What is a Payment Gateway?
How Payment Gateway Works?
Once you have set up your online store, the first step is to add a payment gateway. Integrating a payment gateway with your online store ensures that all transactions are conducted safely and securely. This way, all the parties in the transaction, namely the merchant and the customer, have complete information about the process.
Adding a payment gateway to your website or mobile app involves selecting a suitable payment gateway service provider and incorporating the technology into your website’s checkout process. You can customize it to allow as many or as few payment methods as you want to accept.
Getnow pay offers different types of payment gateway integration options for your enterprise’s needs.
Payment Gateway vs. Payment Processor
A payment gateway works differently from a payment processor, which is a service that routes a customer’s credit card information between the customer’s bank and the merchant bank and enables the movement of money.
A payment gateway collects payment details like credit card information, authorizes a payment through different payment methods while the payment processor contacts the customer’s bank and the merchant account which is housed at the acquirer bank. The payment processor works as a communication intermediary.
Read our comprehensive guide on Payment Gateway vs. Payment Processor.
Main Features of a Payment Gateway
For starters, a payment gateway ensures the secure transmission of any payment data. A payment gateway also provides encryption for data protection, integration with various payment methods, and the real-time processing of transactions.
Essentially, a payment gateway works as a secure bridge between the merchant and the customer so that the financial transactions are completed seamlessly. It leads to the safe transfer of money from the customer’s bank account to the merchant’s account.
Payment Gateway Security Features
Tokenisation
In Card Tokenisation, the card details like the card number and expiry data are not transmitted directly through the system. Instead, they are first converted into tokens so that even if there is a data breach, the information will not be compromised.
Fraud Prevention
Payment gateways use a range of advanced fraud detection tools that analyze transaction patterns and behaviours in real-time. This means that even if there is fraud, the system will be able to identify and prevent it.
PCI DSS Wallet
These wallets stick to PCI DSS standards to ensure the cardholder data is stored securely for any recurring transactions.
White Label Wallet
This feature is ideally meant for mobile wallets. Most payment gateways offer white-label integrations for any payment methods through mobile wallets. This secures the transaction and makes it more convenient.
Frequently asked questions (FAQs)
1. Can a payment gateway be integrated with my website or mobile app?
Yes, payment gateways can easily be integrated with your website or mobile app. You can also integrate it directly with your CMS for easier order processing.
If you have a custom website and are looking for more flexibility, you can go for an API integration or SDK integration. Alternatively, if you’re looking for an easier solution, you can consider a plugin integration that fits directly with platforms like WordPress, Shopify, or InstaMojo.
2. How long does it take to set up a payment gateway?
It depends on which payment gateway you choose. If you go for an option like Razorpay, you can complete the entire integration process and deploy it on your website within a few hours. Other platforms, however, can take up to a few days, depending on how complex the integration is.
3. What are the key considerations when choosing a payment gateway?
When choosing a payment gateway, you should consider factors like transaction fees, setup and integration process, security measures, supported payment methods, compatibility with your e-commerce platform, and availability of customer support.
