One key business solution merchant webmasters always look for is a reliable payment processor to accept payments for online transactions. To the uninformed, however, payment processing is a perplexing subject. There are lots of complex issues to start with, specifically regarding the basic principles of payment processing, payment gateway configuration, and some facets of third-party payment processors. Before we get down to the best payment processors, below are a few necessities 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 processing account. This real-time facility allows you to accept bank cards, debit cards, along with other kinds of online payment. Though not essential, a payment gateway has several benefits, such as:
• You will have a feature that will provide your prospects real-time feedback on their payment status, most significantly when the payment card is not accepted for any reason.
• You ride on speed and efficiency. If 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
Setting up your payment gateway essentially consists of two steps.
• The first step involves your credit card merchant account along with your gateway provider. You need to provide access to the gateway provider by making available all needed information.
• Within the second step, the payment gateway will configure using the payment processor. All of that a payment processor asks you would be to log in, proceed to configuration and payment methods, and after that pick 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 make real-time payment during actual checkout. Your final decision depends upon your company model. Real-time payment necessitates that you ship the merchandize within a specified period. In case you are not able to achieve this, picking out the other alternative is really a better option. Deciding on a “Authorize Funds” lets you put a temporary hold on the customers’ funds till you ship your products or services.
Understanding Third-Party Processors
In other words, a third-party processor is really a vendor who charges your customers’ credit cards for your benefit then transfers the amount of money electronically in your account. Many online merchants prefer to have both the third-party processor as well as the payment gateway. By doing this, you can make sure that your prospective buyer has his or her preferred payment method and it is not turned away. Now you have the basics, we can concentrate on what features the best payment processors have.
An excellent payment processor
• Provides processing 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 set up. You hear a lot about credit card frauds happening these days. Bank cards are stolen, lost, or misused by false information. The most effective payment processors verify billing and shipping addresses with those supplied by MasterCard/Visa. Additionally, card security codes are set up to confirm that this buyer actually owns the credit card. • Provides you with accurate financial information.
• Has a recurring billing feature. This basically means automatically collecting payment installments after a fixed duration.
• Have reasonable rates and fees. However, you must remember that each payment processor may have different sets of rates. As an example, they may have a variety of rates, such as discount rates, chargebacks, or transaction rates, in addition to application fees, ongoing fees, and settlement fees. Finding the right payment processor will entail evaluating all financial facets of the costs and fees.
• Is dependable in all respects. Any weak link inside the payment processing system means loss in customer confidence, and this means loss in business. There are lots of dependable and well-known payment processors out there. The only thing you cgigrs to perform is evaluate the benefits and disadvantages each processer has.
A few of the well-known names in the market are Google Checkout, PayPal, MiraPay, and Authorize.net, for example. They have survived competition and they are thriving simply because they have built customer trust by offering a dependable, secure, and fast payment environment.