5 Factors to Consider when Selecting Online Payment Gateway Vendor

A payment gateway plays a vital role in the growth and success of an e-commerce business. Like a Point of Sale (POS) terminal at a retail store, a payment gateway is a system that facilitates transactions or bill payments at an online store. Customers enter their credit card or debit card details and this sensitive financial information is securely passed from the customer to the merchant and then between the merchant and the bank. A payment gateway either declines or approves a transaction.

Besides getting a robust and secure payment gateway, an online supplier also needs a dedicated or an aggregated merchant account. This account held funds during online credit card processing, before getting it deposited in the supplier’s bank account.

With a wide variety of online payment processing options and a number of Business Payment Solutions service providers, selecting a suitable vendor is crucial to e-commerce success. When it comes to getting customized payment solution from a reputed supplier then you should consider following factors to get the maximum returns on your investment:-

1.      Scale of monthly transactions

The first and most important thing to consider is to assess the scale of your transactions, evaluate a wide array of payment gateways and then select the one that suits your business requirements.

You should consider the payment preferences of your target customers and select payment gateway that provides the maximum flexibility, security and convenience to your clients. Besides making payment from debit and credit cards, many e-payment solutions are getting popular as PayPal and electronic wallets.

2.      Requirement of international payment option

When you are looking for a payment gateway supplier then you should check whether your vendor provides the payment gateway that provides international payment options or facilitates your customers to make payments in their preferred currencies.

You should also find out whether your vendor charges additional fees for facilitating multi-currency payments and whether you need to set up a dedicated merchant account in a specific country.

3.       Cost considerations

Before finalizing suitable online credit card payment solution vendor, you need to check out the total cost to be incurred in installing and management of the payment gateway. Some suppliers charge an initial set up cost as well as a small percentage of cost of each transaction.  Others may charge a flat transaction fee along with the initial set up cost and a fee to provide technical support services.

4.      Provide desired user experience

You should select a Business Payment Solutions service provider that has a proven record of accomplishment and provides payment gateway that is reliable, scalable and performs well in all conditions. As your payment gateway is your online cash register, hence it should be available round the clock irrespective of the peak or low seasons and high traffic periods. 

5.      Required level of Security and support

With any online payment processing system, it is vital to ensure that the payment gateway provides the highest level of security that needs to be guaranteed from the vendor side. Getting 24*7 technical support and a foolproof payment gateway is essential for your eCommerce business success.