Merchant Account And Secure Payment Gateway

1. Merchant Account And Secure Payment Gateway If you are a new business owner, there are two terms that you must have heard a million times already, and they are merchant accountand payment gateway. If you don’t understand what they mean, you needn’t worry. In this article, we are going to try and explain in brief the meaning of both these terms. Merchant Account As a business owner, you probably already know that in today’s times you cannot only rely on cash transactions. You need to be willing and ready to accept digital payments. This is due to the fact that a majority of people have become over-reliant on cashless payment methods. However, accepting electronic payments isn’t as easy as taking cash payments. To be able to process these payments, you need a merchant account. A merchant account acts as your primary bank account for business transactions. The process of setting up a merchant account is fairly simple too. You simply need to find a service provider, fill an application and wait for it to get approved to start transacting. Payment Gateway In simpler terms, a payment gateway is like a middleman that handles transactions on the customer’s end as well as the merchant’s end. It is an online payment service, which when integrated with e-commerce platforms, devises a way to make and receive payments. When the customer wishes to make a payment, he or she has to fill in some details like card number, expiry date, and CVV. After which, the payment process begins and the merchant gets paid. To be able to collect online payments, it is imperative for a business owner to have a merchant account and he or she will also need a payment gateway. So, if you haven’t begun accepting electronic payments yet, we recommend you get in touch with someone who will explain these terms to you in detail.