Create Basic Custom Payment Method in Magento

This is the basic payment method tutorial and does not cover if there is a payment integration.

First we need to decide on a unique code for the payment method, in the following example, I used the code new_pay and the name of my module is Brymayor_Payment.

By default in our example, this would create a new configuration under System > Sales > Payment Methods > BryMayor Payment Module.
In your system.xml inside your custom module’s etc folder:

system.xml

<?xml version="1.0" encoding="UTF-8"?>
<config>
   <sections>
        <payment>
            <groups>
                <new_pay translate="label" module="brymayor_payment">
                    <label>BryMayor Payment Module</label>
                    <sort_order>1000</sort_order>
                    <show_in_default>1</show_in_default>
                    <show_in_website>1</show_in_website>
                    <show_in_store>0</show_in_store>
                    <fields>
                        <active translate="label">
                            <label>Enabled</label>
                            <frontend_type>select</frontend_type>
                            <source_model>adminhtml/system_config_source_yesno</source_model>
                            <sort_order>1</sort_order>
                            <show_in_default>1</show_in_default>
                            <show_in_website>1</show_in_website>
                            <show_in_store>0</show_in_store>
                        </active>
                        <order_status translate="label">
                            <label>New Order Status</label>
                            <frontend_type>select</frontend_type>
                            <source_model>adminhtml/system_config_source_order_status_processing</source_model>
                            <sort_order>2</sort_order>
                            <show_in_default>1</show_in_default>
                            <show_in_website>1</show_in_website>
                            <show_in_store>0</show_in_store>
                        </order_status>
                        <title translate="label">
                            <label>Payment Title</label>
                            <frontend_type>text</frontend_type>
                            <sort_order>3</sort_order>
                            <show_in_default>1</show_in_default>
                            <show_in_website>1</show_in_website>
                            <show_in_store>0</show_in_store>
                        </title>
                    </fields>
                </new_pay>
            </groups>
        </payment>
    </sections>
</config>

We should now see this on the admin:

Now in our module’s config.xml file we need to put in default values for the fields created in system.xml. This is optional since you can set it by yourself:

config.xml

<default>
    <payment>
        <new_pay>
            <active>1</active>
            <model>brymayor_payment/payment</model>
            <order_status>processing</order_status>
            <title>BryMayor Payment Method</title>
        </new_pay>
     </payment>
</default>

Create the model class for our payment method at Brymayor_Pay_Model_Pay, as stated in the config.xml <model> tag.

class Brymayor_Payment_Model_Payment extends Mage_Payment_Model_Method_Abstract
{
    protected $_code = 'new_pay';
}

And also don’t forget to add the model declaration in config.xml (note that the xml below is a fragment):

<?xml version="1.0"?>
<config>
    <global>
        <models>
            <brymayor_payment>
                <class>Brymayor_Payment_Model</class>
            </brymayor_payment>
        </models>
    </global>
</config>

We should now see this new payment method at the frontend:

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