Yoco is a game-changer for card payments in South Africa, offering fast, secure, and affordable payment solutions for businesses of all sizes. Accept card payments easily—no contracts, no hassle! Here, we discuss How does Yoco work in South Africa? and Which bank does Yoco use in South Africa?. Also, we answer the question Does Yoco accept international payments in South Africa? and How much does Yoco charge per transaction in South Africa?.

Introduction

The financial sector in South Africa is growing rapidly, with businesses and consumers moving towards digital transactions. As more people embrace cashless payments, companies need reliable and cost-effective card payment solutions to keep up with the trend. One company leading this change is Yoco.

Yoco has emerged as a game-changer for card payments in South Africa, making it easier for businesses—both big and small—to accept card payments seamlessly. Whether you’re a small street vendor, a café owner, or an entrepreneur running an eCommerce store, Yoco offers a hassle-free way to accept debit and credit card payments without the complexities of traditional banking systems.

But how exactly does Yoco work? Which banks does it use? Can it handle international payments? And how does it compare to other payment solutions like Payfast? In this guide, we’ll explore everything you need to know about Yoco, helping you understand why it’s the best choice for businesses across South Africa.

How Does Yoco Work in South Africa?

Yoco operates as a mobile point-of-sale (mPOS) system, meaning businesses can accept card payments using a portable card reader that connects to a smartphone or tablet via Bluetooth. This system allows merchants to process transactions anywhere, whether in a brick-and-mortar store, a weekend market, or even at a pop-up event.

Here’s a step-by-step look at how Yoco works:

Sign Up – Merchants can easily sign up on Yoco’s official website and order a Yoco card reader.
Connect to a Device – The card reader pairs with a smartphone or tablet using Bluetooth, making it easy to set up.
Accept Payments – Customers can tap, insert, or swipe their debit or credit cards to make payments.
Receive Funds – The payment is securely processed, and funds are deposited into the merchant’s bank account within 1-2 business days.

Why Yoco is a Game-Changer for Card Payments in South Africa

Unlike traditional payment terminals, which require contracts, rental fees, and complex setups, Yoco is designed to be:

Quick and Easy to Use – No lengthy application processes or banking approvals.
Affordable – No monthly fees, just a simple per-transaction charge.
Flexible – Works with most South African banks and doesn’t require a dedicated merchant account.
Portable – Ideal for mobile businesses and vendors who operate in different locations.

Another major advantage of Yoco is its real-time transaction tracking. Merchants can use the Yoco mobile app to monitor sales performance, track revenue, and analyze customer spending behavior. This makes financial management easier and more efficient.

For small business owners who struggle with traditional banking solutions, Yoco is a game-changer for card payments in South Africa, offering simplicity, convenience, and reliability.

Which Bank Does Yoco Use in South Africa?

Yoco is not a bank, but it partners with major financial institutions in South Africa to process transactions securely. Unlike some merchant services that require businesses to open a specific bank account, Yoco allows merchants to receive payments into their existing accounts.

The company primarily works with:

Standard Bank – One of Yoco’s key acquiring partners.
ABSA, Nedbank, and FNB – These banks also support Yoco transactions.

Since Yoco is bank-agnostic, it doesn’t force businesses to switch banks. Whether you use Capitec, Investec, or any other bank, Yoco deposits funds into your preferred account, making it a hassle-free solution.

How Does Yoco Process Payments?

When a customer makes a card payment, Yoco encrypts the transaction and sends it to a secure payment processor.
The payment processor verifies the transaction with the cardholder’s bank.
Once approved, funds are deducted from the customer’s account and transferred to the merchant’s bank.
The merchant receives the payment within 1-2 business days.

Unlike traditional merchant services that can take up to five days to settle payments, Yoco offers a faster turnaround time, making it a game-changer for card payments in South Africa.

Why Yoco’s Banking Flexibility Matters

For small business owners, the ability to use any bank account is a huge benefit. Many traditional payment providers lock businesses into long-term contracts with specific banks, limiting their options. Yoco, however, offers:

No monthly fees or rental costs
The ability to use an existing bank account
Fast and secure transactions

This flexibility is especially useful for startups, freelancers, and mobile vendors who need a reliable yet cost-effective payment solution.

Does Yoco Accept International Payments in South Africa?

One of Yoco’s biggest advantages is its ability to accept international card payments. This is crucial in tourist-heavy areas like Cape Town, Johannesburg, and Durban, where many customers use foreign-issued cards.

Which International Cards Does Yoco Accept?

Yoco supports most major international debit and credit cards, including:

Visa (International and Local)
Mastercard (International and Local)
Maestro
Contactless payments like Apple Pay and Samsung Pay

However, it’s important to note that Yoco does not currently support:

American Express (Amex)
Diners Club Cards

Are There Additional Fees for International Transactions?

Yoco itself does not charge extra fees for international payments. However, the customer’s bank may apply foreign exchange (forex) fees when converting their local currency to South African Rand (ZAR). These charges vary depending on the bank and card issuer. Keep reading this post to see the Game-Changer for Card Payments in South Africa.

Why Accepting International Payments is a Game-Changer

For businesses operating in tourist hubs, airports, or international eCommerce, accepting foreign cards is essential. Yoco’s ability to process international transactions seamlessly makes it a game-changer for card payments in South Africa, enabling:

Better revenue opportunities from international customers
Convenience for tourists who prefer card payments over cash
A more professional and credible payment solution for businesses

By supporting global transactions, Yoco helps small and medium businesses grow their customer base beyond just local buyers.

How Much Does Yoco Charge Per Transaction in South Africa?

Yoco operates on a pay-as-you-go model, meaning there are no monthly fees or fixed costs. Instead, businesses are charged a small percentage per transaction.

Current Yoco Transaction Fees

2.95% per transaction for new merchants
2.6% for businesses with a higher transaction volume
2.5% for businesses processing over R200,000 per month

This tiered pricing structure makes Yoco more affordable than traditional merchant services, which often have hidden fees and high rental costs.

Why Yoco’s Fees Are a Game-Changer

No Monthly Rental Fees – Unlike traditional card machines that charge a monthly rental fee, Yoco only charges a per-transaction fee.
No Hidden Costs – Yoco’s pricing is transparent, making it easier for businesses to manage expenses.
Lower Fees for Growing Businesses – The more transactions a business processes, the lower the fees.

This cost-effective model makes Yoco a game-changer for card payments in South Africa, especially for small businesses and startups looking to maximize profits while keeping costs low.

What Cards Does Yoco Accept?

One of the biggest reasons Yoco is a game-changer for card payments in South Africa is its wide range of supported cards. Whether your customers use debit, credit, or contactless payment methods, Yoco ensures a smooth and secure transaction experience.

Supported Cards

Yoco accepts both locally and internationally issued cards, including:

Visa Debit & Credit Cards – The most commonly used card worldwide.
Mastercard Debit & Credit Cards – Widely accepted across South Africa.
Maestro Cards – Used by many local and European customers.
Contactless Payments – Customers can use Apple Pay, Samsung Pay, and Google Pay for quick transactions.

Unsupported Cards

American Express (Amex) – Not currently supported by Yoco.
Diners Club Cards – These cards are not processed by Yoco. Keep reading this post to see the Game-Changer for Card Payments in South Africa.

Why Yoco’s Card Acceptance is a Game-Changer

Many small businesses in South Africa lose potential customers by not offering card payment options. With Yoco’s extensive card compatibility, businesses can:

Increase revenue by accommodating more customers
Offer fast and secure transactions with modern payment methods
Ensure flexibility by accepting contactless payments

For businesses that cater to tourists and international clients, having a card machine that accepts international Visa and Mastercard transactions is essential. Yoco provides exactly that, making it a powerful payment solution.

Does Yoco Need a SIM Card?

No, Yoco does not require a SIM card. Instead, it connects to the internet using Wi-Fi or mobile data from a smartphone. This feature is one of the reasons why Yoco is a game-changer for card payments in South Africa.

How Yoco Works Without a SIM Card

Yoco’s card readers pair with a smartphone or tablet via Bluetooth.
The connected device uses Wi-Fi or mobile data to process transactions.
Once a customer pays, the transaction is instantly encrypted and processed online.

Why This is Beneficial

No Extra Data Costs – Unlike traditional card machines that require a dedicated SIM card, Yoco uses your existing mobile data.
Better Mobility – Since Yoco doesn’t depend on a SIM, you can take it anywhere with an internet connection.
Cost Savings – Businesses avoid paying monthly SIM card fees, making Yoco a cheaper alternative to traditional card machines.

For businesses that frequently move between locations, such as vendors at markets, event organizers, or food truck owners, Yoco offers an affordable and hassle-free solution.

How Long Does It Take for a Yoco Payment to Reflect?

Yoco transactions typically reflect in the merchant’s bank account within 1-2 business days.

Transaction Processing Times

Payments made Monday – Thursday → Funds arrive within one business day.
Payments made Friday – Sunday → Funds arrive by Tuesday (weekend delays apply).
Public holidays → Transactions are processed the next working day. Keep reading this post to see the Game-Changer for Card Payments in South Africa.

Why Yoco’s Fast Payouts Are a Game-Changer

Compared to traditional banks, which can take up to 5 days to clear payments, Yoco offers a faster and more efficient solution. Businesses can:

Access funds quickly to manage cash flow effectively
Reinvest earnings faster without waiting for long bank delays
Improve customer trust by offering reliable card payment options

For small businesses that rely on daily cash flow, Yoco’s fast payment processing makes it an ideal solution.

Which Payment Gateway is Best in South Africa?

South Africa has multiple payment gateways that enable businesses to accept online and in-person payments. Some of the most popular options include:

1. Yoco – Best for Small Businesses & Mobile Payments

Ideal for physical card transactions
No monthly fees, only pay-as-you-go transaction fees
Works with any South African bank

2. Payfast – Best for Online Payments

Supports EFT payments, credit cards, and mobile wallets
Ideal for eCommerce stores and online businesses
Integrates with Shopify, WooCommerce, and Magento

3. Ozow – Best for Instant EFT Payments

Allows customers to pay directly from their bank account
No need for a card or mobile wallet
Transactions are processed instantly

4. PayGate – Best for Large Businesses

Supports recurring payments and subscription billing
Works well with corporate businesses and high-volume transactions
Provides advanced fraud protection features

Which One is Best?

For in-person card payments, Yoco is the best option due to its affordability, ease of use, and flexibility. However, for online businesses, Payfast or Ozow might be a better choice.

Which Cards Can Be Used for International Payments?

If you’re a business looking to accept international payments, the best cards to use with Yoco include:

Visa Debit & Credit Cards (Most commonly used worldwide)
Mastercard Debit & Credit Cards (Accepted in over 200 countries)
Maestro (Popular among European customers)

Since Yoco supports foreign-issued Visa and Mastercard transactions, businesses that cater to international clients will benefit from this feature. Keep reading this post to see the Game-Changer for Card Payments in South Africa.

What is the Main Gateway of South Africa?

In South Africa’s financial ecosystem, BankservAfrica is the largest payment gateway that facilitates interbank transactions. It ensures that electronic payments between banks are processed securely and efficiently.

However, for businesses looking for a card payment gateway, Yoco remains a top choice due to its:

Fast and secure payment processing
Integration with multiple banks
User-friendly mobile app for easy transaction tracking

What is the Difference Between Yoco and Payfast?

Many business owners compare Yoco and Payfast, but the two serve different purposes.

Key Differences

Feature	Yoco	Payfast
Best For	In-person card payments	Online transactions
Monthly Fees	No monthly fees	No monthly fees
Supported Payments	Visa, Mastercard, Contactless	Visa, Mastercard, Instant EFT, SnapScan, Bitcoin
Requires a Card Reader?	Yes	No (purely online)
Ideal for	Small businesses, street vendors, food trucks	eCommerce stores, online businesses

Which One Should You Choose?

If you run a physical store or mobile business, Yoco is the best option.
If you sell products online, Payfast is a better choice.
Many businesses use both to cover both in-person and online payments. Keep reading this post to see the Game-Changer for Card Payments in South Africa.

Conclusion

Yoco has transformed the way South African businesses accept card payments, making it a true game-changer for card payments in South Africa. With its low transaction fees, quick setup, and wide card compatibility, Yoco provides a simple, affordable, and effective payment solution.

For small business owners, entrepreneurs, and market vendors, Yoco offers a fast and secure way to start accepting card payments without the hassle of traditional banking systems.

If you’re looking for an efficient and budget-friendly way to accept debit and credit card payments, Yoco is one of the best choices in South Africa.

Yoco: The Ultimate Game-Changer for Card Payments in South Africa