One key business solution merchant webmasters always look for is a dependable payment processor to accept payments for online transactions. To the uninformed, however, payment processing is a complicated subject. There are many complex issues to start with, specifically pertaining to the basics of payment processing, payment gateway configuration, and some aspects of third-party payment processors. Before we get down to the best payment processors, here are a few essentials about payment processing itself.
About Payment Gateways
A payment gateway is a third-party company, like a bank, which connects your e-commerce software to your merchant account. This real-time facility lets you accept credit cards, debit cards, and other kinds of online payment. Though not essential, a payment gateway has several benefits, like:
• You will find a feature that will provide your clients real-time feedback on the payment status, most importantly in the event the payment card is not accepted for any excuse.
• You ride on speed and efficiency. Should your business conducts large transactions, then you certainly benefit by speed, efficiency, and significantly lower processing fees.
• You start out straightaway. No waiting time must start your small business. A payment gateway starts accepting debit or credit cards immediately. To summarize, payment gateways accepts information, encrypts it, and transmits it over the web.
Establishing Gateway Configuration
Establishing your payment gateway essentially includes two steps.
• The initial step involves your credit card merchant account as well as your gateway provider. You should provide access to the gateway provider through making available all needed information.
• Inside the second step, the payment gateway will configure using the payment processor. Everything that a payment processor ask you is to log in, go to configuration and payment methods, and then choose the payment gateway. You may ask whether you can configure different checkout choices. Yes, you can. You can either authorize funds or ask the customer to help make real-time payment during actual checkout. Your decision will be based upon your company model. Real-time payment requires that you ship the merchandize within a specified period. In case you are unable to do so, picking out the other alternative is a better option. The option of “Authorize Funds” lets you put a short-term hold on the customers’ funds till you ship your products or services.
Understanding Third-Party Processors
To put it simply, one third-party processor is really a vendor who charges your customers’ credit cards on your behalf and after that transfers the amount of money electronically for your account. Many online merchants choose to have the third-party processor as well as the payment gateway. This way, you can ensure that your prospective buyer has her or his preferred payment method and is also not turned away. Now you have the basics, we can focus on what features the very best payment processors have.
A great payment processor
• Provides merchant account services efficiently. Good customer care is important. Accessibility to 24×7 help provides lots of reassurance there is somebody to troubleshoot your problems.
• Has an effective antifraud solution in position. You hear a great deal about bank card frauds taking place nowadays. Bank cards are stolen, lost, or misused by false information. The best payment processors verify billing and shipping addresses with those supplied by MasterCard/Visa. Furthermore, card security codes are set up to ensure that the buyer actually owns the credit card. • Provides you with accurate financial information.
• Features a recurring billing feature. This means automatically collecting payment installments after a fixed duration.
• Have reasonable rates and fees. However, you must remember that every payment processor may have different sets of rates. For example, they may have an assortment of rates, like discount rates, chargebacks, or transaction rates, along with application fees, ongoing fees, and settlement fees. Choosing the best payment processor will entail evaluating all financial aspects of the costs and fees.
• Is dependable in every respects. Any weak link in the payment processing system means lack of customer confidence, which means loss in business. There are lots of dependable and well-known payment processors available. The only thing you cgigrs to do is assess the benefits and drawbacks each processer has.
A number of the well-known names in the industry are Google Checkout, PayPal, MiraPay, and Authorize.net, to name a few. They have survived the competition and therefore are thriving since they have built customer trust through providing a reliable, secure, and fast payment environment.