Accept Payments Online – Online payments are just a way a merchant or a business person accepts payments from buys or customers online. Online payment simply refers to money that is exchanged electronically. Basically, this involves the use of computer networks, the internet, and digital stored value systems.
When you accept payment over the internet, you are accepting online payment. Online payment usually is the transaction that results in the transfer of monetary funds from the customer bank or credit card account to your bank account.
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Accept Payments Online
Payments online can be done from a credit card, checking account, or other clearinghouses like PayPal for instance Merchants accepting online payment need to comply with a list of security requirements. The online payment specific security is designed to decrease the chance of billing and personal information being stolen.
The transfer needs to occur over a secure encrypted connection. In the cases of recurring billows where customer data is stored, the merchant needs to enforce a long list of security features and protocols that are usually referred to as PCI compliance requirements. Recurring billing systems that employ online payment procedures need to be periodically scanned for security vulnerabilities.
In other to accept an online payment the merchant needs to have access to an online payment gateway. The online payment gateway is a service provider that is integrated with the credit card and transfers the online payment information between the merchant and the payment processor.
The online payment process has the following stages
- The customer submits information to the merchant. For example, the customer completes the payment form on the merchant website and submits the information.
- The merchant submits the information on the online payment gateway.
- The online payment gateway submits the payment to the processor.
- The payment processor authorized the payment and responds to the payment gateway.
- The payment gateway responds back to the merchant.
- Then the merchant responds back to the customer showing if the online payment was successful or not and taking the appropriate action.
Experts say that by the end of 2020, it’s estimated that there will be approximately 2.05 billion global online shoppers. That’s about 25% of the world’s population. Such figures show that we are moving closer to a cashless society, but is your business prepared for the rise of eCommerce shopping.
When it comes to earning money for your business, we know it pays to carry out research. That is why we are going to give you a list of the best ways to take payments online. As it involves credit cards and payment gateways to eChecks and recurring billing software.
Here are the best ways to take payments online.
- Accept credit cards and debit cards
- Add a payment gateway
- Set up a direct debit
- Use eChecks
- Integrate mobile wallet payments
- Send click to pay invoices
- Install recurring billing software.
Note that in order to accept credit and debit card payments, you will need to set up a merchant account via your chosen bank. But that’s really easy to do. In fact, all of the methods mentioned above are quite easy to implement.
Importance of Accepting Payments Online
- Easy to set up
- Affordable for every business
- Quality customer experience
- Secured payments
- Quick transactions clearing
- Manage subscriptions
- Gain impulse buyers
- No banking account needed
- Mobile payments
- Tailor the payment to tour workflow
- Buyers are accustomed to paying online.