How does Stripe payment work

Stripe is a payment gateway that enables businesses to accept online payments from customers worldwide. When a customer makes a purchase, Stripe securely processes the card details, verifies the transaction with the issuing bank, and transfers the funds to the merchant's account after deducting its processing fees (typically around 2.9% plus a fixed amount per transaction). Stripe supports multiple payment methods including credit cards, debit cards, and digital wallets, making it a versatile solution for e-commerce and subscription businesses.

For Indian freelancers and exporters receiving international payments, however, Stripe's setup can be complex and its fees can add up. If you're comparing options for cross-border payments, reviewing Stripe vs PayPal international payments 2025 can help you understand the trade-offs. Skydo offers a simpler alternative as an RBI-authorised platform designed specifically for Indian businesses, providing faster settlements and more competitive rates for receiving payments from clients abroad.