Top Payment Methods in Austria: How to Accept Payments Efficiently in 2025

Austria’s e-commerce market is booming, and the numbers speak for themselves. In 2024, the sector brought in a substantial US$10.62 billion in revenue. Fast forward to 2025, and that figure is set to soar to US$12.2 billion. That’s a significant jump of around US$1.58 billion in just a year! But the growth doesn’t stop there. Looking ahead, the market is on track to keep expanding at a steady pace. By 2029, the revenue is projected to hit an impressive US$17.35 billion.

Austria is a logical next step for any merchant eyeing DACH expansion. For online merchants looking to tap into this prosperous Central European market of 9 million consumers, understanding the preferred payment methods used in Austria is crucial for success.

This guide explores the top payment methods in Austria for online shopping, their pros and cons, and how merchants can leverage payment systems Austria to succeed. We’ll also highlight the rising importance of open banking and why partnering with a provider like Noda can give your business a competitive edge.

Austria’s Unique Payment Culture

Austria’s payment ecosystem is a blend of tradition and innovation. While cash use is significantly higher in Austria, the digital shift is undeniable—especially for online commerce.

In 2023, cash was used for 79% of transactions overall, but online, digital payments dominate online shopping, with contactless and instant payment options gaining traction. The country also boasts a high bank account penetration rate with debit cards more popular than credit cards; 1.42 debit cards per person compared to 0.14 credit cards. On the other hand, the share of online shoppers in Austria is around 64.1% in 2025.

For online shopping, both credit and debit card payments are the top choices, accounting for 35% of all e-commerce transactions in 2023, according to Key Players in the EU Payments Landscape 2024—a report produced jointly by The Payments Association EU, Deloitte and The Paypers.

Digital Readiness: A Market Primed for Expansion

The payment systems in Austria are evolving rapidly, driven by technological advancements and changing consumer behaviours. The EU Payments Landscape 2024 report highlights a few key trends:

• Contactless Payments: 82% of cashless transactions were contactless in 2021, with mobile apps like ELBA-pay and George gaining popularity. Now, these transactions account for more than three-quarters of all cashless payments.
• Rising interest in open banking and real-time payments: Austria is among the earliest adopters of SEPA Instant Credit Transfer, with over 443 participating financial institutions by 2023.
• Prepaid Cards: The prepaid card market is projected to reach US$6.89 billion by 2027, driven by services like Paysafecard.
• Cross-Border Shopping: With 54% of online expenditures going to foreign stores, merchants must support globally recognised methods like PayPal and cards.

A smooth route into the Austrian market is to mirror exactly how shoppers there already choose to pay. Stock your checkout with the options that consistently top the local polls—bank-issued debit and credit cards, Klarna’s installments, PayPal’s one-tap wallet, and real-time open-bank transfers with platforms like Noda. When visitors recognise their preferred rails the moment they land on the payment page, hesitation drops and conversion climbs.

Table: Austria's Online Payment Methods at a Glance

Popular Payment Methods in Austria for Online Merchants

Below, we outline the commonly used online payment methods used in Austria, focusing on their relevance for e-commerce merchants users.

Card Payments: Still a Staple

Austrian payment methods are heavily card-centric for online shopping. Mastercard leads the market with an 80% share, followed by Visa (18%) and American Express and others (2%).

Debit cards are preferred over credit cards, with 1.42 debit cards per person versus 0.14 credit cards. The total number of debit card transactions processed for payments in Austria has seen a consistent and significant increase in recent years reaching nearly 1.4 billion in 2023 (Statista). Credit card transactions have also shown a consistent increase, reaching 88.38 million in 2023 (Statista). This clearly indicates a strong consumer preference in Austria for direct bank account payments over incurring debt, even as the use of both card types continues to grow.

Pros for Merchants:

• Global Reach: Cards are widely accepted, especially for cross-border shoppers.
• Trust: Familiar and secure, with advanced authentication like 3D Secure 2.0.
• Versatility: Supported by most payment gateways in Austria, such as Payone, Hobex, and Unzer, as well as the innovative open-banking platform Noda.

Cons for Merchants:

• High Fees: Transaction fees can range from 1-3%, impacting profit margins.
• Chargebacks: Risk of disputes and associated fees, particularly with credit cards.
• Integration Costs: Setting up card processing requires compliance with PCI DSS standards — especially with custom or server-side integrations.
• Slow Settlement: Funds typically take 1-3 business days to reach merchant accounts, affecting cash flow.

Considerations: Ensure your payment gateway in Austria supports both Mastercard and Visa, as these cover (98% of the card market). Offering debit card options is crucial due to Austrians’ aversion to debt.

Digital Wallets: PayPal and Beyond

Digital wallets account for 25% of online transactions, with PayPal leading the pack. A Statista survey found that 79% of Austrians used PayPal for both online and offline purchases as of Q1, 2025. Other wallets like Apple Pay, Google Pay, and Amazon Pay are also gaining traction.

Pros for Merchants:

• Convenience: Streamlined checkout reduces cart abandonment.
• Popularity: PayPal’s dominance makes it a must-have for Austrian payment methods.
• Security: Encrypted transactions enhance customer trust. Also, Built-in tokenisation reduces PCI scope.

Cons for Merchants:

• Fees: Wallet providers act as intermediaries—you pay twice: card fee + wallet margin.
• Dependency: Relying on third-party wallets reduces control over the payment process.
• Risk of account holds or frozen funds: Some wallet operators can freeze balances or reverse payouts while investigating buyer disputes.

Considerations: Integrate PayPal and at least one other wallet like Google Pay to cater to diverse preferences. Check compatibility with your payment gateway in Austria.

Bank Transfers: Traditional Yet Effective

Bank Transfers are among the popular payment methods used in Austria. The legacy EPS system is Austria’s bank-redirect network, operated jointly by Austrian banks and still covering most domestic accounts. SOFORT—rebranded by Klarna as “Pay Now”—is a proprietary bank-redirect product that predates PSD2 APIs.

Both remain familiar to Austrian shoppers and are accepted by thousands of local merchants, yet they are steadily losing share to PSD2-driven open-banking transfers.

Pros for Merchants:

• Low Fees: Significantly lower than card payments, reducing overhead costs.
• No Chargebacks: Direct transfers are final, eliminating the risk of disputes common with card payments.
• Local Preference: This method is trusted for its integration with Austrian banks.

Cons for Merchants:

• Integration Complexity: Requires API integration with local banks.
• Bank Coverage Gaps: Only reaches Austrian banks (especially legacy EPS); cross-border shoppers may drop out.
• Consumer Familiarity: Some shoppers—especially those who still use manual bank transfers—may hesitate at checkout.

Considerations: Direct bank transfers via EPS are ideal for merchants targeting Austrian customers who value security and low-cost payment systems Austria. Ensure clear instructions at checkout to minimise user friction and enhance adoption.

Open Banking– the Fastest-Growing Rail

To leverage open banking in Austria, merchants often rely on open banking platforms to simplify integration and ensure broad bank coverage. These providers connect businesses to Austria’s banking infrastructure, enabling seamless payment methods in Austria.

Powered by regulated APIs, open banking offers instant, irrevocable payments direct from any Austrian bank account with lower fees and no redirect, making it the fastest-growing alternative for merchants looking to future-proof their payment systems in Austria.

Key open banking providers include local solutions like Raiffeisen Group (ELBA-pay), Erste Group (George), and pan-European solutions—Noda, Aiia, Neonomics, TrueLayer, and Yapily. Noda stands out with its EU-wide bank coverage, whisper-low 0.1% fees, instant settlements, and quick and easy integration for Austrian merchants.

Noda: Leading the Way in Open Banking Instant Payments

Noda integrates with all major Austrian banks and over 2,000 banks across Europe. Noda’s unified API enables payment initiation, account verification, and real-time transaction processing, tailored for e-commerce.

Beyond core functionality, Noda offers:

• Instant settlements – enabling faster cash flow for businesses.
• Reduced cart abandonment – thanks to a smooth and secure checkout experience.
• Built-in KYC and AML compliance tools – reducing regulatory overhead for merchants.
• Multi-currency support – ideal for cross-border sellers looking to expand in the EU market.
• Developer-friendly integration – with detailed documentation and responsive dedicated personal manager.

Noda empowers businesses in Austria to offer a frictionless checkout experience while keeping costs low and control high, making it a compelling alternative to other payment methods.

Pros for Merchants:

• Cost Efficiency: Open banking transactions typically incur fees of <1%, significantly lower than the card payments or BNPL, maximising profit margins.
• Enhanced Security: Utilises bank-grade authentication and PSD2 compliance, ensuring secure payments without relying on card details.
• No Chargebacks: Eliminate the risk of disputes, unlike card-based payments, providing financial certainty.
• Real-Time Settlements: Leverages Austria’s SEPA Instant Credit Transfer system, enabling instant fund availability.

Cons for Merchants:

• Limited Awareness: Open banking is newer to market and requires user education, particularly shoppers accustomed to PayPal or cards.
• Integration Complexities: For some open banking platforms, integration may need technical expertise.

Considerations: Connect to an open banking platform like Noda, and you'll find the path to online payment processing is surprisingly accessible, even if complex integrations have been a concern. Noda offers versatile connection options: merchants can integrate via a single, PSD2-compliant API to reach every major Austrian bank, or for smaller e-commerce businesses and simpler setups, utilise ready-made plugins for platforms like WooCommerce, Magento, Prestashop, and Opencart, alongside convenient no-code solutions such as payment links and branded payment pages. Noda handles crucial aspects like bank selection, strong customer authentication, and instant settlement in mere seconds—eliminating the need for separate EPS or SOFORT contracts.

Buy Now, Pay Later (BNPL): Klarna, Ratepay, & More

The BNPL sector is experiencing significant growth with 58% Austrians using Klarna for online purchases (Statista, Q1, 2025). This payment method appeals to Austrian consumers' preference for controlled spending.

Pros for Merchants:

• Increased Conversions: Flexible payment options encourage larger purchases.
• Customer Appeal: Popular among younger shoppers (15-29 years).
• Revenue Growth: BNPL can boost average order values.

Cons for Merchants:

• Risk of Non-Payment: Merchants may bear the cost of defaults.
• High Fees: BNPL providers charge 2-6% per transaction.
• Complexity: Integration requires additional agreements with providers.

Considerations: BNPL is ideal for high-value categories like fashion and electronics. Partner with established providers to leverage their strong brand recognition.

Noda: Your Open Banking Partner for Austria

As Austria embraces the open banking revolution, Noda emerges as the ideal partner for merchants seeking to leverage this transformative payment method. Our comprehensive open banking platform addresses the unique needs of the Austrian market while providing cutting-edge payment solutions.

Why Choose Noda for the Austrian Market?

1. Instant Settlement Advantage: With Noda, payments land in your account in seconds. No more waiting two business days for card batches—cash flow stays healthy and risk drops. 
2. Cost-Effective Solution: Card payments in Austria can swallow 2.5–5 % of every sale. Noda’s open-banking transfers start at 0.1%—often ten times cheaper. Keep more of each euro you earn, especially as order volumes rise.
3. Enhanced Security: Noda taps straight into each customer’s own bank login—no card numbers, no chargebacks, no fraud. It’s the same two-factor security shoppers already use, so you tick every Austrian compliance box without extra hassle.
4. Regulatory Compliance Noda's platform is fully PSD2 compliant and designed to meet Austria's stringent financial regulations. It handles:

• Strong Customer Authentication (SCA) requirements.
• Open banking regulatory compliance.
• Data protection standards.
• Austrian consumer protection laws.

Conquer the Austrian Market with Noda

For e-commerce merchants and fintech innovators looking to enter Austria’s thriving market, Noda’s open banking solution simplifies the process of offering popular payment methods in Austria. With around 98.2% bank account penetration and a growing demand for real-time payments, Austria presents a prime opportunity for businesses to adopt open banking.

• Seamless Integration: Noda’s developer-friendly APIs enable quick integration with existing e-commerce platforms, reducing time-to-market for Austrian operations. Works with WooCommerce, Magento, Opencart, PrestaShop and custom builds alike.
• Multi-Bank Support Noda connects with over 2000 EU banks, including all major Austrian banks, ensuring broad customer reach across Austria's banking landscape.
• Real-Time Processing: With Noda, Austrian merchants can offer customers immediate payment processing that aligns with their expectations for modern banking services.
• Comprehensive Dashboard: Monitor your Austrian market performance with detailed analytics, transaction reporting, and customer insights through Noda's intuitive merchant dashboard.
• Dedicated Austrian Market Expertise: Noda’s team understands Austria's unique payment preferences and regulatory environment, providing a dedicated account manager to ensure quick onboarding, setup and assistance from day one.
• Comprehensive Documentation: Access detailed integration guides, API documentation, and best practices specifically designed for Austrian market requirements.

Ready to Transform Your Austrian Payment Strategy?

Ready to see how to accept payments in Austria the smart way? If you’re an online merchant eyeing the Austrian market, register with Noda in minutes and switch on instant, low-cost open-banking checkout today.

Start Your Austrian Market Journey with Noda Today

Our open banking platform provides the foundation for successful Austrian market entry, combining instant settlement, enhanced security, and cost-effective processing in one comprehensive solution.