Payment Service Provider Advantages

A payment service provider or a PSP provides offers online businesses provide provision various payment methods. The payment methods include credit card, debit card, bank transfer and real-time banking. It is a third-party service provider that enables the online business merchants to accept online payments. It allows the online businesses to accept payment through multiple methods and not just credit or debit cards. But all varieties of payments are done through a single channel. A payment service provider works in tandem with the authorized bank. It takes responsibility for the payment process the moment a customer punches in their details. Right from transmitting customer’s details to the bank’s processor, relaying back the message or authorization of the bank everything is undertaken by the payment service provider. A PSP is equipped to handle multiple payment options right at the outset and receives discounts on bulk processing. It saves money for the merchant as compared to setting up individual payment methods.

It has been researched globally and established that majority of customers prefer payment methods with multiple options. They reported to be more satisfied and have more faith in the merchant. If an online business merchant goes on acquiring multiple payment methods like credit card, mobile wallets, debit cards, net banking and more the same will come out to be a costly affair. With a PSP all these features can be acquired in one go. Not just multiple payment methods but payment services also support multiple currencies. When a merchant is looking to expand their audiences globally or to export to other countries, this feature comes in handy.

It is mandatory for anyone receiving credit card payments to have PCI DSS certification installing a payment gateway gets you a certification too. With an increase in the frequency of credit card frauds world over it has become difficult to ensure the security of online transactions if you have your own payment mechanism. Meeting the stringent PCI norms can translate into a lot of time and money investment on your part. A payment gateway is one of the most secure payment methods and can alleviate the fraud risk for you and your customers. Another major advantage a payment gateway has is that of helping make better business decisions. With a payment gateway, you get the opportunity to make data-based decisions. You get access to settlements or disputes reports easily. It will not only enable you to increase operational efficiency but also increases optimization of your e-store.

A payment service provider will also help you sell globally. You can always select or choose to work with a payment gateway that has global tie-ups. And help your global audience as people use varied online payment methods. Enabling you to cater to an international audience smoothly, securely and with faster transaction. So if you have not chosen to get a payment gateway yet. You are missing out on expanding your business, getting faster payments and under-utilizing the reach your e-commerce business might have. 

Features to Consider When Looking a Free Payment Gateway or a Paid Service Provider

When looking for a reliable payment gateway, whether paid or Free payment gateway, you as an entrepreneur, should make sure that you are investing enough time for finding one. There are so many choices available for you with different characteristics. Most of the characteristics or features of these services vary from each other, it is important that you consider them with a lot of care and caution. You will have to compare the characteristics to make sure that you find the right one for you.

Here are some of the features or characteristics to consider when looking for a Free payment gateway or paid service provider...

Choose one with great reputation –

When you are choosing a payment gateway service provider, you will have to go for the one that is having years of experience in providing this kind of services. They are aware of the different requirements of different companies and hence they will be able to understand you better and serve you better as well. But the only thing that may stop you is the price for the services.You need not have to worry about it as they are not going to be really high and even if they are high, they are worth paying high.

Their transaction fee –

The next factor to consider if it is not a free one is the transaction fee. None of them are going to actually provide you fee service forever. It will impose some kind of conditions when it is free like on the number of transactions for month or on the amount. So, you will have to upgrade to the paid one after a few months at least and then the transaction fee is something that you should take care of. So, why not check about the transaction fee in advance only.

Whether it is going to accept multiple currencies –

Next one would be accepting multiple currencies. Yes, even if you are starting your business in just your state or country, there are chances that you are going to expand in it future or you are already starting it worldwide, then your payment gate should accept payments from multiple currencies and credit them to your account.

Does it work on recurring bills? –

Yes, if you are a business owner who sells magazines or if your site has membership feature, then you will have to collect the amount from the customers on a certain period basis and that has to happen automatically. So, make sure that the service provider that you are choosing is going to accept that kind of payments as well.

So, whether paid or Free payment gateway, you should always make sure that you are looking for features that you need for your online business at present and in the future. Do not always opt for those who are free or offer at lesser transaction fee, rather opt for the one that can be useful for your online business.