How to accept online payments in Kuwait

How shoppers in Kuwait pay online

KNET comes first. It is Kuwait's shared electronic banking network, set up in 1992 to connect the services of the local banks. When a shopper picks KNET at checkout, they pay with the debit card from their Kuwaiti bank. For many customers it is the default way to pay online.

Credit cards come next. Visa and Mastercard matter for larger orders, for expats, and for shoppers in other Gulf countries. Many shoppers also like Apple Pay on their phone, because it skips typing card details.

Cash on delivery is still common, especially for first orders from a store the customer doesn't know yet. Buy now, pay later services such as Tabby split a payment into parts, which can help with higher priced items.

What a payment gateway does

When a customer pays, the gateway takes them through the payment step, talks to their bank, and tells your store whether the payment worked. The gateway then pays the money into your bank account, less its fees, on a schedule it sets.

Each gateway sets its own fees, settlement times and refund process. Those numbers change, so ask each gateway for its current terms in writing before you sign.

What gateways ask for

Gateways must check who they work with, so expect a verification step. UPayments, for example, says you need a Kuwaiti company license, including a company bank account, to open an account. Its verification asks for the items below. Other gateways ask for similar documents, so having them ready speeds up any application.

1. Civil ID of the authorized person, front and back.
2. A valid commercial license.
3. A commercial registry extract that is no more than three months old.
4. The authorized signatory certificate.
5. Your business bank account details and IBAN.
6. Your business name in Arabic and English, and at least one active social media account.

How to compare gateways to accept online payments

Most gateways in Kuwait offer KNET and cards, so the differences are in the details. Ask every gateway the same questions and compare the answers side by side.

1. Which methods do you support: KNET, Visa, Mastercard, Apple Pay?
2. What is the fee for KNET, and what is the fee for cards?
3. How often do you pay out, and how many days does it take?
4. How do refunds work, and how long until the customer gets the money back?
5. Can I see every payment in a dashboard and export it?
6. Who answers support, and how fast?
7. Can you accept payments in other currencies if I sell across the Gulf?

Cash on delivery: when it makes sense

Cash on delivery lowers the barrier for a first order, and some customers simply prefer it. It also has costs. Drivers carry cash, orders get refused at the door, and you pay for the trip either way.

A good middle path is to offer cash on delivery next to KNET and cards, then watch how many cash orders fail. If the number grows, you can turn cash on delivery off once an online payment method is connected.

Set up online payments on Mawg3

Mawg3 doesn't hold your money. You connect your own account with a gateway, and payments go from that gateway to your bank. You can choose Tap, MyFatoorah, UPayments, Hesabe, Payzah or Bede for KNET and cards, and Tabby for buy now, pay later. Cash on delivery is on by default.

1. Open an account with the gateway you chose and wait for approval.
2. In your Mawg3 dashboard, open Addons and install that gateway.
3. Enter the API key from your gateway account.
4. Open Settings, then Payment Gateway, and check that the gateway shows as Connected.
5. If you connect more than one gateway, choose your Preferred gateway. It shows first at checkout, and runs the Apple Pay button when more than one gateway accepts it.
6. Decide whether to keep Cash on Delivery on.

Test before you go live

A broken payment step loses sales quietly, because customers leave without telling you. Test the whole path before you share your store.

1. Turn on the Test Gateway (Sandbox) in Settings, then Payment Gateway, and place a test order.
2. Turn the test gateway off again when you are done.
3. Place a real KNET order for a small amount with your own card.
4. Check that the order shows in Orders with the right payment status.
5. Refund that order from your gateway account and note how long it takes.
6. Repeat with a credit card and with Apple Pay on a phone.

Keep your payments safe

Treat your gateway API keys like passwords. Don't send them over WhatsApp or email, and only paste them into your store settings. If you think a key leaked, create a new one in the gateway dashboard and update your store.

Turn on two-factor sign-in for your gateway account and your Mawg3 account. Give team members only the access they need. Watch for unusual orders, such as many failed payments in a row or large orders to new addresses, and check them before you ship.