Online Payments

What is E-Commerce?

Nowadays, more & more websites offer their customers the opportunity to order products or services & make payments online using a credit or debit card. This is often referred to as “E-Commerce”.

What Do I need in order to be able to accept online payments?

If you want to accept online payments you will need:

  • An E-Commerce capable website
  • A payment gateway service

These are described in more detail below:

E-Commerce Website

Whereas before this meant getting an expensive E-Commerce website built with shopping cart & checkout features, these types of website are now available at a much lower cost. In fact, there are several types of auto installing E-Commerce websites which can be quickly set up even by beginners. Examples of these are Pickaweb´s Website Builder [Insert Link], OSCommerce & Zen Cart. These are all free to activate with Pickaweb´s Hosting Services.

Payment Gateway Service

The final element required to set up a payment gateway is a service that will automate the payment transaction between the shopper (i.e. your customer) and the merchant (i.e. you). A payment gateway consists of a secure payment link protected by SSL (Secure Sockets Layer). This is basically the secure “padlock” that protects buyers sensitive data when making a purchase through your website.

When you set up a Payment Gateway Service you will need to provide your bank details so that payments received by your customers can be remitted to your bank account. In some cases the Payment Gateway Company may require you to set up a Merchant account with your bank. The Payment Gateway will act like the Point of Sale terminal that you will be familiar with in a physical shop. Their system will accept the card details from the shopper, perform authentication checks & process the payment before sending the payment to your Merchant account with your bank.

Some banks do provide a web interface to process the card payments over the internet but most retailers will use a Payment Gateway Service from a 3rd party (see options below).

How much will I be charged?

Each Payment Gateway Service will have their own charging schedule. It is usually based on a percentage of the payment or a fixed fee per transaction. If you need a Merchant Account too then you may be charged by your bank too. There will usually be a funds transamission fee. Some Payment Gateway Services will also charge a set up fee & an annual fee to use the servcie so you need to take these costs into consideration.

When Will I be paid?

Payment depends on the Payment Gateway Service that you choose so you should consider this when comparing the options. Some companies will pay immediately but others may delay payment for several weeks. Please check with each company for full details.

Which Payment Gatway Services do your recommend?