Validating customers card details and the available fund from users’ account is the main task of payment gateways. Both merchant account and payment gateway are considered as PSPs (Payment Service Provider). This provider helps businesses to manage and collect user’s online payment. Authorized payments will be moved to PSP and then forwarded to your business accounts.
So, if you are planning to sell your products online, there should be a setup for online payment. Learn how you can use this payment gateway. It is basically linked to your website with the combination of shopping cart software. The shopping cart will have all the necessary details, which are required to give the card details. It is more like an online form. All the available products are showcased online on the website pages from which customers can choose whatever products they are looking for of any size and quality. At the checkout page, this software will compute all the prices along with the add-on extra charges like tax, shipping, and handling.
Examine the workflow. Once the customer clicks on “SEND” option, the data will be encrypted and sent to the respective card processing company for validation. It can be accepted or denied by the company and this information is passed to the user by the gateway. Though this whole process is involved with high risk, payment gateway providers will take all the necessary secure steps. All the transactions will be gathered by your payment gateway at the end of the day, and forwarded to bank depending upon the batch. Customers’ amount is collected by the bank and it is sent back to your business account. Setup of a proper payment gateway for technical support is mandatory to avoid any risk and fraudulent activities on user’s data and account details.
Each payment gateway has its own unique reporting tool. So, the business owners can view and track all the online transactions; it can even be saved on the PC. This is the way owners are updated with the stock information on website. All the fraudulent activities can be scanned by these gateway providers. So, any customer using fake details can easily be blocked by them.
You can subscribe or purchase any of the payment gateway provider’s software and install it within your online portal. For each transaction, your business will be charged with tax and payout will be made to your account within 2-3 working days.
There are many options for you to choose from a vast range of payment gateway providers.
Bio Priyanka Kashyap is a payment expert at a leading online merchant firm. She is also a part-time blogger, who writes about her experience working the industry and other related topics.