What are payment links?

This article includes tips, suggestions, and general information. We recommend that you always do your own research and consider getting independent tax, financial, and legal advice before making any important decision.

Payment links help eliminate the need for lengthy checkout processes still found on some websites or apps, providing a safe and convenient way to pay.

In the UK, where e-commerce and mobile commerce account for nearly 25% of all retail sales, payment links are becoming an increasingly common tool for businesses and individuals alike.¹

This article will explore how payment links work and the benefits they offer to buyers and sellers. It will also discuss security measures to protect earnings and provide insights into how platforms like PayPal can be used to streamline online payments.

How do payment links work?

When users click a payment link or scan a QR code for payment, they are automatically directed to a secure payment page where they can enter their payment details and complete the transaction. Users can usually choose from a range of payment methods — such as credit cards, debit cards, or PayPal — ensuring convenience and flexibility. The payment links system is designed to be efficient, reducing the time and effort required to complete an online purchase.

How to create a payment link

Creating a payment link is simple. Platforms like PayPal offer users the option to generate payment links to directly send and receive money from their accounts. Once the link is created, it can be given to customers or friends to request payment.

How to share your payment link

The payment link can be shared easily through various methods. It can be sent by email, texted via mobile, or even shared on social media. This flexibility allows users to collect payments in many convenient ways. This also enables buyers to choose how to pay.

Securing your earnings

When using payment links, users need to know their earnings are secure. That is why PayPal provides encrypted payment pages to safeguard sensitive financial information, helping ensure transactions are secure from potential threats.

For additional security, users should verify the sender’s information before completing any payment to prevent fraud. Securing earnings through these practices is a critical part of using payment links, ensuring that funds remain safe and transactions proceed smoothly.

Types of payment links

Different types of payment links cater to different purposes. Some of the common types include:

• Custom payment links. Tailored for specific transactions or customers, these links allow users to set an amount or purpose for the payment.
• QR codes for payment. These scannable codes are particularly useful in stores or at events where customers can scan and pay instantly, eliminating the need for physical payment methods.
• Payment links for business. These links are ideal for businesses collecting payments for goods or services. They can be integrated into invoices or shared with customers via email or social media.
• Payment request links. These links enable users to request payments from others, providing a simple way to collect funds for personal or business purposes, such as donations or group expenses.

While each type functions similarly by directing users to a secure payment page, the custom payment links vary depending on the intent.

Benefits of using payment links

Payment links streamline the transaction process for both buyers and sellers. For sellers, payment links help eliminate the need for complex integrations or lengthy checkout processes, making for speedy and secure transactions. For buyers, they help provide a straightforward way to pay without navigating through multiple screens or entering excessive information.

Payment links also help eliminate the need for manually entering billing information, making it much quicker to complete sales or request money. Additionally, PayPal integrates encryption to protect users’ sensitive financial data.