You must choose the right payment processor when you operate a business that more information accepts credit and debit cards online. A payment processor online is responsible for the transactional heavy lifting — from capturing the sale, to sending you a billing statement and working with your bank to ensure that you get paid.
Payment gateways or PoS terminals are used when a customer purchases something on your website or in-store. The gateway is able to encrypt the data to secure it, and then sends it on to the payment processor which then transmits it to the customer’s card network. The card network checks with the customer’s bank to determine if there is enough funds in the account to cover the product. If the bank accepts the purchase and the card issuer accepts it, they will transfer funds from their account to the bank of the merchant. The processor for payment will transmit this information back to the merchant’s site or PoS terminal and inform the customer that the transaction was successful.
When choosing a processor, take into consideration security and user-friendliness, and compatibility with existing systems. Choose a processor with APIs and plugins to seamlessly integrate with your e-commerce platform or the POS system. You should also assess the checkout experience of your customers and your team’s reporting and management experience. Finally, make sure you understand the contract terms and how easy it will be to change suppliers in the future.