Cashfree and Razorpay are India's two dominant payment gateways. Both hold RBI PA authorization. Both cover UPI, domestic cards, netbanking, and cross-border. Playto Pay is the cross-border-first option. This guide compares all three for Indian businesses deciding between them.
The 30-Second Summary
| Dimension | Cashfree | Razorpay | Playto Pay |
|---|---|---|---|
| International cards | ~4-5% effective | ~4-5% effective | 4% flat, zero markup |
| Domestic Indian cards | ~1.9% (lowest) | ~2% | Not primary |
| UPI | ✅ 0% | ✅ 0% | ✅ 0% |
| VBA wire receipts | ~1-2% + markup | ~1-2% + markup | 1% flat, zero markup |
| FIRA auto-generated | ✅ Dashboard | ✅ Dashboard | ✅ Auto per txn |
| Payouts API | ✅ Excellent | ✅ Good | ⚠️ Roadmap |
| Business banking | ❌ Limited | ✅ RazorpayX | ❌ No |
| Working capital | ❌ Limited | ✅ Razorpay Capital | ❌ No |
| Settlement speed | T+1 | T+1 to T+2 | Daily |
| Developer onboarding | Faster | Standard | Fast (24-72hr) |
| Monthly fee | $0 | $0 | ₹0 |
Cashfree: The Developer-Friendly, Payout-First PG
Cashfree (now Cashfree Payments) is India's #2 PG by volume, with specific strength in:
Domestic Indian payments:
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Domestic card: ~1.9% (slightly cheaper than Razorpay's ~2%)
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UPI: 0% MDR-zero
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Netbanking, wallets, EMI Payouts API — Cashfree's genuine differentiator:
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Vendor payouts, salary disbursements, refund automation
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Bulk payout APIs with strong reliability
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Popular with marketplaces, gig economy platforms, HR tech Cross-border (Cashfree Global Collections):
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International cards: ~3.5% + forex markup = ~4.5-5% effective
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VBA in USD, GBP, EUR, AUD
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FIRA in dashboard
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RBI PA-CB authorized Where Cashfree falls short:
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Business banking features (no Cashfree equivalent to RazorpayX)
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International card rates slightly higher than Playto Pay (forex markup)
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Less ecosystem depth than Razorpay for India-native integrations
Razorpay: The Ecosystem Leader
Razorpay is India's dominant PG by brand recognition and ecosystem breadth.
Domestic Indian payments: ~2% cards, 0% UPI, netbanking
RazorpayX — business banking: Current accounts, payroll, accounting integrations. The deepest Indian banking-plus-payments ecosystem.
Razorpay Capital: Working capital loans against payment processing history. Genuine value for businesses needing fast financing.
Cross-border: International cards at ~4-5% effective (3% base + forex markup). VBA at 1-2% + markup.
Where Razorpay falls short:
- Settlement T+1 to T+2 (Cashfree is T+1; Playto Pay is daily)
- International card rates with forex markup vs Playto Pay's zero-markup 4% flat
- Slower developer onboarding vs Cashfree's reputation for speed
Playto Pay: Cross-Border-First
Playto Pay is not competing for the domestic Indian PG position — it's competing for international payment collection at lowest cost.
International pricing:
- Cards: 4% flat, zero forex markup — cheapest among India-native cross-border options
- VBA: 1% flat, zero forex markup — cheaper than Cashfree/Razorpay cross-border
- UPI: 0% MDR-zero — same as both competitors
- BNPL: 10% flat Daily INR direct settlement. FIRA auto per transaction. ₹0 monthly.
When to Use Each
Choose Cashfree if:
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Best domestic Indian card rate (1.9%) is priority
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Payouts API is core to your product (marketplaces, gig platforms, HR tech)
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Faster developer onboarding matters
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API-first architecture preference Choose Razorpay if:
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Full ecosystem (banking, capital, POS, payroll) matters
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Deep India enterprise integrations
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Working capital lending against payment history is valuable
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Domestic-first with some cross-border needs Choose Playto Pay if:
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International payment collection is the primary use case
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Lowest all-in cost on international cards (4% flat, zero markup)
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Daily INR direct settlement
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Single-platform card + VBA + UPI + FIRA auto
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No existing Cashfree/Razorpay ecosystem dependency Use multiple:
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Cashfree for domestic + Payouts API + Playto Pay for international — complementary
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Razorpay for domestic ecosystem + Playto Pay for cross-border — complementary
Cost: International Cards at $10,000 Monthly
| Platform | Base Rate | Forex Markup | True Cost | Annual |
|---|---|---|---|---|
| Playto Pay | 4% | 0% | $400 | $4,800 |
| Cashfree Global | 3.5% | 1-1.5% | ~$450-500 | ~$5,400-6,000 |
| Razorpay International | 3% | 1-2% | ~$400-500 | ~$4,800-6,000 |
Playto Pay is equal to or cheaper than both at this volume.
FAQ
Is Cashfree or Razorpay better for Indian businesses? Depends on priority. Cashfree: best domestic card rate (1.9%) + best Payouts API. Razorpay: deepest ecosystem (banking, capital, POS, enterprise integrations). For international: add Playto Pay to either.
Does Cashfree generate FIRA for international payments? Yes. Cashfree Global Collections generates FIRA in dashboard for international card and VBA receipts.
Can I use Cashfree for domestic and Playto Pay for international? Yes. Complementary platforms with no conflict. Cashfree handles domestic Indian payments; Playto Pay handles international card + VBA collections.
Is Razorpay Capital available with Playto Pay? No. Razorpay Capital is tied to Razorpay's payment processing history. If working capital lending is important, stay on Razorpay for the volume that builds Capital eligibility.