3 payment gateways

Feb 28 - 2022

3 payment gateways

1. Redirect

It becomes a "redirect" when the gateway takes the customer to paypal or other business payment page to process the transaction in full. Simple for retailers. Small businesses can use redirect gateways to integrate the convenience and security of a major platform like paypal. However, this process also means less control over the merchant.

2. On-site checkout, off-site payment

Like Stripe's payment gateway, subscription payment gateway,the front-end checkout will take place on your website. payment processing happens through Stripe's backend. It also has the advantage of simplicity. However, you won't be able to control the user's entire experience through the payment network, which will keep you at the mercy of the quality of the separate network and its quirks

3. On-site payment

Onsite payments enables customers' billing and payment processing to be done entirely through your system. Larger companies tend to use it and will have more control and more responsibility. It's important to understand your options and responsibilities when you're processing payments on-site.

How payment gateways work

The payment gateway process follows six steps and only takes a few seconds.

1. A customer places an order on your online store and enters their payment information.

2. The payment gateway sends the encrypted information to the payment processor, which actually processes the transaction.

3. The processor routes the transaction data to the credit card association.

4. The processor sends an "approve" or "reject" response back to the payment gateway.

5. The transaction is authorized, and the issuing bank sends the authorization back to the parties in the company's payment processing system.

6. It takes 24 to 48 hours for the funds in your account to become available.

By:Anastasia