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September 5, 2025The payment method you choose directly affects cash flow, customer experience, and admin. Below we compare PayShap, EFT, Instant EFT and RTC — speeds, fees, limits and when to use each — and where Netcash fits in to simplify setup and reconciliation.
South Africa is fully embracing the future of digital payments, so keeping up to date with payment methods is imperative. Ready to discover which payment solution best fits your business and how you can streamline your operations? Let’s dive into the details that could change how you handle your money.
Don't know where to start when choosing the right payment methods for your business?
Speak to our Payments Advisors, we'll know what to do.
Quick answer:
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Fastest: PayShap (seconds) and RTC (≈under a minute).
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Cheapest for routine payouts: EFT (1–2 business days).
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Customer checkout friendly: Instant EFT and PayShap (no card capture).
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Use PayShap for low-to-mid value, mobile-first, real-time needs; RTC for urgent higher values; EFT for scheduled/batch supplier salaries; Instant EFT for instant proof with strong UX.
Enable and reconcile all four through Netcash.
A quick breakdown of PayShap, EFT, Instant EFT, and RTC
In a rush? Read this easy overview of how each method of payment works.
|
|
PayShap |
EFT |
Instant EFT |
RTC |
|
Processing time |
Almost immediate |
1 to 2 business days |
Under 30 minutes |
Under 60 seconds |
|
Availability |
Available 24/7 |
Available 24/7 |
Available 24/7 |
Available 24/7 |
|
Maximum transfer value per day |
R50,000 |
R5 million |
R5 million |
R5 million |
|
Transfer fee consideration |
Low or sometimes free |
Requires transfer fees |
Requires slightly higher transfer fees |
Higher transfer fees |
|
Accessibility |
Easily accessible through smartphones |
Easily accessible through online banking platforms |
Easily accessible through online banking platforms |
Easily accessible |
|
Use cases |
Small businesses and peer-to-peer transfers |
Small to large companies for non-urgent payments |
Small to large companies for instant payments |
Large and time-sensitive payments |
|
Benefits |
● Direct payment reflection ● Convenient ● Low transfer costs ● ShapIDs secure payments ● Increased efficiency |
● Suitable for record keeping ● Offers flexibility ● Ensures accurate payments ● Capable of processing high volumes ● Allows automation |
● Fulfil orders quickly ● Avoid chargebacks ● Fast payment clearance ● Lower transfer fees |
● Immediate payments ● Increased business efficiency ● Enhanced security ● All payments are conclusive |
Why should you use online payment systems in your business?
As digital payments become more prevalent, more people are seeking options that allow them to make immediate payments. Online payment methods help businesses make this a reality.
Increased convenience
While not always as immediate as cash payments, making online payments to suppliers, employees, or service providers is much more convenient when all you need to do is click. Modern online payment methods allow you, as a business owner, to transfer large or small amounts easily and provide a place where you can track these deductions as well. Centralising payments via a provider like Netcash reduces logins and exports.
Higher security
Online payments are becoming more secure than traditional payments like cash and cheques. Now, online transfers have two-factor authorisations and even biometric authentication to ensure safe payments are made. Use 3-D Secure, role-based approvals and audit trails via your gateway.
Payment Flexibility
Now, you and your customers have an even larger pool of options on how you can make and receive payments. From traditional EFTs to immediate transfers using RTCs, you can now manage your money in a way that fits your needs and wants when you need it. Offer multiple rails (PayShap, EFT, Instant EFT, RTC) so payers pick what works.
Saves time and money
Making payments online not only lowers transaction fees but also saves your business time with automated invoicing, payment requests, and scheduled payments. Payments are also sent and received fast and securely. Batch uploads + auto-reconciliation cut ops time and bank fees.
Types of payment methods: Getting immediate payments
These real-time compensation methods are a protected way for businesses to make secure payments. Find the payment method best suited for your business needs and wants below.
PayShap (Rapid Payments Programme)
A Rapid Payments Programme (RPP), or as South Africans might recognise it, PayShap, was first launched in 2023. This real-time digital payment method allows users to send or request funds by linking their smartphone bank accounts or payment cards. Payments are approved in the customer’s banking app; no card details are entered on your site.
Transaction speed and availability
PayShap is available 24/7 throughout the year for immediate payments. This makes it ideal for immediate low-value transactions.
Cost considerations
The cost of a PayShap transfer depends on the bank. Some banks charge a fixed fee regardless of the transaction amount, while other banks, like TymeBank, waive the fee entirely. To receive a payment, you do not incur a fee. However, if you request a payment, you will usually incur a fee.
Accessibility and user experience
PayShap enhances business convenience and reduces the need for full banking payment details (although you can use a bank account number if you want). Users simply need to use a mobile number, a ‘ShapID’, or a ‘ShapName’ linked to a bank account. However, users and recipients need to hold a bank account that is registered for PayShap payments.
Use cases
PayShap is best used for small businesses and peer-to-peer transfers. It is also a great alternative to traditional banking if you need immediate cash. With PayShap’s Request-to-Pay (RtP), you can also request a payment from a supplier, associate, or business. Also consider RTP (Request-to-Pay): send a payment request to a customer’s ShapID for instant, confirmed settlement — ideal for mobile checkout.
Benefits of using PayShap for payouts in your business
- Direct payment reflection – Payments are reflected almost instantly once the recipient accepts them.
- Convenient – Payments can be made anywhere at any time and can be made multiple times a day if needed.
- Low cost – The transfer fees for PayShap transfers are typically very low or sometimes even free.
- Secure payments – Payments can be secured using a unique alias ID (ShapID or ShapName), usually the account holder’s cellphone number.
- Increased efficiency – Paying out does not require acceptance of the account holder.
Electronic funds transfer (EFT)
An EFT is a secure way to transfer money electronically from one bank account to another. This can be used whether you’re transferring money between consumers, managing payrolls, or paying bills.
Transaction speed and availability
EFTs can take between one and two days for the transaction to clear. Depending on factors like interbank payments, weekends, and public holidays, these process times may be even longer and carried over until the next business day.
Cost considerations
EFT costs vary from bank to bank and transaction type. Typically, these costs are significantly lower if transferred between the same bank, as additional costs only occur when paying to a different bank. For salaries/suppliers, scheduled EFT batches are usually most cost-effective (non-urgent).
Accessibility and user experience
EFTs are the primary payment method for money transfers, as cheques become obsolete. They are widely accessible through online banking platforms, but lack the clearance efficiency that immediate payment methods have.
Use Cases
EFTs are best for regular business payments like supplier payments, salaries, or recurring bills. This helps streamline processes to ensure these are done in time. Although not instantaneous, businesses can easily do batch processing to manage cash flows.
Benefits of using EFTs for payouts in your business
- Good for keeping records – Keeping records of EFT transfers is easier, especially if done on a schedule.
- Offers flexibility – Making payments online is much easier and accessible than going to a brick-and-mortar bank.
- Ensures accurate payments – Electronic payments decrease the chances of receiving incorrect amounts due to human error compared to cash payments.
- Capable of processing high volumes – Electronic transfers are typically quicker than traditional cash transfers.
- Allows automation – EFTs can be set up to make recurring payments and deposits, helping you save time and money for your business.
Instant EFT
Transaction speed and availability
Instant EFTs, as the name suggests, show up almost immediately in the recipient’s bank account. However, turnover time can take up to 30 minutes to reflect, unlike PayShap or RTC transfers. Some banks may also have cutoff times for transfers that can be made and require you to wait for funds to be processed the following business day.
Cost considerations
Instant EFTs often cost more than dated EFTs but deliver faster confirmation and fewer PoP follow-ups. The amount charged depends on the bank and whether you’re transferring funds to a bank different from your primary account.
Accessibility and user experience
Instant EFTs can be done through online banking platforms, making it very convenient. Because it works through these platforms, it has higher security measures to ensure your funds stay secure. Instant payments like these are also less likely to be susceptible to fraud and chargebacks. Great for eCommerce checkout: no card capture and immediate order release.
Use cases
Instant EFTs are suitable for businesses that make bill payments and online purchases. It is also a good thing to have if your business is reliant on payments to fulfil orders.
Benefits of using Instant EFT for payouts in your business
- Fulfil orders quickly – Because fees reflect instantly, you can save time by waiting for proof of payment, which may happen with usual EFTs.
- Avoid chargebacks – Unlike card payments, instant EFTs offer better protection against chargebacks or fraud.
- Fast payment clearance – Unlike traditional EFTs, instant payments mean you waive the typical one to two business day wait.
- Lower transfer fees – Instant EFTs have lower transfer fees than some electronic transfer methods, and bank-to-bank payments are sometimes free.
Real-Time Clearing (RTC)
RTC (Real-Time Clearing) moves funds between banks in ≈under 60 seconds for urgent payouts. These are typically used for transactions under R5 million and are final.
Transaction speed and availability
RTC is one of the fastest payment methods, with payments reflected in under 60 seconds. However, there may still be some limitations outside of standard banking hours, which may cause payment delays.
Cost considerations
Because RTCs are instant transactions, they incur higher banking fees. However, the exact cost varies depending on which bank is used, whether it’s an interbank transfer, and the value transferred.
Fees vary by bank and value; expect higher fees than dated EFTs due to real-time settlement. The higher cost associated with these transfers is because banks assume a higher risk of fraud.
Accessibility and user experience
RTCs are designed to be user-friendly and are typically integrated with various payment channels. To pay, you need full bank account details and access to traditional banking channels.
Use cases
These transfers are best suited for time-sensitive payments and fast settlements between businesses or individuals. These can be used for low or high-value transactions.
Benefits of using RTC for payouts in your business
- Immediate payments – Because money is transferred in under a minute, the amount of cash locked in processing is reduced.
- Increased business efficiency – By using RTCs, your business can eliminate payment delays, resulting in less time being spent on manually paying out funds.
- Enhanced security – RTCs help reduce the risk of fraud, thanks to both parties having to verify intent and use unique proxy payment methods.
- All payments are conclusive – Once payments are made, they cannot be reversed, making fraud cases less prevalent.
When to use which payment rail
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PayShap: low–mid values, mobile-first flows, instant salary top-ups, same-day supplier releases.
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EFT (dated): payroll, rent, suppliers — non-urgent and batchable.
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Instant EFT: eCommerce checkout (instant order release), urgent but card-averse payers.
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RTC: urgent high-value settlements and last-minute cut-offs.
Does PayShap sound like a payment method that would suit your business?
Speak to one of our Payments Advisors to learn more.
How Netcash’s Payment Gateway can help your business
Netcash Payment Gateway helps your business process transactions regardless of its size. These systems are easily integrated into your software, whether you operate an eCommerce site, need help managing billing, or need to set up subscription services.
By consolidating this process and managing it on one platform, you can enhance your business’s flow and focus on what matters in your day-to-day processes. Chat to a representative today to see how easy it is to integrate this gateway into your business.
Understanding online payment methods | Wrapped up
Choosing the right payment method becomes significantly more manageable when you know what each method does and how it can improve your business needs. In South Africa, you can use a varied list of payment options, whether you have a small business or a large enterprise.
Traditional EFTs remain a reliable and cost-effective method for larger businesses that need recurring or scheduled payments. However, for more immediate payments involving significant amounts, you may benefit better from Real-Time Clearing (RTC) as it bridges the gap with immediate payments.
Your business may work better with Instant EFTs or PayShap for instant, but smaller amounts. Understanding the differences helps you stay above the competition and ensures your company uses the best tools at its disposal.
Frequently Asked Questions
Author:
Candice Sergeant
Product Manager
Stay in Touch
Candice Sergeant is a digital dynamo at Netcash, where she’s on a mission to help South African businesses level up their online game. As an eCommerce Product Owner, she’s got her finger on the pulse of the latest trends and technologies, constantly seeking out ways to boost sales and streamline operations. With a knack for spotting opportunities and a passion for innovation, Candice is your go-to guide for taking your e-commerce business to the next level.
