What is a gateway for payments ?

What is a gateway for payments ?

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What is a gateway for payments and how to integrate one with a merchant website?

A payment gateway is not the same thing as a payment provider or processor. We’re exploring in this article, what is a gateway for payments and how it is used online and offline. Also, we look at the issue of connecting a gateway to a website. 

 When a company runs an online business, it is surely interested in the issue of how to create a payment gateway to accept payments from clients on the Internet. 

To do so, one needs a Payment Gateway (PG) integrated with a website, which is to be used to accept payments from bank cards, e-wallets, through the systems of money transfer, or other payment means. 

There are multiple ready-made solutions on the market, which are provided by well-established financial companies. They are provided to merchants to be installed on their websites. These solutions include the software, documentation, and requirements to the website itself, which must be PCI DSS compliant (to process cards) or compliant with requirements of other financial institutions, which maintain e-wallets, e-money, direct debits, or other payment options 

Usually, a merchant website must have the SSL, HTTPS, and other technological means to comply with the card processing PG hosting or connecting.  

The PG itself can be an integrated (hosted) or third-party solution. Modern options make sure the payment process happens within a few seconds, so, for a client, it does not mean that much, what PG integration a website has. The only difference will be that during the payment, the client either stays on the merchant website through the entire payment process or is transferred from a merchant website to another one and then back, which is displayed as a sequence of screens. 

The PG companies providing ready-made solutions, picking one of them will depend on what you exactly want from a PG in terms of promptness of operations, cost of installation, running, and transacting, an opportunity to process specific cards and e-money, technical support, chargebacks, international transactions opportunity, available in a specific country, and other options. Typically, a fee per transaction is 2.9% of the sum plus some flat fee and country availability ranges between 20+ and 150+ countries. 

A PG is a technological feature that allows a client to pay on a website for goods and services by a bank card, e-wallet, or other e-money. That is an interface to input data, which are then sent to a payment processor, which runs the transaction or facilitates it. And the PGs differ in their features, cost, and availability in countries.

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