Payment Gateway — An Ecommerce Essential
In modern times buying and selling products online is the most happening thing and it is fast and secured than ever before. In an e-commerce business, getting a merchant account and a payment gateway is of top priority. It is all that necessary because merchant can accept payments online via credit cards, debit cards and online bank transfers from accounts and securely process it through its automated system and deliver to the merchant.
In short a payment gateway is an online replica of a point of sale system that is found in stores like a credit card machine. It works as a gateway between the customer’s bank and the merchant’s bank for transmitting payments.
Few of the benefits of online payment gateway have been summarized below for easy understanding:-
· It is secure and quick and accepts payments via all major credit cards, bank debit cards and via net banking.
· Protects customer and merchant data with PCI compliant security.
· Provides additional features like detailed summary, voided transactions and returns.
An easy, quick and reliable mean of accepting payments online
With the advent of integrated payment gateway, it has become easy and flawless to make and accept payments online. The next big question that comes is how to choose the perfect payment gateway for your ecommerce business. Since all platforms offers a variety of services that may be different from each other, a close study of these gateways will enable a business to come close to what exactly it wants out of it.
Listed below are a few of the many aspects that might be considered is searching the ideal payment gateway:-
· A provider with established reputation: it is always advisable to source one that have already providing their services in the market for quite some time and have a respectable reputation of higher levels of services to its clients.
· The amount of transaction fees being charged by the service provider: before zeroing on to a gateway service provider one should consider and compare various cost factors like set-up fees, transaction fees, service costs, annual charges or any other hidden costs that is needed to be paid to avail the services and facilities.
· Worldwide acceptance: the major reason of ecommerce success is that everything is online and a seller can sell products anywhere and similarly a buyer can buy sitting anywhere across the globe. Therefore, it is important to have a payment gateway where a buyer can pay with a wider choice of currency. If certain currencies cannot be accepted, then the gateway should have a currency converter to enable a buyer to convert and pay.
It should also be understood that a payment gateway itself does not allows merchants to accept credit card payments. It also requires merchant account, which is a totally different service and it is mandatory and required before accepting payments online. Basically, it can be summed as that merchant account is a permit or license that allows to take payments and payment gateway is the medium through which payments could be received.