Payment UX best practices: 7 mistakes hurting your conversions (and how to fix them)

Your checkout process is more than just a transaction - it’s the most crucial element of your customer’s shopping journey.

70% of online shopping carts are abandoned, according to a study by Baymard Institute. And one of the biggest reasons why? Poor payment user experiences.

Your checkout process is more than just a transaction—it’s the most crucial element of your customer’s shopping journey. It not only seals the deal but also leaves a lasting impression.

A seamless, well-designed payment experience fosters trust, loyalty, and higher revenue, effortlessly converting browsers into buyers. On the other hand, a clunky or confusing checkout process can drive customers away and cost you sales. Master this crucial step, and you’ll not only boost customer satisfaction but also see a meaningful impact on your bottom line.

In this article, we’ll explore:

• Why payment UX is a make-or-break factor for your business
• The top seven UX mistakes holding you back
• Actionable payment UX best practices to fix these mistakes

Why optimizing your payment experience should be a top priority

Optimizing your payment process isn’t just about convenience; it delivers tangible results.

• It increases your conversion rates: A seamless checkout experience boosts sales. By eliminating roadblocks, you keep customers focused and more likely to complete their purchases, driving higher revenue.
• You will win loyal customers: Secure and seamless payment flows are the key to earning customer loyalty. They foster trust, drive repeat business, and keep shoppers returning, again and again.

Payment UX best practices: Unexpected ways to lose your customer

1. Treating the payment experience as a disconnected process

For many businesses, the payment step can feel like a separate part of the customer experience. But for users, the payment process is deeply integrated into their shopping journey. Viewing payments as "just the last step" disconnects them from the seamless flow of shopping. This creates friction that kills momentum right at the finish line.

The solution

Take a holistic approach to the payment process—it should feel like a natural extension of the shopping journey. Every detail—design, speed, tone—must work in harmony, creating a consistent experience from the first interaction to the final checkout. This consistency builds trust and keeps users engaged, especially when motivation is low or high-value purchases are involved. A seamless, well-crafted checkout interface that reflects the product’s market positioning can make all the difference. Shoppers want a process that reassures their decision and instills confidence in their purchase.

2. Failing to prioritise trust in design

62% of consumers see fraud as an inevitable risk of online shopping, making the payment process the most critical and sensitive stage of the customer journey. Outdated designs or missing security signals that don’t look familiar make customers hesitant to share payment details.

The solution

Build trust through simplicity, transparency, and familiarity. According to a survey by Trustly, 63% of consumers who abandoned a purchase due to lack of trust said they would have reconsidered if they could authenticate via their bank instead of entering card details. To foster confidence, implement trusted payment options like Pay by Bank, emphasize security certifications, and display recognizable payment logos. Clearly communicate your privacy practices and avoid visual clutter. Additionally, use real-time status updates like “Processing” or “Completed” to reassure users and boost confidence during checkout.

3. Adding excessive payment options

Offering every possible payment method might seem like a choice-empowering strategy, but too many options can overwhelm and confuse users. Worse, unfamiliar or irrelevant methods make users second-guess their decisions.

New research from Forrester reveals that consumers prioritize secure and seamless payment experiences over an abundance of options.

The solution

71% of consumers expect companies to deliver personalised interactions. Craft your payment options based on who your audience is and what they value. Focus on the customer context by limiting options to what’s relevant. Tailor available methods based on the audience and product—for example, prioritise digital wallets for younger demographics or installment options for high-ticket items. Streamlined choices create clarity and minimize overwhelm.

Keep the payment menu simple, yet flexible. Three to five highly relevant methods are sufficient to empower users and ease the decision-making process.

4. Require manual entry

Traditional payment methods, like credit cards, often require lengthy card details, which can deter even the most patient customers. Hunting for a card in another room, dealing with expired details, or entering incorrect numbers can quickly turn a simple task into a frustrating ordeal. Payments should be seamless, but overly complicated workflows can easily transform enthusiasm into irritation. These inefficiencies add unnecessary friction to the checkout process, frequently leading to cart abandonment.

The solution

Your customers, especially the returning ones, deserve a faster option. Save their preferred payment details securely, and present single-click payments for a superior repeat experience. By adding online banking payments, consumers only have to authenticate themselves once and can pay directly from their bank account. If a merchant uses a full-service payment provider, the process can even be automated, so the customer has to take very limited steps in the payment journey.

5. Ignoring the need for speed

Speed is critical in digital payments, where every millisecond you save strengthens customer retention and trust. Simplifying the payment process is key—too many steps or form fields can create unnecessary friction for users. As a matter of fact, research shows that if a page takes more than three seconds to load, 57% of shoppers will abandon it. A poorly optimised payment system, whether due to long loading times or sluggish responses, undermines confidence in the platform.

The solution

Accelerate every aspect of payment UX with lightweight, fast integrations. Collaborate with platforms and APIs renowned for their reliability. Minimise redirects, reduce unnecessary scripts, and regularly optimize page performance.

6. Balancing friction with control

Many payment systems focus on reducing steps to eliminate all friction. While simplicity is essential, removing control elements entirely (like review opportunities) can leave users feeling unsettled—especially when money is involved.

The solution

Introduce micro-moments of reassurance. Data auto-fills and fewer form fields can reduce friction, but these should be balanced with confirmation steps. For example, add a review screen before payments are processed, giving users a sense of oversight.

Digital payment platforms that blend speed with visible confirmations deliver the perfect balance—simple but with just enough control for reassurance.

7. Overlooking what happens post-payment

The payment doesn’t end with hitting “Confirm.” Unclear confirmation pages, slow follow-ups, or delays in finalizing the transaction create doubt about whether the payment succeeded. It’s a missed opportunity to reinforce trust.

The solution

Prioritise immediate acknowledgment. After payment, redirect users to a clear confirmation page or send an instant receipt email with all necessary details. A seamless transition back to the platform ensures the user experience ends on a positive note.

Speedy post-payment communications—like thank-you pages or instant order summaries—lead to higher retention and repeat sales by leaving customers feeling confident and valued.

7 ways to future-proof your payment experience

A seamless payment platform can set your business apart, helping you attract and retain more customers. Payments are evolving fast, and user expectations aren’t far behind. With customer expectations at an all-time high, your competitors are already taking notice. Don’t fall behind—stay ahead by meeting and exceeding today’s standards.

Here’s how you can stay ahead of the curve:

1. Think holistically. Payments are part of the customer experience—get the flow right.
2. Communicate trust. Use a clean design and clear security markers to minimize hesitation.
3. Curate options. Focus on relevant payment methods based on audience behavior.
4. Simplify processes. Reduce unnecessary steps and stick to user-friendly flows.
5. Prioritize speed. Keep performance flawless to enhance reliability.
6. Empower control. Reassure users with confirmations and real-time updates.
7. Finish strong. Ensure confirmation pages and post-payment communications are immediate and clear.
   

The payment process is more than just an endpoint—it’s where trust, loyalty, and conversions come together. Businesses that treat it with the care it deserves will lead the future of user experience, one seamless transaction at a time.

FAQ: Future trends in payment UX and user expectations

Q1: How will open banking continue to transform payment UX in the coming years?

Open banking is set to revolutionize payment experiences by enabling direct bank-to-bank transfers without intermediaries. In the next 2-3 years, we can expect more streamlined authentication processes, real-time payments across borders, and personalized financial insights integrated directly into payment flows. Merchants adopting open banking payment solutions will likely see higher conversion rates as customers benefit from simpler authentication (typically biometric) and the elimination of manual card entry. The true potential lies in creating contextual payment journeys tailored to individual spending patterns and preferences.

Q2: What role will artificial intelligence play in future payment experiences?

AI will transform payment UX beyond basic fraud detection into truly predictive experiences. We'll see AI systems that can anticipate payment preferences based on purchase context, automatically suggest optimal payment methods, and provide spending insights in real time. Advanced systems will detect unusual payment behaviors before they happen, offering proactive intervention rather than reactive security measures. For merchants, AI-powered dynamic checkout experiences will maximize conversion by adapting the payment flow based on user behavior, device type, and historical preferences—potentially increasing conversion rates by 15-25% through intelligent optimization.

Q3: How are consumer expectations around payment speed and simplicity evolving?

Consumer patience with payment processes continues to diminish. Research indicates that expectations for total checkout time have decreased from 2-3 minutes to under 30 seconds in just the past few years. This trend will accelerate, with users expecting instant confirmation and settlement regardless of payment method or transaction value. The benchmark for simplicity is shifting toward "zero-UI" payments—transactions that happen in the background with minimal active input from users. Businesses that can't deliver near-instantaneous payment experiences with no more than 1-2 authentication steps will increasingly lose market share to those who can.

Q4: What security innovations will shape user trust in future payment systems?

The future of payment security lies in invisible but robust protection mechanisms. Continuous authentication using behavioral biometrics (how users hold devices, typing patterns, etc.) will replace point-in-time verification. We'll see wider adoption of device fingerprinting combined with network intelligence to create security profiles that adapt in real time. Decentralized identity solutions based on blockchain will give users more control over their payment credentials. The perception of security will become as important as actual security—users will expect visual reassurance throughout the payment journey, with clear indicators of protection that don't interrupt the flow, potentially displayed as real-time security status updates.