Payment Gateway

What is Payment Gateway Software?

Payment gateway software is a payment processing solution which allows an online business to safely handle and process payment transactions from customers. It’s a software which facilitates easy & secure online payments, to foster a positive relationship with digital savvy customers. Payment gateway solution is a critical merchant service which authorises websites to process transactions made through credit card, debit card, net banking, e-wallets or UPI.  

The main task of a payment gateway software is to securely transmit a customer’s sensitive credit/debit card and bank account data from vendor website to the issuing bank and other entities involved in the transaction. Payment gateways send data pertaining to transaction to the corresponding bank and processes replies about whether a transaction has been accepted or declined. In short, payment gateway software assists in effective communication between businesses & banks.

An electronic payment system is a method of paying for goods and services online. Electronic devices such as computers and mobile phones are used for all financial operations. E-payment offers various modes of payment like credit card, debit card or bank transfers.

Why Do You Need Payment Gateway Software?

Online businesses or companies with an e-commerce website need a payment gateway solution to make it easy for customers to make payments for online transaction. Such solutions are provided by e-commerce application service providers, who take the utmost care when building the software. Consequently, its security is ensured through enterprise-grade data encryption, Secure Socket Layer (SSL) protocols, Secure Electronic Transaction (SET) protocols, etc.

The world is seeing a huge rise in e-commerce technology, which has disrupted the way customers and markets are responding & buying. Online selling comes with its own challenges, one of which is to bridge the gap between a website and a buyer’s wallet. That’s where a user-friendly and flexible payment gateway software comes into the picture. To successfully & securely accept payments online, a payment gateway is a must.

Aside from e-commerce companies, payment gateways can also be used to process direct payments for e-businesses, brick and mortar stores and, bricks and clicks stores.

The benefits that a payment gateway software offers to businesses include: -

1. Capability to accept & process online payments for e-commerce websites
2. Accept transactions through multiple payment methods
3. Multi-currency acceptance capability
4. Encrypted & secure online transactions
5. Avoid unauthorized transactions with fraud protection technology
6. Easily manage & process customer returns & refunds

Modules & Features of Payment Gateway Software

A payment gateway solution is a must-have solution for businesses that dabble in online transactions. Without best payment gateway software, successful online transactions cannot take place, period.

The main features of payment gateway solutions are: -

1. Debit and online Credit Card Payment Processing for Small Business - With this software, you can accept payments made using credit & debit cards. Supported cards include those powered by MasterCard, Visa, American Express, PayPal, RuPay and more. International transactions made using either debit/credit card can also be processed, with the help of payment gateway software.
2. PCI Compliance- Payment Card Industry (PCI) is a worldwide information security standard that organisations handling transactions through branded credit & debit cards, must comply by. Payment gateway software solutions complies with this standard, ensuring that your compliance regulations are met, and secure transactions can be carried out on your website.
3. Recurring Billing Gateway- For subscription-based websites (newspapers, magazines, streaming services, SaaS), payment gateway solution offers a recurring billing payment option. The solution offers customers the chance to register their card or bank account details, from which payments will be auto-deducted on the due dates. Customers will not have to take the hassle of logging in every time a payment due date is near. The software comes with encryption and secure capabilities, which safely stores customer data and doesn’t allow it to fall into the wrong hands.
4. Real-Time Payments- Using the software, payments & transactions can be processed in real time. In case of gateway issues or payment failures, refunds & returns can be initiated immediately. Additionally, all concerned parties (customers, vendor, issuing bank) are informed of payment status immediately.
5. Fraud Protection- The best payment gateway software solutions comes with fraud protection features, to prevent fraudulent activities and theft. These include PCI protection, SSL encryption and other relevant systems, which ensure that transactions are protected at all cost.
6. Access Management- This feature of the software allows you to limit backend access, based on users & role. This lets you define software usability, by keeping information usage limited to main developers & shareholders, while others have access to the parts they need for effective functioning.
7. Reporting - Payment gateway software comes with report generation capabilities. You can generate different types of transaction-based reports, taking different factors into account. It lets you compare & analyse success & failure ratio of transactions, to identify problems & fix them.
8. Centralised Dashboard- A centralised dashboard to manage all payment & transaction related details & features, is also offered by this software. Information access is simpler using this feature.
9. Invoicing Capabilities- Most payment gateway software can auto-generate invoices & bills. It saves you time in creating invoices manually and is a highly cost-effective feature for businesses.

Advantages of Payment Gateway Software

Without a payment gateway software, a business with an online selling component cannot effectively function. More & more customers are migrating towards online payment options and without this software, they cannot do such transactions.

The key advantages of payment gateway software are: -

1. Process International Payments- To have a global reach, online businesses need to be accessible & usable for everyone. With a payment gateway software, businesses can process online transactions made by international customers. This lets them expand their reach & have a viable global presence.
2. Multi-Currency Capability- Payment gateway software supports multiple currencies i.e. you can receive payments made in currencies different from the one you work with. Common currencies such as Rupee, Dollar, Euro, Yen etc are supported while other support for other currencies depends on different products.
3. Completely Secure- Data security is an essential function for safe online payments. Payment gateway software comes with security & encryption tools that ensures online transactions are protected from data leaks or hacks. Payment gateway software comes with PCI DSS compliance and SSL encryption, among others. There are addon fraud protection tools, all of which combined ensures that your website is holding safe transactions with customers.
4. Multiple Payment Methods- Payment gateway software accepts multiple types of cards including MasterCard, Visa, American Express, RuPay and PayPal, among others. Aside from cards, payment options like netbanking, UPI, e-wallets & such, can be processed using a payment gateway software.
5. Dispute Resolution- In case of disputes arising due to transaction problems, you can use the software to identify the issue and come up with solutions. Dispute resolution can be done in real-time, which reduces the customer response time on tickets, emails & calls. Consequently, it improves your customer relations & streamlines the customer grievance resolution processes.
6. Multi-Language Support- The software support multiple languages, so both users & customers can perform different functions in the language they are comfortable with. Most solutions offer the commonly spoken dialects while customisation allows users to add more languages that they need.
7. Mobile Support- You can use the software to design a payment interface that works perfectly on mobile phones. As more and more users move to shopping using mobile phones & tablets, this is an important feature to target such audiences and to allow future customers to make payments seamlessly, using their smartphones.
8. Autofill OTP- Payment gateway software also comes with OTP autofill capability. If users allow the gateway to read SMS messages, it can read incoming OTP and autofill it during the payment checkout process. This saves your customers time & reduces the likelihood of customers abandoning the payment process.
9. EMI Payment Support- Many customers, while purchasing costly goods, opt for an EMI payment option. Payment gateway software solutions supports EMI payment option. It informs the website admins & the issuing bank of the EMI details, so that both parties can process the payment accordingly. After successfully processing an EMI, the software generates an invoice detailing the EMI information.

Types of Payment Gateways and Banks

1. Atom Payment Gateway
2. Ebs Payment Gateway
3. Ccavenue Payment Gateway
4. HDFC Payment Gateway
5. Paypal Payment Gateway
6. SBI Payment Gateway
7. Billdesk Payment Gateway
8. Stripe Payment Gateway
9. Payu Payment Gateway
10. ICICI Payment Gateway
11. Google Payment Gateway
12. 2D Payment Gateway
13. Shopify Payment Gateway
14. E Payment Gateway
15. E-commerce Payment Gateway
16. Visa Payment Gateway
17. Braintree Payment Gateway
18. Cybersource Payment Gateway
19. Global Payment Gateway
20. Mastercard Payment Gateway
21. Migs Payment Gateway
22. Credit Card Payment Gateway

Payment Gateway Software FAQs

Q. What is payment gateway software

A. Payment gateway software is a transaction & payment processing solution with which an online business can safely manage & process payments & transactions from customers. It’s a software which allows customers to perform easy & secure online payments, for successful customer experience.

Q. Where to buy payment gateway solutions?

A.  You can buy a payment gateway solution at Techjockey.com. Just reach out to us by clicking on this link.

Q. Where can I get a list of payment gateway providers?

A. Refer our bestseller section below to find the best payment gateway provider. Additionally, you can click on this link to find payment gateway providers.

Q. How to use payment gateway software?

A. When you purchase a payment gateway software, the vendor will train you in effectively using the software.

Q. What are the different types of payment gateways?

A. There are 4 kinds of payment gateways:

Hosted: It’s an easy to setup gateway which redirects your users outside your website’s checkout page.

Pro/ Self-Hosted: These gateways collect payment details from users at your website & sends them to the gateway.

API/ Non-Hosted: Allows customers to enter their credit card information directly on your checkout page.

Direct Payment Gateway: Supports recurring billing.

Q. What is recurring billing?

A. Recurring billing refers to automated payment for specified goods or services on a prearranged schedule. Merchants have to get the cardholder’s permission one-time up front, and this service continues until the cardholder withdraws permission. Examples include cell phone bills, gym membership fees, and magazine subscriptions.

Q. How much does payment gateway software cost?

A. Pricing differs between different payment gateway solutions. Depending on features and customisations required, pricing will vary product to product and customer to customer.

 How to Get the Best Payment Gateway Software

Any business’s longevity & success is determined through the customer experience. Using a payment gateway software, businesses can improve the customer experience & simplify payment methods. But how to know which solution to choose?

Follow these steps to identify & buy payment gateway software that aligns with your business requirement: -

Understand the Features– Before you buy payment gateway software, it’s of paramount important that you know the various features offered by a payment gateway provider. This knowledge will help you understand how the software will allow your business to grow. Furthermore, you’ll be able to make an informed choice and pick a payment gateway software suited to your requirements.

Check with Your Web Host- Take a look through your website's control panel and check if there are payment gateway options. This will lead to quick implementation of payment gateway services to the website.

Pick Between a Direct or an External Gateway - Direct gateways complete the payment processing within your online store by keeping customers on your site. External gateways redirect customers to a different website to process payment. Pick the type of gateway you wish to implement in your business, for maximum gains.

Check for Security Features- Online transactions are at higher risk of leaks and hacks. Go for a solution that provides security features which allows customers to safely transact on your website. Check for common security measures such as PCI DSS, SSL & such, as well as ask payment gateway provider for add-on security features offered.

Test the Gateway – Payment gateway software providers provide demos and free trials which allow users to check the service & test if it suits business needs. It is important to test the software beforehand, so as not to have unexpected roadblocks.

Top 10 Payment Gateway Service Providers in India

There is a myriad of payment gateway options available so which one’s a business to choose? To help you make that decision, we’ve compiled a list of the best payment gateway software in India: -

1. Airpay Payment Gateway
2. PayUbiz
3. SAFEXPAY AvantGarde
4. Razorpay online gateway