If you’re running a business that accepts credit or debit card transactions online, you need to choose the right payment processor. An online payment processor is responsible for the bulk of the transaction — from capturing the sale to sending you a statement of payment and working with your bank to ensure that you get paid.
Payment gateways or PoS terminals are used when a consumer buys something from your site or in-store. The gateway encrypts the data to keep it secure and then sends it on to the payment processor, which then transmits it to the customer’s card network. The card network then checks with the customer’s bank to determine if they’ve enough money to purchase the item. If the bank accepts the purchase the card issuer will transfer the funds from their account to the bank of the merchant. The payment processor will relay this response back to the merchant’s website or PoS terminal and inform the client that their purchase was successful.
When choosing a processor, consider factors such as security, ease-of-use, and compatibility with existing systems. Choose a processor that has APIs and plugins to seamlessly integrate with your ecommerce platform or the POS system. You should also evaluate the checkout experience for your customers and the reporting and transaction management experience for your staff. Then, lastly, ensure you understand the contract and how it is possible to switch providers in the future.
https://paymentprocessingtips.com/2021/07/08/generated-post-2
