What is payment gateway?
Let’s say you are shopping on an online store. You add the product to your cart and navigate to checkout. To do so, you will need a payment gateway through which you can pay for it. Payment gateway is a merchant service provided by an e-commerce application service provider that authorizes credit card or direct payments processing for e-businesses, online retailers, bricks and clicks, or traditional brick and mortar. It is the service that sends all of your credit card transactions to your credit card processors. This service can be provided by bank to its customers, but can be provided by specialized financial service provider as a separate service, such as a payment service provider. It also sends you a message from your credit card processor that lets you know a transaction has been authorized. There are some payment gateways that will automatically add tax and screen for fraud.
Payment gateways are software and servers that transmit transaction information to acquiring banks and responses from issuing banks like whether a transaction is approved or declined. Basically payment gateways facilitate communication with banks.
Features of payment gateways
Payment gateways accept online payments; in addition to this it has more features that helps us:
·A payment gateway stores all the payment information so the customer does not have to constantly re-renter their information. The information is securely stored as it is encrypted.
·Before transmitting the payment information to the processing bank, all the information are encrypted.
·Accept payments seamlessly on different channels either online, on mobile devices, mail-to-order or via call center.
·Allows customer to easily complete transaction in their native language they are most familiar with.
BEST PAYMENT GATEWAYS FOR YOUR SITE
It is oldest and most commonly used payment gateway for ecommerce stores which was founded in 1998, it is an American company operating an online payment service that supports online transfers and services with alternated payment orders and methods. It is accepted in more than 203 countries. It supports all prominent credit cards: Visa, MasterCard, American Express, Citibank, and more. To start drop shipping, you will need a PayPal account. This is not supported in all countries. PayPal operates payment for all online vendors, auctions sites and other commercial sites too, they charge some small amount of fee in exchange of benefits. The top clients of PayPal are eBay, bookeo and Audience View Ticking Corp.
Stripe is a US- based payment gateway. It is available in 25 countries, supports all major credit cards. But, it is mostly used in Canada, Australia, and United Kingdom. Stripe is a third-party payment processor, which helps you to build a simple process over transactions over your online business. It was launched in 2011 that came up with the idea of providing services over fraud prevention, banking infrastructure, and online payment systems. The company works with financial institutions, regulators, payment networks, etc. Stripe charges a fixed fee and percentage of transaction each time you accept a credit or debit card payment. Accept international card for additional 1%. Stripe supports ACH and other popular global payment methods. Top clients of Stripe include Deliveroo, Lyft and Twitch.
Checkout has been marked by serving over more than 40k merchants with building over more 200 unique fraud prevention rules and has reached level 1 PCI compliance. This payment gateway is available in more than 87 countries. It is available in many third world countries, where it is used in combination with another payment gateway. It supports all major credit cards like Visa, MasterCard, Diners Club, American Express and others. Checkout offers you integration with more than 100 online shopping cart and invoicing systems that include all major platforms. Top clients of Checkout are Fashion box Africa and Find service.
Authorize.Net has been in market since 1996 and it is headquartered in American Fork, Utah. It is most popular payment gateway; it has provided gateway services to more than over 300000 merchants since the beginning. This payment gateway offers a unique tool known as advanced fraud detection suite. This tool allows you to customize a filter that detects fraud to your type of business. Authorize.net can even block transaction from a certain website, verify the addresses for delivery and has the ability to limit the total amount of transaction per hour. It supports Visa, Mastercard, and American express. Top clients of Authorize.net are Easy-breath, Avasflowers and Allstarflags.
Paytm is also called digital wallet that was founded in 2010 with services that allow an individual to make online/offline transactions.
It holds some of your money online as a wallet, so that you can make the payments using the money later on. It is India’s largest leading payment gateway that offers comprehensive payment services for all customers and merchants. Paytm does not charges any setup fees or maintenance fees. Top clients of paytm are Fasoos, OYO, Dominos and BigBasket. Industry associates include Visa, MasterCard, American Express, UnionPay, Bhim UPI and Rupay.
This was launched in 2007.they have created an idea of wallet and payment gateway which are mostly used for small and large companies. It offers secure payment services to their clients. Amazon’s A to Z guarantee makes transaction 100% secure and they also do not charge any additional fees. Amazon payment operates in many different languages and even supports many currencies all across the globe. Its top clients are All Sainta, Cymax and Gogo.
Hence payment gateway is very important these days to make transaction easy, fast and secure. There is no other way to accept credit cards through Internet without a payment gateway