Question 1

What does VelvPay do?

Accepted Answer

VelvPay is a Nigerian payment gateway built specifically for local businesses, freelancers, SMEs, and startups that need an affordable, easy-to-integrate payment solution without the complexity or pricing overhead of larger platforms. Positioned as "a rising star" in Nigeria's fintech ecosystem, VelvPay differentiates itself through transparent flat-rate pricing, same-day settlement, built-in invoicing tools, and a local-first approach to customer support that understands the specific needs of Nigerian merchants.

**What VelvPay Does**
VelvPay provides a multi-channel payment acceptance platform that covers web checkout, mobile app payments, and in-person transactions. At its core, the platform allows Nigerian businesses to accept card payments (Visa, Mastercard, Verve) and bank transfers from customers, with settlement directly to the merchant's Nigerian bank account. The platform is accessible both through a developer API for technical integrations and through a merchant dashboard with no-code tools for non-technical users.

**Pricing — 1% Local Transactions**
VelvPay charges 1% per local NGN transaction — one of the more competitive rates in the Nigerian payment gateway market. There are no hidden charges on top of this fee. For international transactions, VelvPay applies a flexible fee structure (specific rates are provided during merchant onboarding). No publicly advertised monthly subscription fee is required, making it a low-risk choice for businesses with variable or seasonal transaction volumes.

For context, this 1% flat fee compares favorably to other Nigerian gateways that charge 1.5%–2.5% per transaction — a meaningful cost difference at scale, particularly for businesses processing high volumes of low-to-mid-value transactions.

**Same-Day Settlement**
VelvPay offers same-day settlement, which means payments collected on a given business day are available in the merchant's bank account on the same day (subject to cut-off times). This is a significant advantage for cash-flow-sensitive small businesses and freelancers who cannot afford to wait 1–3 days for funds to clear.

**Invoicing Tools**
Unlike most payment gateways that focus purely on API integrations, VelvPay includes built-in invoicing tools in the merchant dashboard. Businesses can create professional invoices with a payment link embedded directly — the client clicks "Pay Now" and completes the payment via card or bank transfer. This makes VelvPay accessible to freelancers, consultants, and service businesses that don't have a website or e-commerce store.

**API & Developer Tools**
VelvPay provides a REST API for developers who need to integrate payment acceptance into websites, mobile apps, or backend systems. API keys are issued after completing merchant onboarding. The API follows standard patterns with JSON request/response formats and webhook notifications for payment lifecycle events (payment initiated, payment successful, payment failed). Documentation is available through the VelvPay developer portal.

**Multi-channel Payment Acceptance**
VelvPay supports three primary payment channels:
- **Web checkout**: A hosted payment page or embeddable checkout widget for websites and web apps
- **Mobile**: SDK/API integration for iOS and Android mobile applications
- **In-person**: Payment acceptance at physical locations for retail, market vendors, and hospitality businesses

**Nigeria Focus & Support**
VelvPay is built exclusively for the Nigerian market. Customer support is local and understands the operational reality of Nigerian businesses — from intermittent banking system downtimes to the preferences of Nigerian consumers for specific payment methods. This localization is a meaningful advantage for businesses that find the support teams of international platforms less responsive to Nigeria-specific issues.

**Compliance**
VelvPay operates within Nigeria's CBN regulatory framework for payment service providers. Merchant onboarding includes standard Nigerian KYC requirements (CAC registration, director ID, business bank account) to comply with CBN anti-money laundering directives.

**Challenges & Limitations**
VelvPay is smaller than market leaders Paystack and Flutterwave, which means its ecosystem of plugins, third-party integrations, and developer community resources is less extensive. Recurring/subscription billing and bulk payout APIs are not documented as current product features. USSD payments and split payment capabilities are also absent. For businesses that need deep payment infrastructure (marketplace payment splitting, cross-border payouts, card issuance), a larger platform may be more appropriate. However, for straightforward payment collection and invoicing in Nigeria, VelvPay's simplicity and pricing are competitive advantages.

**Frequently Asked Questions**
Q: What is the transaction fee on VelvPay?
A: 1% per local NGN transaction with no hidden charges. International transaction fees are flexible — contact VelvPay for current rates.

Q: Does VelvPay offer same-day settlement?
A: Yes. Payments collected are typically settled to the merchant's bank account the same business day.

Q: Do I need a CAC-registered business to use VelvPay?
A: A CAC registration is required for production merchant access. Test/sandbox credentials can be obtained for development testing before completing KYC.

Q: Does VelvPay support recurring billing?
A: Recurring/subscription billing is not a documented current feature — use Paystack or SPay if you need automated recurring charges.

Q: Is VelvPay available outside Nigeria?
A: VelvPay is designed for the Nigerian market. Non-Nigerian businesses should explore international gateway options.

Question 2

How much does VelvPay cost?

Accepted Answer

VelvPay is free to integrate, with fees charged per transaction (commission-based). Local transactions: 1% per transaction with no hidden charges. International transactions: flexible rate (contact VelvPay for exact fees). Same-day settlement available. No publicly listed monthly subscription fee.

Question 3

How do I authenticate with the VelvPay API?

Accepted Answer

API Key — issued after merchant onboarding; passed as Bearer token or in request headers

Question 4

Is there a rate limit on VelvPay?

Accepted Answer

Not publicly documented

Question 5

Does VelvPay offer a sandbox or test mode?

Accepted Answer

Yes — VelvPay provides a sandbox or test environment so you can integrate and test before going live.

Question 6

What is VelvPay best suited for?

Accepted Answer

Nigerian SMEs, freelancers, service-based businesses, and startups that want a simple, affordable payment gateway with local customer support, 1% transaction fees, built-in invoicing, and multi-channel payment acceptance (web, mobile, and in-person).

Question 7

Is there anything else I should know before integrating VelvPay?

Accepted Answer

VelvPay focuses on the Nigerian local market with transparent 1% local transaction fees — competitive for SMEs processing high transaction counts at lower values. Same-day settlement is available. The /developers page has been known to return 404 intermittently — check the main velvpay.com site for the latest developer docs link.

Question 8

Where can I find VelvPay's documentation?

Accepted Answer

The official API documentation is at https://documenter.getpostman.com/view/36526309/2sA3XY7J6K. The provider's website is https://velvpay.com.

Question 9

Does VelvPay support Nigerian developers?

Accepted Answer

Yes — VelvPay explicitly supports Nigerian developers/use cases.

VelvPay

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