In this blog, let us explore “what is online credit card processing” in detail. In this digital era, paper cash is gradually replacing by plastic money like credit cards and which have become a stunning option for merchants.
Despite the type of business, every business arrives where processing credit cards for receiving credit cards become essential and it assists in making a robust customer base and then vending more products and services. Credit cards are easy to use and we can utilize them for online purchases as well as physical purchases.
So, if your business receives online payments or payments through POS or other terminals, then you will have an opportunity for credit card processing.
As a merchant, you do not require to have serious knowledge of the entire process, but having public details about the process is crucial for you.
Online credit card processing
Customers buy and create payments by credit card. When customers conduct the card payment, the merchant authorizes payment approval by using the credit card. The complete procedure of transferring the amount from making the card payments to funds recompensed in the bank account is known as online credit card processing.
Members of online credit card processing
- Merchant – Business facilitates payment approval via credit card
- Customer – A customer is a cardholder buying something and bearing for a credit card payment option to make payments.
- Acquiring bank – A merchant’s bank refers to an acquiring bank.
- Issuing bank – The customer’s bank or cardholder’s bank is called issuing bank and these banks issue cards on behalf of credit card networks.
- Payment Gateway – A payment gateway delivers a secured connection between shopping websites and payment processors.
- Payment Processor – It simplifies the payment data to the card network.
- Card Network – Card network means card operating networks contain VISA, MasterCard, RuPay, etc.
The payment details are connecting to all these commodities. And it only takes a few seconds for card approval. But it can take a standard of two to three days to settle the funds in the merchant’s account.
How to choose a payment processor?
As we have examined the basics of credit card processing earlier. And the next task is choosing a payment processor. Because choosing a suitable payment processor for your business is very significant. Here are some aspects to ponder
- Time Saver. Authorizing credit card processing and accounts to settle a business requires a merchant account. But getting a merchant account is quite a hurdle. It is a long process that can cost your time and money. Instead of going through all the problems, you can select a payment processor that delivers a merchant account.
- Alternate Payment Methods. Today, customers are getting more satisfied with online payments. As an outcome, we see numerous payment methods. So we can regard it as a plus point. If there are other payment methods present like UPI, net banking, mobile wallets, etc.
- Security. And security is one of the main factors for customers when choosing card payments and with growing credit card fraud. They will feel more before making payments. As a merchant, you will assure their transaction is processed in a protected environment and their card data is safe and secure. So it is essential to select a payment processor that is PCI DSS compliant.
- Excellent Customer Service. When you incorporate a payment processor with your business type. You may also encounter some problems so be they specialized or serviceable. It is essential to select a payment processor that delivers great customer service and assistance.
- Fraud and risk management. This is another main thing is the fraud and risk management feature. That if a payment processor equips a fraud and risk management feature. It assists in safeguarding a merchant’s prestige and at the same time and can also protect merchants from chargebacks.
Pricing plans
Now the pricing plan is one of the main characteristics. Hidden fees are mostly there. So you will have to select a payment processor with transparent pricing plans with precise details of involved prices. For example, there are certain fees assessed by the payment processors are mentioned below:
- Processing Fee.
- Interchange Fee.
- Assessment Fee.
- Chargeback Fee.
- Maintenance Fee.
- Batch Fee, etc.
Conclusion
Last but not least, online credit card processing is becoming essential for a business to grow online and globally. And a quick, dedicated, secured, and easy integration payment processor can assist you and your customers as well in saving time and effort.
You can contact Amald and get connected to us. We will deliver you one of the safest payment solutions. We provide the best services for credit cards and other payment methods. And we pledge to our merchants that we will equip proper help in downtimes as well. For any further information kindly drop us a mail and thanks for visiting our website .
