Alternative Payment Method (APM)

The label is relative: what counts as alternative in one market is the default in another. In the Netherlands most online payments are made with iDEAL bank payments, in Brazil Pix instant transfers and boleto payment slips are widely used, in India UPI is the leading way to make everyday digital payments, and in parts of Africa mobile money is more common than cards. Offering the methods customers expect in each country is one of the most effective ways to improve conversion when selling abroad.

APMs work in different ways. Some are push payments that the customer authorises in a banking or wallet app, with little fraud risk for the merchant but no card-style dispute process; others pull funds like a direct debit, extend credit like BNPL, or require the customer to pay cash at a store, as with vouchers. Settlement times, refund handling, currencies, transaction limits, fees and customer protections all vary by method.

Merchants usually access APMs through a PSP or orchestration platform rather than connecting to each scheme separately. When comparing providers, check which methods are supported in your target countries, whether recurring payments and refunds are possible, how quickly funds settle and whether you need a local entity. Pricing models differ too: some bank-based methods are priced per transaction, others as a percentage of value.