If you’re a business that accepts credit or debit card payments online, it is essential to choose the most suitable payment processor. An online payment processor is the one that handles the bulk of the transaction from capturing an order to delivering you a billing statement and working with your bank to make sure that you get paid.
Payment gateways or PoS terminals are used when a customer purchases something from your website or in-store. The gateway encodes data to ensure its security and transmits it to the processor that then transfers it to the card network of the customer. The card network checks with the customer’s bank to determine if there is enough funds in the account to purchase the item. If the bank agrees to the purchase, then the card issuer will transfer funds from the account to the merchant’s bank. The payment processor will transmit this information to the merchant’s website or PoS terminal and notify the customer that their payment was successful.
When choosing a processor, think about security as well as ease of use and compatibility with the existing systems. Look for a solution that provides APIs and plug-ins to seamlessly integrate with your ecommerce platform or POS system. You should also look at the checkout experience of your customers and the reporting and transaction management experience for your staff. Don’t forget to ensure you know the terms of your contract and how easy it will be to switch providers in visit this site the future.