Often you will hear from someone that I have done online shopping, I bought these goods online or you will also be shopping online yourself. Do you know that when you buy something online, it has to be paid online as well.

For making online payment, the website or application has a payment gateway, using which you can buy online using net banking or debit card and credit card.

There will be many of you who may not know what is the payment gateway and how it works. But you must know about it.

If you want to sell any goods online or start an online business, then you should also have complete information about the payment gateway.

Friends, in this article today, we are going to give you all the information related to the payment gateway, such as what is the payment gateway and how it works.

What is a payment gateway?

Payment gateway is a type of technology used by merchants to accept debit or credit card purchases from their customers.

It is a service that sends and processes the customer's debit and credit card information from the website to the card payment network and then sends the information of the result of the transaction from the payment network to the website.

If you accept or wish to accept debit or credit card payments on an online website or mobile device, your business (company) needs a payment gateway.

In simple words.

Payment gateways are an interface facing the consumer that is used to collect payments.

Why do we need a payment gateway and merchant account

To start accepting payments on your website, you need a merchant account and payment gateway

This is the only way you can start accepting online payments on your website or application.

If you own an online business, all you need is a merchant account.

A merchant account is an agreement between a merchant and an acquiring bank on which a debit or credit card can process and accept payments.

Hopefully now you know why the payment gateway is important.

How Payment Gateways Work

A payment gateway allows you to connect your website to a payment processor.

Following are the basic steps that show how a specific payment gateway works

Step 1: First the customer places his order and then presses the submit or checkout button on the website

Step 2: Once this happens, the website platform takes the customer to a payment gateway, where it gives all the relevant information about the debit or credit card they are using to pay.

The payment gateway then takes the user directly to the issuing bank's page or a 3D secure page and asks them to authorize the transaction.

Step 3: Gateway authorizes card and electronic payment by encrypting sensitive data. Once the payment gateway is allowed for the transaction, the bank checks whether the customer has sufficient balance in the account to make this transaction successful.

Step 4: The payment gateway sends the message to the merchant accordingly. If "Yes" comes as a response from the bank portal, the merchant wants a transaction from the bank

If the answer from the bank is "No", the merchant later sends an error message to the customer and informs them of the problem with the debit or credit card or bank account.

Step 5: The bank settles the money with the payment gateway and the payment gateway in turn settles the money with the merchant

Once this process is completed, the customer gets a confirmation message to place the order.

By now you must know what is the payment gateway and why it is used. But the question will definitely be in your mind which payment gateway is available which can be used.

We are giving you an example of some payment gateways.

CCAvenue

PayUbiz

Razorpay

PayPal

How a payment gateway keeps information secure

The payment gateway is a very important terminal for accepting payments over the Internet.

In terms of security, the payment gateway ensures 100% user data security while transacting over the Internet, as well as 100% privacy of users' personal information over the Internet through the payment gateway.

Payment Gateway uses SSL certificate from the most reliable and secure third party certificate authority (CA).

The SSL certificate encrypts data that is transferred from a web browser to a web server when transacting online through a payment gateway.

SSL certificate ensures user's financial data security with the hardest encryption strength of 256-bit keys which enables the most difficult encryption and decryption algorithms to protect the information of users on the Internet.

In this way, the payment gateway provides security to the transaction and also keeps the data of the users safe.

If you want to start online business, then you have the option of payment gateway. The payment gateway makes your payment work easy, as well as you do not need to have a separate staff to take payment and no one needs to spend time on this work separately.

By using the gateway, you will be able to make the payment easier and increase your business even more because there is more transaction through it. By taking online payment, you will be able to save your customer and your precious time and you will be able to spend this time in moving your business forward.

Hopefully, you will have received all the information related to the payment gateway, what is the payment gateway and how it works. If the information given is good, then share this article with your friends and help them to know it too.