Credit Card Gateway Table of Contents
If you are new to the world of eCommerce then you might not be familiar with what is a payment gateway. In simple terms a payment gateway is a third party that acts as a sort of broker for all the credit cards and debit cards that make up your online business. The various transactions that take place on your site will be sent through this payment gateway and will be processed according to the information that has been programmed into it at the time that it is received. Payment gateways do most of the work for you when it comes to processing credit cards and debit cards but there is the unavoidable task of remembering to charge these accounts and remitting payments to them.
Payment gateways are payment systems used in online e-commerce. These payment gateway ways act as linkages between the buyer and the seller of an online transaction. They act like a virtual door for your credit card, debit card or other type of payment. Once the buyer and the seller have established a relationship on the Internet, they will be able to enter into a payment agreement or a sale on the Internet.
The payment gateways act as a liaison between both parties.
In order to know how payment gateways work, one must first know what a payment gateway is. A payment gateway is an online application that receive payments from its customers and forwards them to its customers via the Internet. In most cases, a payment gateway receives payments from both the buyer and the seller. This service acts as a sort of intermediary between the buyers and sellers and ensures smooth and secured transactions between them.
Payment gateways play a very important role in the e-commerce sector. Without this type of service, online businesses would not be able to operate their business to the fullest. The importance of payment gateways cannot be underestimated, as they allow online businesses to flourish by offering a safe, secure, and convenient way to pay for the products or services sold.
Understanding the payment gateway fees that are charged by different credit card companies can give you a better idea of how you are going to pay for those expenses. This is a necessary step for anyone who has an account with any company that offers credit cards. There are times when it may seem like there are no fees at all, but in reality there will be. When you understand this, you can use that information to your advantage and to ensure that you don't end up paying more than you should or ending up with a low rate card or account.
Understanding the payment gateway fees that are charged by your card issuer is not difficult. But understanding what they are actually for is another matter entirely. The fee that is assessed is considered a processing fee and is assessed because it costs the credit card company money to have you processed and the same can be said for the business owner who pays for the processing fees.
Understanding the payment gateway fees that are charged by your company is a very important factor in helping you make sure that you do not end up paying too much or paying too little. You should take every step necessary to avoid being hit with these fees and if you end up having to pay the fee then you will want to know why you are being charged for it and what you can do to get it dropped off your credit card account or in some cases removed from your credit report.
The leading payment gateways are those who have the most secure transactions and best customer support. They are very reliable in facilitating and processing payments for e-businesses. This allows the sellers to do business with their clients without hassles.
When selecting a payment gateway provider, there are a lot of things you need to consider. The most important thing is that you need one that can handle volumes of transaction. Another factor is that you need one that offers fast processing of credit cards, debit cards, and e-checks.
The leading providers are the ones that are listed on the 'Visa Secure Choice' list. This shows that they have proven their security and their abilities in processing various kinds of payment. This is why you need to check the security measures as well as the services offered by the service provider. There are several payment gateways available, and they have different services so it is best to get the best among them.
The most common use for a payment gateway is for online transactions, most eCommerce businesses use a payment gateway to allow customers to pay for products and services directly from their bank account. A payment gateway is responsible for processing all the credit cards and debit cards that the customer provides to your site and it forwards the details to the seller for the purpose of completing the transaction.
Another use for the payment gateway is for an online auction site, when a buyer bids on an item it is sent to the payment gateway who holds the money for the auction. Once the payment is made the funds are transferred to the winning bidder and the auction site closes. In the past it was necessary for businesses to have separate lines of credit to run their eCommerce businesses, however, modern technology has made it possible for small businesses to operate using just one line of credit.
Scroll down to read our indepth Payment Platforms guide. What you should know, Payment Platforms features, price plans and support. Pros and Cons of Payment Platforms as a payment gateway, everything is explained below.
Spreedly is a software company that specialises in payment-gateway software for small to enterprise level businesses.
Spreedly is listed as the best payment-gateway software related to Payment Platforms. Spreedly was founded in 2008 in Durham, NC and currently has over 79 employees registered on Linkedin.