Choosing an Online Payment Processor

It is essential to choose the right payment processor if you run a business accepting click for source credit and debit cards online. An online payment processor is responsible for the transactional burden from capturing a sale to sending you a statement of billing and working with your bank to ensure that you’re paid.

If a customer purchases something on your site or in person at your brick-and-mortar store their credit or debit card data passes through a payment gateway or PoS terminal. The gateway secures the information to ensure its security. It sends it to a payment processor, who then sends it to the card network of the customer. The card network then checks with the customer’s bank to determine if there’s enough funds in the account to cover the product. If the bank accepts the purchase then the card issuer transfers funds from the account to the merchant’s bank. The payment processor will relay this information to the merchant’s website or PoS terminal. This will notify the customer of the successful payment.

When choosing a processor be sure to consider security and ease of use and compatibility with other systems. Make sure you choose a processor which offers APIs or plugins that seamlessly integrate with your online store system or POS. You should also look at the checkout experience of your customers, as well as the reporting and transaction management experiences for your team. Make sure you are aware of the contract terms and how easy it is to change suppliers in the future.