Payment Gateway is the essence of any e-commerce site. It refers to an e-commerce service that authorizes payments for e-businesses and online retailers. It is, in a way representation of a physical POS (Point-of-Sales) terminal located in most retail outlets. One cannot think of making or receiving on-line payments without a Payment Gateway. Payment gateways encrypt sensitive information, such as credit card/debit card numbers, to ensure that information passes securely between the customer and the card issuing authority for approval and finally the clearance to merchant to accept the card, for further actions to be done by the Merchant/Ecommerce portal.
The Payment Card Industry (PCI) denotes the debit, credit, ATM, and POS cards and associated businesses. Payment Gateway refers to Payment Card Industry Security Standards Council, a council formed by American Express, Discover Financial Services, JCB, MasterCard Worldwide and Visa International, with the goal of managing the ongoing evolution of the Payment Card Industry Data Security Standard.
TI Infotech has expertise who can integrate payment gateway application on your online portals, websites or web applications for secure and safe payment. We have expertise and skill set to integrate any Payment Gateway. Some illustrative names are -
How Payment Gateway works?
A payment gateway facilitates the transfer of information between a payment portal (such as a website) and the Front End Processor or acquiring bank.
When a customer orders a product from a payment gateway enabled merchant, the payment gateway performs a variety of tasks to process the transaction
A customer places an order on website by pressing the 'Submit Order' or equivalent button, or perhaps enters their card details using an automatic phone answering service.
If the order is via a website, the customer's web browser encrypts the information to be sent between the browser and the merchant's web server. This is done via SSL (Secure Socket Layer) encryption.
The merchant web Server sends the information to Payment Gateway in a secured way via SSL. The gateway collects the payment information and sends it, securely encrypted, to the processing bank for authorization.
The processing bank sends the request, through Visa's or MasterCard's payment networks, on to the card issuer. The other cards like Discover and American Express act as both card issuers and processors, so the authorization process is much simpler.
The card issuer approves or declines the transaction and sends its response, through Visa or MasterCard, to the processing bank. The processing bank forwards the response, through the gateway, to the merchant who completes the transaction accordingly.
In the case of an approved transaction, the merchant deposits the receipt with its processing bank, requesting payment. The processor then credits the merchant's account and submits the transaction to Visa or MasterCard for a settlement. Visa or MasterCard then pays the processing bank, while simultaneously debiting the card issuer's account.
The card issuer then posts the transaction to the cardholder's account and requests payment with a monthly statement.
Tools to detect fraud include geographical location, velocity pattern analysis, delivery address verification, computer finger printing technology, identity morphing detection, and basic AVS checks.
To know more about online payment gateway integration service for your business, contact us at email@example.com or call us on +91-120-3341800.