What Is A Payment Gateway And How Does It Work?
What Exactly Is a Payment Gateway? Simply put, a payment gateway is a solution that securely reads and transfers a customer’s payment information to a merchant’s bank account—both for online and in-person transactions. Think of it as a cash register, except that the payments it processes are non-cash. That makes payment gateways important in the age of the “new internet,” driven by mobile devices and apps. They enable convenient, secure spending experiences—and help merchants see more sales! A payment gateway is a software solution that securely collects, processes, and transfers customer payment information to your bank account. Think of it as an online cash register—except that the payments it processes are non-cash. Payment Gateways vs Payment Processors The first thing you need to include in your ecommerce plan is deciding on what payment method you would like to use. Payment methods allow you to accept money from your customers through their credit or debit cards. These are often ...