Does Shopify charge an additional fee on Cash on Delivery (COD)?

It's a burning question that we get all the time. It is about the extra charge that Shopify mentions in the pricing (check Shopify Pricing). We don't want to waste your time with a long article that keeps you waiting until you get to know the answer.

There are two types of users on Shopify

  • Users who use Shopify Payments:
    • These users are blessed, getting full support from Shopify in their payments as they're using the native Shopify Payments product (that is based on Stripe). Unfortunately, this product/service is not available for us in the Middle East yet. 
    • Okay, so these users, they don't have to pay this fee. They only pay the online & in person credit card rates. All fees on any other payment method are waived (including COD). 
    • So to answer directly, if you use Shopify Payments, you do not pay a fee when customers select COD as a payment method.
  • Users who do not use Shopify Payments:
    • That's us, in Egypt and the Middle East. We don't have Shopify Payments and we are a COD region. 
    • We only pay for the third party payment gateway that we use. "The charge will be reflected on the bill following the period in which the order was taken".
    • So to answer directly, if you don't use Shopify Payments, you do not pay a fee when customers select COD as a payment method. 

Before we wrote this article, we checked the billing of multiple Shopify stores in Egypt just to confirm this. Also we got this screenshot from Shopify Support explaining it: 

Does Shopify charge on cash on delivery orders (COD)?

Manual Payment Methods
Advanced Cash on Delivery

Let us know if you have an experience or any questions for this.

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