Alternative Payment Methods
Glossary
Alternative Payment Methods (APM) refer to non-traditional forms of payment beyond credit and debit cards, providing customers with diverse options for completing transactions. These methods vary globally and include digital wallets, bank transfers, mobile payments, and others.
(APMs)
extend checkout beyond cards. Method intros and the Choose APM catalog use the same labels: Category and Subtype for classification, Payment flow for where checkout completes, and Billing logics for who initiates later charges.
Cash-based and buy now, pay later methods have a category without a subtype. Some methods support both direct and redirect checkout; the catalog marks them as Direct / Redirect.
Alternative payment methods group into six key categories.
Payments made directly from one bank account to another. Includes real-time payments, bank redirects, Open Banking, and direct debits.
Store money or payment credentials for faster, mobile-first payments. Includes stored value, staged, and pass-through wallets.
Start online, complete with physical cash at a partner location or ATM. Includes pre-pay vouchers and post-pay methods.
Short-term interest-free loans letting shoppers pay in installments. Pay in 4 and Pay in 30 are the most common types.
Pay using cryptocurrencies or stablecoins. Borderless, low-fee, and privacy-focused.
Charge purchases to a mobile phone bill or prepaid balance. Popular for digital goods in low-card markets.
| A2A sub-type | Key differentiator | UX | Examples |
|---|---|---|---|
| Real-time payments | Instant, irrevocable, 24/7 | QR codes, OTPs, payment identifiers | Pix, BLIK, UPI |
| Bank redirects | Customer redirected to online banking to authorize | Web/mobile redirect, bank list selection | Przelewy24 |
| Open Banking | API-based through PISP providers (Tink, Volt) | Redirect or embedded. SCA required. | Pay by Bank |
| Direct debits | Merchant pulls funds after mandate | Mandate authorization. Delayed confirmation. | Blik Recurring |
| Digital wallets sub-type | Key differentiator | UX | Examples |
|---|---|---|---|
| Stored value | Customer spends from a pre-funded wallet balance | Standalone wallet app; confirm in the app | GCash, Alipay, WeChat Pay |
| Staged | Wallet funds or linked credentials in two stages | Login and approve in the wallet environment | PayPal, Mercado Pago, Klarna, Cash App Pay |
| Pass-through | Tokenized credentials pass through without holding funds | Mobile-first confirmation; no wallet balance required | MB WAY, MobilePay |
Payment flow describes where the customer completes checkout. Method pages and the catalog use Direct and Redirect.
The customer completes the payment without leaving the merchant website or app. Confirmation can still use QR codes, push notifications, or OTPs in place.
The customer is redirected to a third-party site or app to authenticate and pay, then returns to the merchant after completion.
Payment flow (Direct / Redirect) describes where the customer completes authentication.
APMs support different billing logics depending on who initiates the charge and whether the customer is present. Method intros list which logics Solidgate supports for each method. Configure future usage when you init an alternative payment.
| Flow | Initiated by | Customer present | Description | Example |
|---|---|---|---|---|
| One-time | Customer | Yes | A single customer-initiated payment. The customer confirms through redirect, QR code, push notification, or a similar step. | Checkout payment |
| 1-click | Customer | Yes | A customer-initiated payment that reuses stored credentials. No payment-detail re-entry or redirect; the customer confirms with a single action based on a prior authorization. | Saved wallet, no re-auth |
| Recurring | Merchant | No | A merchant-initiated payment on a fixed schedule. Requires a prior mandate or token setup by the customer. | Monthly subscription |
| Unscheduled MIT | Merchant | No | A merchant-initiated payment with no fixed schedule or amount. Requires a prior mandate or token setup. Common for event-triggered or usage-based charges. | Post-ride charge, top-up |
Billing logic describes whether later charges are customer- or merchant-initiated. A method can use a redirect checkout for the first payment and still support merchant-initiated recurring or unscheduled charges after mandate setup.
Review Track APM for lifecycle and error-code guidance, then open the catalog to filter alternative and local payment methods by region, category, flow, billing logics, and capabilities.