Comparison · Updated October 21, 2026
Payfast vs Ozow (South Africa)
Payfast
B-
Payfast is a Cape Town online payment service for South African businesses, sole traders and registered non-profits, now trading as Payfast by Network after Network International bought its parent, DPO Group, in 2021. Its standard "aggregation" account needs no merchant bank account: Payfast collects payments, holds the money and pays it out to a South African bank account. As of October 2026 it lists 3.2% + R2.00 per card payment and 2% + R2.00 per Instant EFT, all excluding VAT, with R8.70 per standard payout and R2.00 per refund. Businesses processing more than R50,000 a month can ask for custom pricing, and merchants that already have a bank merchant account can use its Paygate gateway at quoted rates. It now also sells card machines, at 2.5% for local cards, R999 or R1,499 per device and R49 a month. The published price list is clear and the checkout supports a long list of local payment methods. Its general terms are tougher than the marketing suggests, though: a 36-month term that renews automatically, wide powers to hold funds for up to 540 days, and a minimum monthly fee for low-volume accounts whose amount is set in the application, not on the website. Recent public reviews are mostly complaints about verification delays and held funds.
Ozow
B-
Ozow is a South African payments company, based in Cape Town, that started out in instant EFT ('pay by bank') and has since added cards, PayShap requests, bank-app payments, vouchers, crypto and buy now, pay later. It was founded in 2014 as i-Pay by Thomas Pays, Mitchan Adams and Lyle Eckstein, renamed Ozow in 2019, and raised a $48 million Series B led by Tencent in November 2021. As of October 2026 its published Standard package charges 1.5% (minimum R1.00) for pay by bank, Capitec Pay, Absa Pay, Nedbank Direct EFT, PayShap Request and crypto, 2.85% for local cards falling to 2.65% in higher bands, and 3.5% for international cards, with no setup or subscription fee. Payouts and refunds cost R3.00 each. Merchants sign with Ozow itself, which collects funds as their agent and settles them on a schedule: pay-by-bank money once a day, card money typically once a week. Ozow is registered with the Payments Association of South Africa as a system operator and as a third-party payment provider sponsored by seven banks. The weak points are service and stability. HelloPeter rates it 1 out of 5 and Ozow does not respond there. In April 2025 MyBroadband reported that its co-founder and CEO had been suspended amid a dispute with shareholders, and as of September 2026 the company is led by an interim CEO.
VS
Overview
We compare the two for a South African business selling online in rand, using each company's published standard prices as of October 2026. Payfast quotes every fee excluding 15% VAT. Ozow's pricing page does not say whether its rates include VAT; the one Ozow fee its terms do label, the R0.50 bank account check, is quoted excluding VAT. Ozow is the cheaper of the two on the payments it is built for. Pay by bank, Capitec Pay and PayShap Request cost 1.5% with a R1.00 minimum, against Payfast's 2% + R2.00 for Instant EFT and Capitec Pay, and local cards cost 2.85% on Ozow against 3.2% + R2.00 on Payfast. Ozow also settles bank-payment money automatically every weekday afternoon and Saturday morning with no per-settlement charge, while Payfast holds each payment for 48 hours and then charges R8.70 for every payout you request. Payfast is the broader product. It includes cards in its standard account, adds SnapScan, Zapper and other QR apps, store cards and more buy-now-pay-later options, bills card subscriptions, prices in foreign currencies, pays card money out as fast as EFT money, and sells card machines for in-person sales. Ozow enables cards only after an account manager approves your business, settles card money typically once a week, and offers recurring payments only on Capitec accounts, by approval. Payfast publishes its general terms: a 36-month term that renews automatically, which you can end on 60 days' written notice without penalty. Ozow does not publish its main merchant agreement. Payment Review grades both B-.
Key Takeaways
- ✓It depends on how your customers pay. Ozow is cheaper for bank payments and local cards; Payfast covers more payment methods, card subscriptions and in-person sales on one account.
- ✓Bank payments cost less on Ozow: 1.5% (minimum R1.00) for pay by bank, Capitec Pay and PayShap Request, against Payfast's 2% + R2.00 ex VAT for Instant EFT and Capitec Pay. On a R500 payment that is R7.50 against R12.00.
- ✓Local cards also cost less on Ozow at its published 2.85% (lowest band) against Payfast's 3.2% + R2.00 ex VAT, but Ozow switches cards on only after approval and settles card money typically once a week.
- ✓Getting paid works differently. Ozow settles bank-payment money once a day without a settlement fee. Payfast holds each payment for 48 hours, then charges R8.70 ex VAT per payout, which takes one to two working days, or 0.8% (minimum R14.00) for Immediate Payout.
- ✓Payfast is the one to pick for recurring card billing, QR apps such as SnapScan and Zapper, foreign-currency pricing or a card machine. Ozow offers none of these except recurring payments on Capitec accounts, by approval.
Payfast
Choose Payfast if you need one account for many payment methods: cards, Instant EFT, Capitec Pay, SnapScan, Zapper, store cards, buy now pay later, card subscriptions and a card machine for in-person sales. Budget for VAT on every fee and R8.70 per payout, and ask whether your application sets a Minimum Volume Fee.
Ozow
Choose Ozow if most of your customers pay from their bank accounts and you want the lowest published rate for it, 1.5% with daily settlement and no subscription. Get the full merchant agreement in writing, and confirm whether the rates include VAT, before you sign.
The Verdict
It Depends on Your Needs
Why?
Payment Review grades both B-, and neither is better for every South African online business. Ozow is cheaper for what it was built for. Bank payments cost 1.5% (minimum R1.00) against Payfast's 2% + R2.00, local cards 2.85% against 3.2% + R2.00, and bank-payment money settles every weekday afternoon with no settlement fee, where Payfast holds funds for 48 hours and charges R8.70 per payout. Payfast does more. It includes cards in its standard account, takes QR apps, store cards and several buy-now-pay-later options, bills card subscriptions, prices in foreign currencies, pays card money out as fast as EFT money, sells card machines and publishes its contract terms. Ozow approves cards case by case, settles card money weekly, limits recurring payments to Capitec accounts and does not publish its merchant agreement. Choose Ozow if most of your customers pay from their bank accounts. Choose Payfast if you need card subscriptions, many payment methods or in-person sales on one account.
Feature by feature
Detailed Comparison
Filter Options
Online payment rates (South Africa, October 2026)
| Feature | Payfast | Ozow |
|---|---|---|
| Instant EFT / pay by bank | 2% + R2.00 (ex VAT) | 1.5%, minimum R1.00 Winner |
| Payfast's own fees page is inconsistent. Its fee table headlines Instant EFT as "2.0% (min R 2.00)" and describes it as "2% plus min. R 2.00", but its R500 example charges R12.00 and its fee calculator adds R2.00 to 2%, so we use 2% + R2.00. Read the other way, Payfast would charge R10.00 on R500 and R2.00 on R50, and Ozow would still be cheaper. Ozow's pricing page does not say whether its rates include VAT. Ozow is cheaper either way: on R500 it charges R7.50, or R8.63 if VAT were added on top, against Payfast's R12.00 before VAT. On a R50 payment the gap is wider: R1.00 on Ozow against R3.00 on Payfast. | ||
| Capitec Pay | 2% + R2.00 (ex VAT) | 1.5%, minimum R1.00 Winner |
| Ozow charges the same 1.5% for Absa Pay, Nedbank Direct EFT, PayShap Request and Capitec Pay recurring payments. Payfast's payment-methods page also lists Absa Pay, but its fee table gives no Absa Pay rate. | ||
| Local Visa and Mastercard | 3.2% + R2.00 (ex VAT) | 2.85%, minimum R1.00 (lowest band) Winner |
| Payfast's fee table lists 3.2% + R2.00 for credit and cheque cards. The fee calculator on the same page prices a separate 'Debit Card' option at 3.5% + R2.00, which the table does not show, so confirm the debit rate with Payfast. Ozow's rate falls to 2.75% and then 2.65% in higher bands, but the page labels the bands by transaction value ('R0 - R249,999.99') without saying whether they mean monthly volume. Ozow's card FAQ also says 'monthly service fees may apply', which the pricing page does not list. On a R500 sale: Payfast R18.00 before VAT, Ozow R14.25. | ||
| International cards | 3.2% + R2.00 (ex VAT) | 3.5%, minimum R1.00 |
| Payfast lists one online card rate and no separate charge for foreign Visa and Mastercard cards. Ozow charges 3.5%. If both sets of prices exclude VAT, Ozow costs less below about R667 and Payfast above it (for example R11.60 against R10.50 on a R300 sale, R34.00 against R35.00 on R1,000). If Ozow's 3.5% turned out to include VAT, Ozow would be cheaper at every basket size, since Payfast's 3.2% alone comes to 3.68% with VAT. Which is cheaper depends on your basket size and on Ozow's VAT treatment, so we give no winner. | ||
| Apple Pay and Google Pay | 3.2% + R2.00 (ex VAT); Samsung Pay too | At the card rate, once cards are on |
| Ozow includes Apple Pay and Google Pay in its card product. Cards must be enabled first, and each wallet is then enabled separately. Ozow's developer documentation says Samsung Pay is not available yet. | ||
| Buy now, pay later | Payflex 5.45% + R5.00; MoreTyme 5.5% + R2.00 | Happy Pay 4.99% + R4.00 |
| The providers differ, so their terms for your customers differ too. Payfast also offers Mobicred credit at 3.2% and RCS store cards at 3.2% + R2.00. Payfast's figures exclude VAT. | ||
Instant EFT / pay by bank
Payfast
2% + R2.00 (ex VAT)
Ozow
1.5%, minimum R1.00
Winner
Payfast's own fees page is inconsistent. Its fee table headlines Instant EFT as "2.0% (min R 2.00)" and describes it as "2% plus min. R 2.00", but its R500 example charges R12.00 and its fee calculator adds R2.00 to 2%, so we use 2% + R2.00. Read the other way, Payfast would charge R10.00 on R500 and R2.00 on R50, and Ozow would still be cheaper. Ozow's pricing page does not say whether its rates include VAT. Ozow is cheaper either way: on R500 it charges R7.50, or R8.63 if VAT were added on top, against Payfast's R12.00 before VAT. On a R50 payment the gap is wider: R1.00 on Ozow against R3.00 on Payfast.
Capitec Pay
Payfast
2% + R2.00 (ex VAT)
Ozow
1.5%, minimum R1.00
Winner
Ozow charges the same 1.5% for Absa Pay, Nedbank Direct EFT, PayShap Request and Capitec Pay recurring payments. Payfast's payment-methods page also lists Absa Pay, but its fee table gives no Absa Pay rate.
Local Visa and Mastercard
Payfast
3.2% + R2.00 (ex VAT)
Ozow
2.85%, minimum R1.00 (lowest band)
Winner
Payfast's fee table lists 3.2% + R2.00 for credit and cheque cards. The fee calculator on the same page prices a separate 'Debit Card' option at 3.5% + R2.00, which the table does not show, so confirm the debit rate with Payfast. Ozow's rate falls to 2.75% and then 2.65% in higher bands, but the page labels the bands by transaction value ('R0 - R249,999.99') without saying whether they mean monthly volume. Ozow's card FAQ also says 'monthly service fees may apply', which the pricing page does not list. On a R500 sale: Payfast R18.00 before VAT, Ozow R14.25.
International cards
Payfast
3.2% + R2.00 (ex VAT)
Ozow
3.5%, minimum R1.00
Payfast lists one online card rate and no separate charge for foreign Visa and Mastercard cards. Ozow charges 3.5%. If both sets of prices exclude VAT, Ozow costs less below about R667 and Payfast above it (for example R11.60 against R10.50 on a R300 sale, R34.00 against R35.00 on R1,000). If Ozow's 3.5% turned out to include VAT, Ozow would be cheaper at every basket size, since Payfast's 3.2% alone comes to 3.68% with VAT. Which is cheaper depends on your basket size and on Ozow's VAT treatment, so we give no winner.
Apple Pay and Google Pay
Payfast
3.2% + R2.00 (ex VAT); Samsung Pay too
Ozow
At the card rate, once cards are on
Ozow includes Apple Pay and Google Pay in its card product. Cards must be enabled first, and each wallet is then enabled separately. Ozow's developer documentation says Samsung Pay is not available yet.
Buy now, pay later
Payfast
Payflex 5.45% + R5.00; MoreTyme 5.5% + R2.00
Ozow
Happy Pay 4.99% + R4.00
The providers differ, so their terms for your customers differ too. Payfast also offers Mobicred credit at 3.2% and RCS store cards at 3.2% + R2.00. Payfast's figures exclude VAT.
Best For Your Business
Recommendations based on your business type
Online shop whose customers mostly pay by EFT
Recommended
Ozow
Ozow charges 1.5% (minimum R1.00) for pay by bank and Capitec Pay against Payfast's 2% + R2.00 ex VAT, and settles that money every weekday at no charge. On R40,000 a month in 100 bank payments of R400, Ozow costs R600; Payfast costs R1,000 plus R34.80 for four payouts, before VAT.
Subscription, membership or retainer business
Recommended
Payfast
Payfast stores cards as tokens and charges them on a schedule you set, with plugins such as WooCommerce supporting it. Ozow's recurring payments cover Capitec accounts only, in a limited rollout open to approved merchants.
Store that sells by card and needs card money quickly
Recommended
Payfast
Ozow's card rate is lower, but its card money typically settles once a week and cards are switched on only after approval. Payfast pays card money out on the same 48-hour-plus-payout cycle as everything else, with Immediate Payout for cleared funds if you need them within minutes.
High-volume, low-value payments such as tickets, top-ups or fines
Recommended
Ozow
Payfast's fixed R2.00 per transaction weighs heavily on small baskets: a R50 Instant EFT costs R3.00 before VAT. On Ozow the same payment costs the R1.00 minimum, and PayShap Request suits sending payment requests by phone number.
Business that also sells in person or at markets
Recommended
Payfast
Payfast sells card machines at R999 or R1,499 plus R49 a month, with local cards at 2.5% ex VAT, and in-person sales appear in the same dashboard as online ones. Ozow lists no card terminal; in store, customers scan an Ozow QR code and pay on their phone, usually from their bank account.
Shop pricing in foreign currencies or wanting QR apps such as SnapScan and Zapper
Recommended
Payfast
Payfast offers multi-currency pricing with settlement in rand, and takes SnapScan, Scan to Pay, Zapper and Scode at checkout. Ozow supports rand only and lists none of those apps.
Payfast: Best for 4 use cases
Ozow: Best for 2 use cases
Frequently Asked Questions
Common questions about this comparison
For bank payments and local cards, yes, at published prices as of October 2026. Ozow charges 1.5% (minimum R1.00) for pay by bank, Capitec Pay and PayShap Request, and 2.85% for local cards in its lowest band. Payfast charges 2% + R2.00 for Instant EFT and Capitec Pay, and 3.2% + R2.00 for cards, excluding VAT. Payfast also charges R8.70 per payout, while Ozow lists no settlement fee. Payfast is cheaper on refunds (R2.00 against R3.00), and on international cards above roughly R667 (3.2% + R2.00 against 3.5%) if Ozow's prices also exclude VAT, which Ozow does not say.
Yes. Ozow takes Visa and Mastercard credit and debit cards online, with Apple Pay and Google Pay, at 2.85% for local cards in its lowest band and 3.5% for international cards. Cards are not self-service: an account manager enables them after Ozow confirms your business type is supported. Card money typically settles once a week, and Ozow's card FAQ says monthly service fees may apply. It does not list American Express or a card machine.
Payfast's fees exclude VAT, so add 15% to every figure on its fees page. Ozow's pricing page does not say. The only Ozow fee its terms label, the R0.50 bank account check, is quoted excluding VAT, which suggests its other prices may exclude it too. Ask Ozow to confirm in writing.
Ozow settles bank-payment money once a day, at 15:00 on weekdays and 08:00 on Saturdays, and card money typically once a week. Payfast makes each payment available after a 48-hour hold; a standard payout then takes one to two working days and costs R8.70 ex VAT. Payfast's Immediate Payout sends cleared funds within minutes for 0.8% ex VAT (minimum R14.00), up to R50,000 a day.
Both do. Payfast lists more than 70 plugins, including WooCommerce (with recurring billing), Shopify, Magento and Xero. Ozow's integrations page lists 14, including WooCommerce, Shopify, Magento, OpenCart, PrestaShop and Xero; its Shopify integration is set up from the Ozow dashboard and needs your store currency set to rand.
Nothing we found stops you. Payfast's general terms say it provides its services on a non-exclusive basis. Ozow does not publish its main merchant agreement, so ask it whether exclusivity applies. Running both means paying Payfast's fees on the methods you send there, including the R8.70 per payout, and a possible Minimum Volume Fee if Payfast handles R20,000 a month or less.
Payfast was founded in Cape Town in 2007. DPO Group bought it in July 2019, and Network International completed its $291.3 million purchase of DPO on 29 September 2021, which is why Payfast now trades as Payfast by Network. A consortium led by Brookfield took Network International private on 17 September 2024. Ozow is a Cape Town company founded in 2014 as i-Pay, renamed Ozow in 2019, and backed by venture investors, including Tencent, which led its $48 million Series B in November 2021. In 2026 it is led by an interim CEO, Rachel Cowan.
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