How payment services work in Xero
Find out about payment services and the steps you need to take to accept online payments.
Get paid online in 4 easy steps
- Add a payment service and apply it to a branding theme.
- Apply a branding theme to an invoice.
- Email the invoice to your customer.
- Your customer uses the payment button to pay you securely through your payment service.
Online payment link
When you email a PDF invoice to a customer, it contains a link to open an online invoice. Your customer will be able to pay using the payment button on the online invoice. Your customer doesn't need to have a Xero login to be able to pay your invoice online.
You can apply both PayPal and another payment service (under credit card service) to a branding theme. If you apply both, your customer will be able to select a payment method on the online invoice.
Reconciling is easy
When a customer pays you online, Xero marks the sales invoice in Xero as paid, unless the payment was made through a custom URL.
For payments made with a custom URL, reconcile the payment with the invoice once it's received in your account.
Xero displays the transaction reference ID from the payment gateway in the Reference field of the payment transaction.
If your payment service provider charges a fee, reconcile the payment by adding a bank fee.