Consider direct debit for subscriptions: For subscription-based products or recurring orders, Xendit's direct debit feature (BPI, UnionBank) provides a seamless recurring payment experience without requiring customers to re-authenticate each time.

FlexiCommerce + Xendit = Complete Payment Solution

FlexiCommerce comes with Xendit pre-integrated out of the box. No coding, no plugins, no complex API configuration — our team sets up everything for you. Here is what you get:

• Xendit fully configured with all payment methods (GCash, Maya, Cards, GrabPay, Direct Debit, Bank Transfer)
• Cash on Delivery with OTP verification and handling fee (built-in)
• Internal wallet system (Flexi Coins) for store credit and refunds
• Gift card and voucher support
• Abandoned cart recovery with direct payment links via SMS and email
• Automatic payment status updates and order confirmation notifications
• VAT 12% tax calculation (automatic, configurable)
• Multi-vendor payout management (Business plan)
• Detailed payment analytics and sales reports

All of this is included in the FlexiCommerce platform — no additional fees, no per-transaction commissions from our side. You only pay the standard Xendit transaction fees. Platform starts at ₱1,499/mo + hosting from ₱799/mo (SSL, CDN, backups included in hosting). All platform features included — no extra fees.

Frequently Asked Questions