From the expansive nature of the online world, online payments are being made more and more each year. With websites becoming more a means of business, hundreds of different payment methods are available, including PayPal and EFT transactions. Large portions though are based on payment gateway technology.
What is a payment gateway?
A payment gateway allows direct connection between a website and a bank. This means that payments can be placed directly on a specific website, then deposited into a chosen bank account. The direct connection between a website and a bank allows for online credit card transactions to be completed in real-time, thus speeding up the process of selling and buying.
How does it work?
By providing a secure link between a website and a bank, payment gateways are able to send and receive specific customer details in order to make a purchase. These details are sent directly from the payment gateway to the bank, where they are then verified. Once that stage is complete, the bank replies with a response (accepted/declined message). The payment gateway then sends that message back to the web server, where it is then displayed to the customer.
What is required?
If your business is looking to use a payment gateway, make sure that you have met the three main requirements below:
– A merchant account from a bank. This bank account can be linked to the payment gateway.
– A payment gateway provider such as:
Once the above three requirements are met, the payment gateway can then be connected to the website and merchant account. This will allow for real-time credit card processing.
What are the benefits?
– Visitors stay on the site: Customers don’t need to leave your site to make a payment. All details are inputted on your website meaning fewer steps for the customer.
– Transactions and payments are made in real-time.
– Saves time and reduces administration with the fact that the credit card details are verified in real-time, and your customer receives feedback instantly.
If you’d like to consider a payment gateway for your website, Newpath WEB are more than happy to talk you through the process, starting from selecting a payment gateway, to setting up a merchant account and obviously monitoring its performance.
Feel free to call Newpath WEB on (03) 8605 4896 to get it underway.