WooCommerce COD & UPI QR Code Payment Setup: Accept Orders in India Without a Paid Payment Gateway
Every Indian WooCommerce store owner eventually faces the same two problems: their customers trust Cash on Delivery more than cards, and UPI payment gateways charge transaction fees that eat into already thin margins. What if you could solve both problems — for free — in under 20 minutes?
This tutorial covers exactly that. You will learn how to enable the native WooCommerce Cash on Delivery (COD) option without installing any paid gateway, and pair it with the UPI QR Code Payment for WooCommerce plugin to give your Indian customers the most preferred payment experience in the country — direct UPI payment via GooglePay, PhonePe, Paytm, BHIM, or any banking UPI app, with zero transaction charges to you.
| Test / Feature Metric | Result | Score | vs. Paid Gateway | Verdict |
|---|---|---|---|---|
| Transaction Fees | ₹0 — Zero charges per order | Perfect | Razorpay: 2% per txn | Maximum margin retained |
| Setup Time | Under 15 minutes (COD + UPI) | Excellent | Paid gateways: 3–7 days KYC | Launch-ready on day one |
| Plugin Installation | Free from WordPress.org, zero config | Instant | Paid plugins: ₹3,000–₹8,000/yr | Best for bootstrapped stores |
| UPI Apps Supported | All — BHIM, GPay, PhonePe, Paytm, WhatsApp Pay, any banking app | Full coverage | No customer is left out | |
| Dynamic QR Generation | Auto-generates QR with exact order amount | Smart | Static QRs require manual amount entry | Reduces payment errors |
| Mobile UPI Deep-Link | “Pay Now” button opens UPI apps directly on mobile | Most free plugins lack this | Higher mobile conversions | |
| COD Setup Complexity | Native to WooCommerce — no additional plugin required | None | No gateway needed | Works on any WooCommerce install |
| Payment Verification | Manual (UTR/TxID) + Autopilot add-on available | Semi-Auto | Paid gateways: fully auto | Manual step required for free version |
| Site Speed Impact | Negligible — no external API calls at checkout | Minimal | External gateways add 200–400ms | Protects Core Web Vitals |
| Merchant KYC Required | None | Zero | Mandatory for all paid gateways | Ideal for new/unregistered businesses |
| Plugin Rating (WordPress.org) | 4.8/5 Stars | Community-verified quality | Highly trusted by Indian merchants | |
| GDPR / Privacy | No data sent to third-party servers | Private | Payment gateways store card/UPI data | Full merchant data ownership |
Why Indian WooCommerce Stores NEED This Setup
India’s digital payment ecosystem is unique in the world. UPI alone processes billions of transactions monthly, and Cash on Delivery remains the dominant preference for first-time buyers who haven’t yet built trust with a new store. Yet the standard approach — integrating Razorpay, Paytm for Business, or CCAvenue — comes with onboarding friction (KYC, business PAN verification, days of approval), plus per-transaction fees ranging from 1.5% to 2.5%.
For a newly launched store or a low-margin business, this is not a viable setup. The native WooCommerce COD option + the UPI QR Code plugin fills this gap completely.
Part 1: Enable Cash on Delivery in WooCommerce (No Plugin Needed)
WooCommerce has Cash on Delivery built in, but it is disabled by default. Here is how to activate and configure it:
Step 1: From your WordPress dashboard, navigate to WooCommerce → Settings → Payments.
Step 2: Locate Cash on Delivery in the payment methods list and click Enable.
Step 3: Click Manage to enter the configuration panel. Here you can:
- Set a custom title (e.g., “Pay on Delivery”)
- Add a description visible to customers at checkout
- Write order instructions (e.g., “Our delivery agent will collect payment at your door.”)
- Restrict COD to specific shipping methods only (critical for stores that also offer pick-up)
Step 4: Click Save changes. Cash on Delivery is now live. Any customer who selects it will see your custom instructions, and the order will be placed with an “On Hold” status pending manual payment confirmation.
- ✓Absolutely Free Forever — Zero transaction fees, zero plugin costs. The UPI QR Code plugin is free on WordPress.org with no premium upsell required for basic use.
- ✓No KYC / Merchant Registration — Works with any personal or business UPI ID. No bank approval, no onboarding wait, no legal documentation required to start accepting payments today.
- ✓Dynamic QR Codes — Each order automatically generates a unique QR code pre-filled with the exact payable amount, eliminating wrong payment amounts from customers.
- ✓Universal UPI App Compatibility — Works with every UPI-enabled app in India: GooglePay, PhonePe, Paytm, BHIM, WhatsApp Pay, and all banking apps.
- ✓Mobile Deep-Link Button — On mobile, a “Pay Now” button directly launches installed UPI apps, reducing payment drop-off at the most critical checkout step.
- ✓COD is Natively Built Into WooCommerce — Enabling Cash on Delivery requires no additional plugin — it is already in your WooCommerce installation and takes under 2 minutes to activate.
- ✓24×7 UPI Availability — UPI operates around the clock including public holidays, unlike NEFT/RTGS which have processing windows. Payments arrive instantly.
- ✓Direct Bank-to-Bank Transfer — No intermediary wallet, no settlement delays, no third-party holding your money. Payments reflect directly in your bank account.
- ✗Manual Payment Verification — The free version requires you to manually verify the customer’s UPI Transaction ID (UTR) against your bank statement before fulfilling each order.
- ✗No Automatic Order Status Update — Unlike paid gateways, the order status does not automatically change to “Processing” on payment success. Manual admin action is needed unless the Autopilot add-on is installed.
- ✗COD Has Higher Return/Cancellation Risk — Cash on Delivery orders statistically have 15–25% higher RTO (Return to Origin) rates vs. prepaid orders, increasing operational costs for physical product stores.
- ✗India-Only Payment Method — UPI is exclusive to the Indian banking system. International customers or NRI shoppers with foreign bank accounts cannot use this payment method.
- ✗Not Suitable for High-Volume Stores — Manual verification becomes a bottleneck at scale. Stores processing 50+ orders per day will need the Autopilot add-on or a full payment gateway integration.
💡 Pro Tip: Use the filter woocommerce_cod_process_payment_order_status in a WPCode snippet to automatically change the COD order status to “Processing” instead of “On Hold” — this reduces backend management time significantly.
Part 2: Install the UPI QR Code Payment Plugin
The UPI QR Code Payment for WooCommerce plugin (free, available at WordPress.org) adds a fully functional UPI payment gateway without requiring any merchant registration, API keys, or bank approval. Here is how it works:
Step 1: Go to Plugins → Add New, search for “UPI QR Code Payment for WooCommerce”, install, and activate.
Step 2: Navigate to WooCommerce → Settings → Payments → UPI QR Code and click Manage.
Step 3: Enter your UPI ID (e.g., yourvpaid@okaxis or yourname@upi). This is the single VPA (Virtual Payment Address) to which all payments will be directed.
Step 4: Set the gateway title, description, and the instructions customers see after placing their order.
Step 5: Save changes. Your checkout will now show a UPI payment option. When the customer selects it and confirms the order, they are shown a dynamic QR code containing the exact order amount and your UPI ID. On mobile, a “Pay Now” button also appears, which opens the customer’s installed UPI apps directly.
How do I enable Cash on Delivery in WooCommerce without a plugin?
WooCommerce includes a built-in Cash on Delivery gateway. Go to WooCommerce → Settings → Payments, locate Cash on Delivery, and click Enable. Then click Manage to customize the title, description, and customer instructions. No additional plugin is required.
What is the UPI QR Code Payment plugin for WooCommerce?
It is a free WordPress plugin available on WordPress.org that adds a UPI payment option to your WooCommerce checkout. When a customer selects it, a dynamic QR code containing your UPI ID and the exact order amount is displayed. Customers scan it using any UPI app — GooglePay, PhonePe, Paytm, BHIM — to pay directly to your bank account with zero transaction fees.
Does the UPI QR Code plugin charge any transaction fees?
No. The plugin itself is 100% free and charges zero transaction fees. UPI as a payment standard is free for consumers and merchants under current NPCI guidelines. Every rupee your customer pays goes directly into your linked bank account with no deductions, unlike Razorpay (2%), PayU (1.99%), or Paytm for Business (1.5–2%) which all charge per-transaction fees.
Do I need a registered business or GST number to use the UPI QR Code plugin?
No. Any individual with a UPI-enabled bank account in India can use this plugin. You simply enter your personal or business UPI VPA (Virtual Payment Address) — like yourname@okaxis or yourbusiness@ybl — in the plugin settings. No KYC, no GST registration, and no bank approval are required to start accepting payments.
Which UPI apps are compatible with the WooCommerce UPI QR Code plugin?
The plugin works with all UPI-enabled applications in India, including: Google Pay (GPay), PhonePe, Paytm, BHIM, WhatsApp Pay, Amazon Pay, and every banking UPI app (SBI Pay, iMobile by ICICI, HDFC MobileBanking, Kotak Pay, etc.). Any app that can scan a QR code or receive a UPI deep-link will work.
How does the plugin verify that the customer has actually paid?
In the free version, verification is manual. After paying, the customer enters their UPI Transaction ID (UTR number) on the order confirmation page. You then cross-check this UTR in your bank account’s transaction history and manually update the WooCommerce order status to “Processing.” For automated verification, the separate Autopilot for UPI QR Code add-on is available.
Can I use both COD and UPI together in the same WooCommerce store?
Yes, absolutely. WooCommerce allows multiple payment methods to be enabled simultaneously. You can activate the built-in Cash on Delivery gateway AND the UPI QR Code plugin at the same time. Customers will see both options at checkout and choose their preferred method. This combination covers both digitally-inclined buyers and those who prefer to pay in person.
Is Cash on Delivery suitable for digital products on WooCommerce?
No. Cash on Delivery is only practical for physical goods that require delivery. For digital products (plugins, themes, courses, PDFs), UPI QR Code is the ideal zero-fee alternative — the customer pays instantly, and you can grant download access upon manual verification or automatically using the Autopilot add-on. Using COD for digital products creates fulfillment complexity and refund risks.
What is the order status after a customer places a COD order in WooCommerce?
By default, WooCommerce sets COD orders to “On Hold” status. This means payment has not been collected yet. You can manually change it to “Processing” once the order is dispatched, and to “Completed” once payment is collected at delivery. Developers can also use the woocommerce_cod_process_payment_order_status filter via WPCode to change the default status automatically.
What should I do if my WooCommerce store grows beyond 50 COD/UPI orders per day?
At higher volumes, manual UPI verification becomes a bottleneck. At that stage, consider: (1) Installing the Autopilot for UPI QR Code plugin for semi-automated payment matching, (2) Integrating a paid gateway like Razorpay or PhonePe for Business for fully automated payment confirmation, or (3) Adding a COD service fee to discourage COD orders and incentivize prepaid UPI payments with a small discount.
How Payment Confirmation Works:
Since this is a direct bank-to-bank UPI transfer, the plugin uses a manual or semi-automatic verification model. The customer copies and pastes their UPI Transaction ID into a field on the thank-you page after paying. You then verify this in your bank app and manually update the order status to “Processing.” The Autopilot add-on (available separately) can automate this verification step for high-volume stores.
Who Should Use This Setup?
✅ New WooCommerce stores that haven’t yet completed payment gateway KYC
✅ Local delivery businesses (grocery, pharmacy, food) that primarily collect payment in person
✅ Artisan and handmade product sellers where every rupee of margin matters
✅ Digital product vendors who want a zero-fee UPI option alongside regular gateways
✅ Any Indian store owner wanting to offer a familiar, trusted checkout experience
WooCommerce Payments Quiz
5 questions · Test your COD & UPI knowledge
Outstanding!
You’re ready to set up the perfect WooCommerce payment stack for India!
This is the most practical, zero-cost payment infrastructure a new Indian WooCommerce store can have. Cash on Delivery builds customer trust from day one. The UPI QR Code plugin captures digital payers without a single rupee in gateway fees. Together, they eliminate the two biggest checkout friction points for Indian buyers.
👉 Get the Free UPI QR Code Plugin: https://wordpress.org/plugins/upi-qr-code-payment-for-woocommerce/
▶️ Watch the Full Video Tutorial: https://youtu.be/v-gW-icahxM
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