How to accept credit card payments online
In order to accept payment processing online there are three basic types of payment processors which are:
Merchant account and payment gateway
All-in-one solutions
Simplified credit card processors
Below are quick overviews of each.
Merchant account and payment gateway
The conventional method of accepting payments online has always been a combination of a Merchant account accomplished with a payment gateway. Payment gateways like SecureNet (United States), Authorize.Net(United States) and also eWay(Australia and united kingdom) fall under this category.
Merchant accounts are a type of corporate bank account which gives you the opportunity to accept credit card payment.
Merchant payment gateways connect your online store and merchant account which will help to facilitate the payment transaction between the two parties that are involved.
Think of it as the digital version of a POS card swipe machine used in brick-and-mortar stores.
There are fees associated with the merchant account and the payment gateway, but there are many options, and some have more competitive transaction fees or do not charge a setup fee.
Most online payment gateways also provide great control over the security rules and customization; they can be suited based on the scale of business, if it needs a more personalized solution.
There is one thing you need to know about using a payment gateway / merchant account -you will have to apply for both, by filling out forms and providing financial information.
Processing your requests may take a few days, so you will not be able to accept payments. Once both are approved, you must connect your account to the gateway and then to your gateway to your store. Usually this involves setting up your store with API keys, shared secrets and tokens.
The benefits of using a payment gateway are that you usually have more communication and personalized customer service along the way. This is because the providers are larger companies with large support structures within the organization. More often than not, you will be able to get a person on the phone to answer your questions.
Credit card payment processing, simplified
Constant updates in technology have eliminated much of the complexity of online payments.
From a merchant’s point of view, these are very similar to all-in-one solutions, but they usually fit nicely into your store’s cash register, which means the buyer never leaves your site. And they can be much faster to set up – you can start taking different payment methods in minutes.
With these simplified payment processors, you do not need a merchant service account or a payment gateway, which translates into lower fees.
Rates are competitive with all-in-one solutions, and most of these new processors do not charge installation fees or monthly fees. The experience is simple: the customer’s credit card is entered and the payment is processed, as simple as that.
Before you consider using a simplified processor there is one thing you need put in mind and it is that you do not get the same level of support you get from a traditional payment gateway.
They tend to be very easy to use, so you may not need it. But if you are having a problem with your credit card processing company, most of the support is done by self-service via articles or email – many of these providers do not even have a call center. However, be advised that quite often, there are also merchant solutions that combine the benefits of simplified processing with more robust customer service benefits.
For more information on easily accepting credit cards, contact us at Answers@enterprisefundingsolutionstx.com
