Payment system : – payment systems (also known as payment processing services, payment processors, or merchant services )
A payment system is any system used to settle financial transactions through the transfer of monetary value.
Modern payment systems use cash-substitutes as compared to traditional payment systems. This includes
debit cards, credit cards, electronic funds transfers, direct credits, direct debits, internet banking and e-commerce payment systems.
There are too many payment systems and services providers :
Alipay Apple Pay Google Pay PayPal Samsung Pay Stripe
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Payment service provider :
Typically, a software as a service model and form a single payment gateway for their clients (merchants) to multiple payment methods.
List of online payment service providers :
Paypal Stripe Paytm PayU PhonePe
Payment gateway :
A payment gateway is a merchant service provided by an e-commerce application service provider that authorizes credit card or direct payments processing for e-businesses, online retailers,
The payment gateway may be provided by a bank to its customers, but can be provided by a specialised financial service provider as a separate service, such as a payment service provider.
List of Payment Gateways in India :
1. Cashfree payment gateway
2 PayU Payment Gateway Service:
3 Razorpay Payment Gateway
4 InstaMojo Payment Gateway
5 PayPal Payment Gateway Service:
6 PayKun Payment Gateway
7 CCAvenue Payment Gateway:
8 Atom Paynetz Payment Gateway service:
9 Citrus Payment Gateway:
10 PayTM Payment Gateway
10-best-payment-gateways-in-india
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Merchant services :
Merchant services is a broad category of financial services intended for use by businesses.[1] In its most specific use, it usually refers to merchant processing services that enables a business to accept a transaction payment through a secure (encrypted) channel using the customer’s credit card or debit card or NFC/RFID enabled device.
More generally, the term may include:
Credit and debit cards payment processing Payment gateway Online transaction processing
Define Payment Methods :
Payment methods are the ways in which customers pay for their subscription services. A customer can choose a payment method based on your company’s list of preferred payment methods.
Types of payment methods for ecommerce
Credit Cards Mobile Payments Bank Transfers Ewallets Prepaid Cards Direct Deposit Cash
Acquiring bank
An acquiring bank (also known simply as an acquirer) is a bank or financial institution that processes credit or debit card payments on behalf of a merchant.[1] The acquirer allows merchants to accept credit card payments from the card-issuing banks within an association.
The best-known (credit) card associations are
Visa, MasterCard, Discover, China UnionPay, American Express, Diners Club, Japan Credit Bureau Indian Rupay
E-commerce payment system
An e-commerce payment system (or an electronic payment system) facilitates the acceptance of electronic payment for online transactions.
Credit cards remain the most common forms of payment for e-commerce transactions. It is difficult for an online retailer to operate without supporting credit and debit cards due to their widespread use.[1] Online merchants must comply with stringent rules stipulated by the credit and debit card issuers (e.g. Visa and Mastercard) in accordance with bank and financial regulation in the countries where the debit/credit service conducts business.[2][better source needed]
There are companies that specialize in financial transaction over the Internet, such as Stripe for credit cards processing, Smartpay for direct online bank payments and PayPal for alternative payment methods at checkout. Many of the mediaries permit consumers to establish an account quickly, and to transfer funds between their on-line accounts and traditional bank accounts, typically via automated clearing house (ACH) transactions.
Methods of online payment :
Credit cards constitute a popular method of online payment but can be expensive for the merchant to accept because of transaction fees primarily. Debit cards constitute an excellent alternative with similar security but usually much cheaper charges. Besides card-based payments, alternative payment methods have emerged and sometimes even claimed market leadership.
1. Bank payments
This is a system that does not involve any sort of physical card. It is used by customers who have accounts enabled with Internet banking. Instead of entering card details on the purchaser’s site, in this system the payment gateway allows one to specify which bank they wish to pay from. Then the user is redirected to the bank’s website, where one can authenticate oneself and then approve the payment. Typically there will also be some form of two-factor authentication.
It is typically seen as being safer than using credit cards, as it is much more difficult for hackers to gain login credentials compared to credit card numbers. For many eCommerce merchants, offering an option for customers to pay with the cash in their bank account reduces cart abandonment as it enables a way to complete a transaction without credit cards.
2. Mobile money wallets
In developing countries, many people don’t have access to banking facilities, especially in tier II and tier III cities. Taking the example of India, there are more mobile phone users than there are people with active bank accounts. Telecom operators, in such locations, have started offering mobile money wallets which allow adding funds easily through their existing mobile subscription number, by visiting physical recharge points close to their homes and offices and converting their cash into mobile wallet currency. This can be used for online transaction and eCommerce purchases.
Visa –
is an American multinational financial services corporation. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards.[6] Visa does not issue cards, extend credit or set rates and fees for consumers; rather, Visa provides financial institutions with Visa-branded payment products that they then use to offer credit, debit, prepaid and cash-access programs to their customers.