Managing payment gateway charges correctly is essential for running a profitable marketplace. In MultiVendorX 5.0, this system is redesigned to match how transactions actually work in real life, while ensuring your earnings stay protected.
Why this feature exists #
In a real transaction:
- The customer pays the full order amount
- The payment gateway (Stripe, PayPal, etc.) deducts its fee instantly
- The admin receives the remaining amount
👉 This means the admin always pays the gateway fee upfront, even before commissions are calculated.
The problem without this system #
Let’s say:
- Order value = $100
- Store commission = 70% → $70
- Admin commission = 30% → $30
- Gateway fee = $10
What actually happens: #
- Admin receives → $90 (after gateway deduction)
- Store is paid → $70
- Admin keeps → $20
👉 But admin was supposed to earn $30
👉 So admin loses $10 due to gateway charges
This loss also includes the portion that belongs to the store’s share.
How MultiVendorX 5.0 solves this #
MultiVendorX ensures that:
👉 Gateway fees are recovered from the store’s commission
So instead of the admin absorbing the full transaction cost, the system balances the deduction during commission distribution, keeping your earnings intact.
Gateway Fees Settings #
This setting allows you to recover the transaction costs charged by your payment provider.
👉 These fees are deducted from the store’s commission, so your marketplace earnings remain unaffected.
Default #
This acts as a fallback fee when no specific payment method rule is applied.
Example:
- ₹ + 10%
Payment method–specific fees (Dynamic) #
Below the default setting, you’ll see a list of payment methods where you can define separate fees.
👉 These payment methods are dynamically pulled from your WooCommerce settings:
WooCommerce → Settings → Payments
This means:
- Only enabled payment methods will appear here
- If you enable a new payment method, it will automatically show up
- If you disable one, it will be removed from the list
Example (based on enabled methods) #
If your WooCommerce setup has these active:
- PayPal Marketplace → ₹ + 1%
- Stripe Marketplace → ₹ + 2%
- Direct bank transfer → ₹ + 5%
👉 If you later enable another payment method (like Cash on Delivery), it will automatically appear here for configuration.
How the calculation works #
Let’s take a practical example:
- Total order price = $100
- Marketplace commission = 20% → $20
- Gateway fee = $10 + 5%
Step-by-step flow: #
- Customer pays → $100
- Gateway deducts fee → $15
- Admin receives → $85
Now MultiVendorX adjusts the distribution:
- Marketplace commission → $20
- Gateway fee recovery → $15
👉 Total marketplace earning = $35
👉 Store receives = $65
What’s happening behind the scenes #
- Admin pays the gateway fee upfront (automatically deducted)
- The system calculates the actual transaction cost
- That cost is deducted from the store’s commission
- Admin recovers the amount and keeps their intended earning
Why this approach is important #
- Prevents admin from losing money on transactions
- Ensures fair cost sharing between admin and store
- Supports multiple payment methods with different fees
- Keeps earnings accurate and predictable
In one line #
👉 The admin pays the gateway fee first, and MultiVendorX ensures it is fairly recovered from the store’s commission, while payment methods and their fees stay dynamically synced with WooCommerce.
