Setting up an e-commerce payment gateway is challenging and requires meticulous attention to detail. Millions of businesses continue to struggle with the idea of payment processing, interchange rates, and how to find an ideal solution.
With so many options on the market, it’s best to focus on the best payment gateway. In the past, a cash-based system might have worked. Many owners ran their establishments using this premise, but those days are long gone. Customers expect to pay with their desired method whether it’s a credit card, debit card, or cash. The decision must rest in their hands.
Modern banking has made life easier with so many options and that’s why choosing an elite credit card processing service is beneficial. Handling credit is not easy, even if accepting payments online has become mandatory. A lot of businesses continue to struggle with making this work, and that’s why they start running around looking to find a reliable solution for their credit-based needs. Customers can’t hand over their credit card numbers and call it a day. This is an impossible solution to manage and businesses cannot put out such a solution as it won’t work. Therefore, a gateway is needed to manage credit card payments and it must be done in a fully certified manner.
A high-quality service can note the time of purchase, record credit card details, and verify an ID. A quality processing company simply makes life easier. Accepting credit card payments is all about finding the ideal option and implementing it as soon as possible.
Qualities of the Best Payment Gateways
Whether it is Paypal payments or Braintree, it’s the quality of a processor that matters most. It’s the only way to feel good about how the credit card payment is going to be processed and what the costs will be like. To understand the intricacies of this investment and the qualities needed to find a viable solution, it’s best to focus on three specific variables.
1) The Transactional Fees (Per Month or Per Transaction)
2) The Compatibility with Existing Systems
3) Additional Features to Maximize Payment Solution (Mobile Payments/Recurring Billing)
Underlying fees can be the hardest to nail down. Setting up a bank account and calling it a day is not enough. The bank account isn’t going to save the business from unnecessary fees, especially with an inferior credit card processing company. Therefore, it’s important to investigate the payment system and the percentage it charges. While the interchange rate and assessment fees will be the same, the remaining markup is going to vary based on what the company has set into place.
A virtual terminal is going to come with a number of advantages, but some services do not add in a “fixed” fee. Instead, they set up a simple monthly fee (i.e. $50) and call it a day. This keeps things easier for both parties and ensures the service is guaranteed if the application is installed. However, other merchants do add a smaller fee. Looking into these details can help pinpoint what kind of fees are being charged, how they are being charged, and what the business has to keep an eye out for. This is essential information for installing an online payment gateway. Too many small businesses don’t investigate this. That leads to inefficient hidden fees for disputes, chargebacks, and even international payments.
Setting up a website isn’t enough even if the extensions are put into place. Many website owners end up losing out because they don’t check these details or how the payments are going to be managed. If a high volume is processed daily, this is going to start to add up in fees. Therefore, it is best to analyze the different features and how they will work in unison with the website.
Of course, please note, a high-quality processing service is important in comparison to a small fee. A good processor will make life easier and ensure customers do go ahead with the purchase. No one wants to let customers go but this can happen if the credit card option isn’t made available. In that case, the business ends up losing 100% of the payment and that is far worse than a small 0.2% fee!
Types of Online Payment Processing Services
There are different payment methods when it comes to a modern website and installing a new gateway.
In general, a business is going to accept two types of payments (credit cards and debit cards), which are to be swiped, tapped, or inserted using a traditional card reader. In the case of a website, the payment would go through the online processor or payment form.
For those setting up different payment methods on their eCommerce store, the online gateway is mandatory. It’s the only way to manage these payments as a card reader isn’t going to suffice without an in-person purchase.
In this case, it’s time to look at how the different payment methods can be managed.
1) Account-Based Payments
This is an option often found in services such as Amazon and Paypal, where the customer is going to be asked to sign into their online account before making a payment. The name for these purchases would be “account-based payments” and they are commonly seen around the world of eCommerce sites. This is often assumed to be the simplest way to accept payments in comparison to something like Bitcoin transactions.
Customers don’t have to rely on the 3rd party website with account-based payments and can simply sign into their regular account through the processor. This also ensures fewer customers leave the website and ignore their shopping cart. However, these services often come with remarkably high fees for the service.
2) Direct Payment Services
With payment gateway providers, another type would be to accept payments directly. This can happen with a customized website. These payment gateway providers set up a functional tool to go ahead with the payments. In general, these services are designed to work with the application. To do this, an API is set up that is going to work for the business and make sure it can accept payments without unnecessary hurdles. This is how the business can support the payment method.
All the payments are fully integrated into the existing tools a business may have including digital payment systems. This can be useful with eCommerce websites.
3) App-Based Payment Services
This can be an option for businesses if they want to handle all the information in one place. Most do not want to accept payments in one app and then deal with all the accounting data in another one. This can be confusing, challenging, and downright unappealing for most owners. Instead, they crave a streamlined solution. An app-based solution ensures the business can handle all the incoming payment data and processing information in one spot. Any online payment will go through the app.
Users find this easier as the online payment is hassle-free, but it is going to be costly.
A specialized merchant account can be the way to go when it comes to making a large number of sales and having thousands of products bought throughout the day. The technology makes sure to handle the rigorous nature of this volume and keeps it safe at the same time. This is a great way to set up a merchant account and let the business handle itself over the long haul. A good processing service can ensure this does happen as soon as possible.
This can also make the rates go down with all incoming online payments.
Of course, there is a setup process that has to be accounted for. It’s best to go with a seasoned service to do things properly.
Defining Payment Processing
Whether it is Shopify Payments or WooCommerce, it’s best to understand the intricacies of payment process in the first place.
What may have been okay in the past isn’t going to fly nowadays. The world of online currencies has been turned upside down. That’s the beauty of a more globalized world. However, businesses need to stay on top of their transactions and make sure the bottom line doesn’t get blown apart! To make sure this is simplified and the business is able to run smoothly, the processing has to be comprehensive, secure, and to the point.
In general, credit cards have become easier to manage especially when it comes to mobile transactions. A person doesn’t need to have money on them because online payments take care of things. However, a business must be prepared for this or they will lose out!
There is a lot of work that goes into understanding the fees and processing services put in the effort to make things run smoothly. Getting a good processor is the best way to maximize fees, process new transactions, and make sure the data is stored safely. The processors can take a look at the incoming data, validate it, and make sure the fees are fair at the same time.
Even with Amazon payments, the goal is to accept money as smoothly and efficiently as possible. Nothing gets in the way of the process, and that’s what makes these businesses successful. A modern setup must include the services of a world-class processing company and it has to be implemented as soon as possible.
Customers want the best option and they want it at a fair price.
Begin working with a legitimate credit card processing service and appreciate the value of a great payment gateway.
To sign up with the best credit card processing service, please take this chance to go with one of the leading options in the industry. This service is well-rounded, professional, and provides access to an assortment of features.