A technology solution that transmits payment data from the merchant to the payment processor.
Online commerce relies on seamlessly moving money between merchants, banks, and buyers. The digital toll booths facilitating these transactions are payment gateways. Understanding how these gateways enable e-commerce provides insight into processing transactions from websites to bank accounts.
A payment gateway is a service that authorizes credit card and direct payments online. Gateways securely route transaction information to the relevant payment networks and financial institutions.
Key gateway functions include:
Gateways are the required passage between making an online sale and getting paid.
Partnering with a payment gateway allows merchants to:
By leveraging gateways, e-commerce businesses can focus on sales instead of complex financial plumbing.
Payment gateways silently orchestrate the symphony of online transactions, enabling commerce to flow smoothly and speedily. These digital toll booths securely direct traffic from websites to issuers and back again, collecting merchant revenue along the way.