Payment Methods in Denmark

Denmark is renowned for its advanced digital economy and high smartphone and online banking adoption. According to Statista, smartphone ownership in Denmark hit 94% in 2023. For merchants seeking to enter this market or expand their payment offerings, understanding Danish consumer preferences is essential. Offering the right mix of local and international payment methods helps to build trust, reduce cart abandonment and boost conversion rates. In this guide for online merchants we discuss the top payment methods in Denmark, examine the growing role of open banking and explain how Noda can simplify and enhance your checkout process.

Most Popular Payment Methods in Denmark

Danish consumers are tech-savvy and expect fast, secure, and seamless digital experiences – and payments are no exception. The most popular payment methods in Denmark include a mix of traditional cards, local debit systems, mobile wallets, and bank-based solutions. Local payment methods MobilePay and Dankort top the list, but open banking and digital wallets are slowly, but steadily gaining ground, especially among younger demographics. Merchants operating in Denmark need to offer these familiar options to maximise conversion rates and ensure a frictionless user experience.

Top 6 Popular Payment Methods in Denmark

1. Dankort & Credit/Debit Cards

The national debit card system, Dankort, remains the backbone of everyday payments in Denmark. Most Dankort cards are co-branded with Visa or Mastercard, enabling them to be used both domestically and internationally. While international credit cards are accepted, Danish shoppers favour Dankort for its simplicity, low fees, and high level of consumer trust. It is particularly popular for grocery shopping, subscriptions, and recurring services.

Although debit cards continue to dominate everyday spending in Denmark, credit card usage is steadily increasing, especially for higher value purchases and international transactions. According to Statista, Danish consumers are among the most frequent card users in Europe, with an average of 441 card or mobile payments per person per year. This figure is more than double the EU average, highlighting just how embedded card payments are in Danish daily life. Visa and Mastercard are both widely accepted across the country, including online and in-store. However, merchants should be mindful of the higher processing fees associated with credit cards, as well as the increased risk of chargebacks and fraud-related disputes. Offering a range of card options, including Dankort, is essential, but it is equally important to manage costs and risk effectively.

2. MobilePay

MobilePay is the country’s leading mobile wallet with over four million active users, representing more than two thirds of the population. Developed by Danske Bank, it allows instant peer-to-peer transfers and in‑app payments. Danish consumers expect to see MobilePay at online checkouts, as it offers a familiar and rapid payment experience.

3. Bank Transfers

Traditional bank transfers remain common in Denmark, particularly for larger payments and recurring bills. Services such as Betalingsservice are widely used to automate regular transactions such as utilities or subscriptions. These methods offer real time confirmation and a familiar experience for Danish consumers who place a high level of trust in their banks.

4. Digital Wallets (Apple Pay and Google Pay)

Digital wallets are used especially among younger demographics. Apple Pay and Google Pay let customers complete purchases on their smartphone or wearable device with a single touch. These options are secure and fast, yet they often depend on an underlying card, meaning merchants still incur similar fees.

5. PayPal

PayPal remains in use, particularly for international merchants selling to Danish consumers. Its buyer protection and simple log in process are attractive. However, PayPal is seen as secondary to the aforementioned local solutions like Dankort and MobilePay, and carries relatively higher fees, which can affect merchant margins.

6. Open Banking

Open banking allows consumers to pay directly from their bank accounts using secure and regulated APIs. It avoids the need for card networks and enables lower cost payments with real time settlement. With strong customer authentication handled by the banks themselves, open banking significantly reduces the risk of fraud while improving trust and ease of use.

In Denmark, many of these bank-to-bank payments are processed through Straksclearing, which is the national infrastructure for instant transfers in Danish kroner. Straks supports near instant transfers, often completed within two seconds, and can handle amounts up to 5000 Danish kroner. It is widely used across the country for everyday payments between individuals, businesses and public institutions.

A company like Noda offers an open banking solution that gives merchants in Denmark the ability to accept seamless pay-by-bank transactions. This helps merchants reduce their reliance on expensive card networks, lowers transaction fees, speeds up settlement times and simplifies refunds. It also eliminates the risk of chargebacks, making it an attractive option for many businesses across the e-commerce markets, including ones in the travel and retail sectors.

The Rise of Open Banking in Denmark

Open banking is transforming the payments landscape by enabling secure data sharing and direct account‑to‑account transfers. Under European regulations, most importantly PSD2, Danish banks now must provide APIs that licensed providers can use to initiate payments and retrieve account information, provided customers give consent.

Real‑time bank payments eliminate intermediaries such as card networks and payment processors, leading to lower costs and faster settlement. Authentication is handled by the bank, enhancing security and reducing fraud. Open banking is already integrated into local services and apps, and its adoption continues to grow, with its open banking maturity score at 7.2, currently taking second place in on the European DESI index. With the country’s rapid digitalisation, merchants seek to offer faster, cheaper, and safer payment options.

Payment Gateway in Denmark

A payment gateway in Denmark must support both country-specific and universal methods like Visa and Mastercard to ensure conversion across different buyer segments. As Danish consumers expect fast and trusted experiences, payment gateways should offer MobilePay, Dankort, and pay-by-bank options alongside global cards and wallets. Integration should also be compliant with PSD2, include secure customer authentication, and support instant settlement.

Noda, Nets or Quickpay are among the key players enabling seamless local payments, but Noda stands out with its open banking-first approach, cutting out card fees and offering deeper integration with local banks.

Why Local Payment Methods Matter

Research shows that more than ninety per cent of Danish online shoppers expect familiar local methods at checkout. Failure to provide options such as MobilePay or Dankort can increase abandonment rates. By combining trusted national solutions with global cards and wallets, merchants can offer a seamless experience that caters to all customer preferences.

Introducing Noda as Your Payment Gateway in Denmark

Noda offers a unified payment gateway designed to simplify payments for merchants entering or operating in Denmark. Key benefits include:

• Complete coverage Connect to all major Danish banks (Danske Bank, Nordea, Nykredit, and more) plus 2,000+ banks in 28 countries in Europe through one integration.
• Ultra-low fees Transaction costs starting 0.1%, boosting your profit margins.
• Dedicated Account Management to guide you through launch and ongoing optimisation.
• Simple Integration Whether you use WooCommerce, Magento, Prestashop, Opencart or custom checkout, our plugins and APIs get you live in minutes.
• Instant settlement – Receive payments in seconds directly to your bank account with no intermediaries or lengthy card processing.
• Additional payment options – Combine open banking with cards, Apple Pay, and Google Pay in one platform for maximum reach.
• No-code solutions – Create instant payment links and QR codes and start collecting instant bank payments without any coding or website required.

With Noda you can meet Danish consumer expectations, reduce costs and scale quickly across Europe without the complexity of managing multiple providers.

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