One key business solution merchant site owners 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 begin with, specifically with regard to the fundamentals of payment processing, payment gateway configuration, and a few aspects of third-party payment processors. Before we get down to the best payment processors, here are some essentials about payment processing itself.
About Payment Gateways
A payment gateway is really a third-party company, like a bank, which connects your e-commerce software in your credit card merchant account. This real-time facility enables you to accept bank cards, debit cards, and other kinds of online payment. Though not essential, a payment gateway has many benefits, including:
• You will have a feature that will provide your customers real-time feedback on their payment status, above all when the payment card is not accepted for any reason.
• You ride on speed and efficiency. In case your business conducts large transactions, then you certainly benefit by speed, efficiency, and significantly lower processing fees.
• You begin straightaway. No waiting time must start your company. A payment gateway starts accepting debit or charge cards immediately. To summarize, payment gateways accepts information, encrypts it, and transmits it over the web.
Putting Together Gateway Configuration
Setting up your payment gateway essentially includes two steps.
• The first step involves your merchant account as well as your gateway provider. You should provide access to the gateway provider simply by making available all needed information.
• In the second step, the payment gateway will configure using the payment processor. Everything that a payment processor will ask you would be 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 consumer to create real-time payment during actual checkout. Your final decision will be based upon your small business model. Real-time payment requires that you ship the merchandize in a specified period. In the event you are unable to do this, choosing the other alternative is actually a better option. The option of “Authorize Funds” enables you to put a temporary hold on the customers’ funds till you ship your products or services.
Understanding Third-Party Processors
In other words, another-party processor is really a vendor who charges your customers’ bank cards for your benefit and then transfers the amount of money electronically to your account. Many online merchants prefer to have both the third-party processor and also the payment gateway. In this way, you can ensure that your prospective buyer has his or her preferred payment method and it is not turned away. Since you now have the basics, we can concentrate 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 plenty of reassurance that there is somebody to troubleshoot your problems.
• Has an effective antifraud solution set up. You hear a lot about credit card frauds happening today. Charge cards are stolen, lost, or misused by false information. The best payment processors verify billing and shipping addresses with those provided by MasterCard/Visa. In addition, card security codes are set up to confirm that the buyer actually owns the credit card. • Provides you with accurate financial information.
• Has a recurring billing feature. This simply means automatically collecting payment installments following a fixed duration.
• Have reasonable rates and fees. However, you have to remember that every payment processor may have different groups of rates. For example, they may have an assortment of rates, including discount rates, chargebacks, or transaction rates, along with application fees, ongoing fees, and settlement fees. Picking the best payment processor will entail evaluating all financial elements of the charges and fees.
• Is dependable in every respects. Any weak link within the payment processing system means lack of customer confidence, and also this translates into lack of business. There are many dependable and well-known payment processors available. All that you cgigrs to perform is measure the benefits and downsides each processer has.
Some of the well-known names in the market are Google Checkout, PayPal, MiraPay, and Authorize.net, to mention a few. They have survived competition and therefore are thriving because they have built customer trust through providing a dependable, secure, and fast payment environment.