Blog

Best Payment Options for Furniture and Home Décor Stores on Shopify UK (2025 Guide)

Why Furniture & Décor Merchants Must Rethink Payments

Selling furniture or home décor online is very different from selling fashion or beauty products.
Your average order value (AOV) might be £300–£2,000, and your buyers expect a high-trust, smooth payment experience.
Yet, the reality for many Shopify furniture stores in the UK is this:
  • High payment fees eat 2–4% of every sale.
  • Card declines spike for high-ticket orders (especially over £500).
  • Delayed payouts block cash flow for weeks.
  • Chargebacks and PayPal disputes can freeze funds on made-to-order items.
These issues don’t just cost money — they kill trust.
That’s why modern merchants are moving to Open Banking solutions like Pay-by-Bank — built for large, verified, and frictionless transactions.

Understanding Shopify’s Payment Ecosystem

Shopify lets you choose from multiple payment options — each with different fees, risks, and payout times. The main ones in 2025 are:
  1. Shopify Payments (via Stripe) – Default option, simple setup, but card-based.
  2. PayPal – Global reach, but high fees and fund holds.
  3. Klarna – Buy Now, Pay Later, but slow settlements for merchants.
  4. Apple Pay / Google Pay – Fast UX, but same card fees underneath.
  5. Pay-by-Bank (via Wallid) – Direct bank payments with instant settlement, no cards.
Below is how they stack up for UK furniture and décor sellers.

Shopify Payment Methods Compared

Payment Method Transaction Fees (UK) Payout Speed Chargebacks Best For
Wallid Pay-by-Bank ~0.7% + £0.25 Instant None High-ticket furniture & bespoke décor
Shopify Payments (Card) 1.7–2.0% + £0.25 3–5 days Yes (£10 per case) General retail & low-value items
PayPal ~2.9% + £0.30 2–7 days Yes (buyer-favored) Cross-border & trust-first buyers
Klarna 2.49–5% + £0.20 7–14 days Merchant liable Pay-later convenience shoppers
Apple Pay / Google Pay ~1.6–1.8% + £0.25 3–5 days Yes Mobile checkouts

Deep Dive: Which Payment Option Wins for Furniture?

Shopify Payments

✅ Simple setup and brand trust.
⚠️ Fees range from 1.5–2% + 25p per order.
⚠️ Funds take 3–5 business days to arrive.
⚠️ Subject to chargebacks and 3DS friction for large orders.
Good for small décor items, not ideal for £1,000 sofas or custom lighting orders.

PayPal

✅ Familiar to customers, especially international.
⚠️ Fees up to 2.9% + £0.30 + Shopify’s 1–2% third-party fee.
⚠️ Frequent disputes and temporary fund holds (especially for pre-orders).
⚠️ Payouts can take up to 21 days for new merchants.
Good for customer trust, but high cost and payout delays make it risky for cash flow.

Klarna

✅ Increases conversion by offering Pay Later options.
⚠️ High fees (2.5–5%), long payouts (7–14 days).
⚠️ Merchant liability for returns, chargebacks, and non-payments.
Works for lower-ticket décor, but not sustainable for high-value furniture margins.

Apple Pay / Google Pay

✅ Smooth mobile experience, reduces typing errors.
⚠️ Still card-based → same fees and chargeback risk.
✅ Complements Pay-by-Bank as an alternative, not a replacement.

Pay-by-Bank (via Wallid)

Instant payouts directly to your business bank account.
No card network fees — typically ~0.7% + £0.25 flat.
No chargebacks, no fund holds, no credit limits.
✅ Fully FCA-regulated Open Banking rails for secure checkout.
✅ Integrates directly with Shopify checkout via the Wallid App.
Perfect for furniture, lighting, custom décor, and high-AOV brands.

Real Example: Furniture Order Profit Comparison

Order Value Shopify Payments (2%) PayPal (3%) Pay-by-Bank (0.7%) Net Savings
£300 £6.00 £9.00 £2.10 £3.90 – £6.90
£1,000 £20.00 £30.00 £7.00 £13 – £23
£2,000 £40.00 £60.00 £14.00 £26 – £46
By switching to Pay-by-Bank, a furniture merchant doing £50k/month could save £1,000–£2,000 in fees every month— while improving checkout speed and customer experience.

Why Instant Settlement Matters

Unlike card networks that batch transactions and settle later, Pay-by-Bank uses real-time bank transfers.
This means:
  • Cash flow improves — pay suppliers faster.
  • Faster refunds — customers trust you more.
  • Less financial risk — funds go straight to your account.
For furniture stores with long lead times, this reduces financial pressure and enables just-in-time operations.

Merchant Voices

“We sell luxury sofas made to order — Wallid’s Pay-by-Bank changed how we handle payments. Instant funds mean we can start production immediately.”
David H., Boutique Furniture Store, Manchester
“Klarna used to hold our funds for up to two weeks. With Pay-by-Bank, we get paid instantly — and save on every sale.”
Rebecca L., Home Décor Brand, London

Related Guides

Start Accepting Instant Furniture Payments Today

Install Wallid Pay-by-Bank on Shopify to reduce fees, eliminate chargebacks, and improve your customer checkout experience.

Install Free on Shopify

FAQ

Which Shopify payment method is best for furniture sellers?
Pay-by-Bank offers instant settlement, lower fees, and no chargebacks — ideal for high-value orders.
Can I use Pay-by-Bank with PayPal or Klarna?
Yes. Wallid works alongside other gateways as an alternative payment method.
Are Open Banking payments safe?
Yes. They use encrypted APIs regulated by the UK’s Financial Conduct Authority (FCA).
Do customers need an app?
No. They simply log in to their bank to approve the payment securely.
Will this improve checkout conversion?
Yes — UK merchants report up to 37% higher checkout completion with instant Pay-by-Bank.
2025-10-26 17:57