freelancer

Payment Gateway for Freelancers

The freelancer business is growing in India, many youngsters are freelancing either part-time or fulltime. In this business there is no fix income scale, thus collecting payment on time from the client is important. A payment gateway will make it easier to collect payments online.

How to choose the best Payment Gateway for Freelancing?

Freelancers in India have the main aim in their mind and that is to get paid on time. A survey conducted by PayPal states that out of every 500 freelancers at least 1 freelancer doesn’t get paid on time.

Some freelancers have also highlighted that they have received payment 2-4 days after invoicing. Expert freelancers have taken measures to tackle this problem by providing offers on early payments and charging fine for late payment.

Following are some problems that are faced by freelancers:

  • Negotiating project prices
  • Payment Collection and payment modes
  • Invoicing

Here’s what you should consider before choosing a payment gateway for Freelancing:

  1. Transaction Fees: Check the per transaction charges for all the payment gateways, compare & analyze and make sure it doesn’t have long term implications.
  2. Security: To know how secure your payment gateway is, read the reviews online on quora or reviewing sites.
  3. Transaction Speed: Check for the total transaction time a payment gateway takes to process the payment. Ideally, it is for 3 days.
  4. International Transaction: If you choosing a payment gateway for freelancing, make sure the payment gateway supports international transactions as you can increase the scope of your business by later on expanding it globally.
  5. Payment Modes: Payment Gateway provides multiple payment options using which your client can send you payment with the desired payment method, thus providing convenient payment.
  6. Transfer Limit: Your client is the one who pays the payment processing fees and not you. So, check the payment gateway with affordable charges as the client will look for the payment mode with fewer charges.

How Digital Payment Guru can help Freelancers?

Digital Payment Guru provides payment gateway integration service of the top payment gateways like PayPal, PayU, Instamojo, Atom and Paytm. If you are confused which payment gateway to choose from, Digital Payment Guru helps you choose the best payment gateway by analyzing your business requirement.

By switching to Digital Payment Guru, you unload your task of choosing the best payment gateway to us.

How we can help?

Following are some of the features that can help you collect online payment:

  • Payment links: The most simple way to accept payments online is by creating a payment link. There is no rocket science in creating a payment link. You just have to click on create payment link in your payment gateway dashboard and set the amount for payment link, now you can share this payment link on multiple platforms like social media, mail, and messages and more.

Related Post: Everything you need to know about payment links.

  • Request bulk payments: Using the payment gateway dashboard you can send multiple payment requests to your client in one click and your client will receive a payment link by clicking on which they can make payment with multiple payment modes.
  • Faster Payout: As mentioned earlier, online payment requires a certain time to reflect on your bank account. Using Instant payouts you will receive payment from a client on time as well as the amount will be reflected in your bank account the same day.
  • Invoice Generator: Get the invoice for all the payments you receive from your clients. This can help you track and manage your payments in the future.

Payment Gateway for freelancers facilitated a clear communication between you and your client, Digital Payment Guru just acts as Payment Gateway provider who integrates a payment gateway into your system (website) and rest is on you, you have to use the dashboard to handle your payments. A payment gateway automates your payment collection process so that you can focus more on your business.

 

online payment without website

Accept Online Payment without Website.

Digital India initiative aims to bring digital empowerment to India. This transition can make India a knowledgeable economy. With the Digital India initiative, Small and Medium Enterprises have seen a higher growth rate over the last decade.

India currently has 48 million SME’s, yet there are a handful of small businesses having a website for their business despite the growth in technology. No matter how small your business is, having a website is very beneficial when it comes to modern-day marketing and exposure.

The need for Website & the cost

For Small and Medium enterprises, mentioning their service or products online on their website to reach more customers is more important than a payment gateway solution.

  1. Professionalism: Having a website creates a healthy impression on people and helps you to establish your brand as a professional service. Without a website, people will not be able to recognize your products or services because it cannot be found online.
  2. Increase Customer Reach: Number of people shopping online has grown over the years. From electronic devices to food and services, people prefer buying everything online because of the convenience and ease. As the website can be accessed from anywhere and anytime, make your business available 24/7. Since more customers are available online, your business reach will increase allowing your business to grow globally.
  3. Cost-Effective: Your website remains active throughout the time which means your website is marketing your products and services when you cannot directly.

On the other hand, for micro to small businesses managing and maintaining a website can burn holes in the pocket. Also, their business plan and financial budget will be affected before they start to run the business.

Also, with a website, there is a need for payment gateway integration into your website to start accepting payments from your customers online. 

We at Digital Payment Guru understand the problem and come up with the payment gateway solution at best rates. We aim to help micro-businesses to grow with having a website.

How Digital Payment Guru can help?

top payment gateways

We have a wide range of Payment Gateways using which you can start accepting online payments with a need of having a website. Below mentioned are some of the products provided by our payment gateway:

  1. Web Store: You can crate products like the subscription model, event tickets, electronic products and more with an integrated payment gateway eliminating the need to create an maintain your website. You can share your website link with your customers or on social media.
  2. Payment Links: Payment links are smart online payment solutions for businesses having no website. You can create a payment link easily and share the link through multiple platforms like social media, messages or emails and more. There are two types of payment links:
  • Pay: It allows the customer to enter the amount and personal details to make the payment. The customer can make payment with multiple payment modes and the amount will be credited into your account instantly.
  • Pay: It allows you to create a payment link with a fixed amount and share it with the customer on different platforms like social media, chat, emails and more. Customers can make payment with multiple payment modes and the amount will be credited into your account instantly.
  1. Bulk Payment Link:  This is the payment link which can be shared across the customer base wherein you have to select the customer base and the link will be shared to all the customer present in the customer base at once. It avoids the hassle of sending the payment link to individual customers. Once the link is shared the customers will be directed to the payment gateway page to complete the payment and the amount will be credited into your account instantly.

Digital Payment Guru eliminates the need of having a website and provides a cost-effective online payment solution for MSME intending to help them grow.

 

benefits of payment gateway

Payment Gateway features you can use to grow your business.

If you are running a business and think of growing it, payment gateway is something you should definitely think of. Payment Gateway Integration is very much beneficial for businesses now a days as it has certain features than can help you grow your business. In this blog lets discuss about these features and how it can benefit you.

  1. Recurring Payments: recurring paymentsThe most hectic task for any business is to collect repeated payments. Recurring Payments feature helps you manage repeated payments easily. You can ask your customers to subscripe to recurring payments. Once setup, you don’t need to send payment reminders to your customers, the amount will be deducted from customers account on fixed date every month and transfers to your account automatically.

Related Post: Everything you need to know about Recurring Payment.

  1. International Payments: international paymentsIf you plan to expand your business globally, Payment Gateway can help you collect payments from around the globe. Expanding business globally can help you increase your business reach and generate more revenue. Payment Gateway provides multi currency support as customers would want to come back if they can make payment in thier own currencies. 
  2. Same Day Settlements:same day payment Small Businesses rely on daily sales to manage their cash flow and plan out things accordingly. As merchant have to wait for the amount to be reflected into thier bank account from the merchant account it becomes difficult for them to manage the cash flow. Same day settlement feature helps you get the money into your bank account on the same day when the customer makes payment. Thus having a payment gateway can help you manage your cash flow and plan out things accordingly.
  3. Payouts: If you are running a business at times it can happen that you might get very much busy with work and forget to release the payments to different account and by the time you realise bank hours are over and all that you can do is wait for the next day to make the payouts. With Payouts feature you can not only send bulk payment to different accounts using various online payment options but also track the payment and download the transaction reports at same time. This can help you manage payments and grow your business.
  4. Update bank account yourself: If you ever wish to change the bank account, there is no need for you to worry about upload the documents again or calling the customer care, you can simply update it by loging into your payment gateway account and updating the bank details and you are good to go.
  5. Customer Service: customer serviceCustomer Service plays a vital role in online payment cycle. It assists your customer if at all they are stuck in between of payment process or have any queries related to payments. Customer service can also help you in customer retaintion.

Related Post: How to start Online Business.

With the Integration of Payment Gateway into your website you can automate your payment procedure and increase your business reach which can help you growing your business.

Digital Payment Guru provides payment gateway integration service of top payment gateways like PayPal, Paytm, PayU, Instamojo & Atom at best market rates. If you are confused about which payment gateway to choose from, we can help you choose the best payment gateway for your business by analyzing your business requirements.

 

recurring payment

Everything you need to know about Recurring Payments

If you are offering a product or a service for which you want to charge your customers on a repeated basis, recurring payments is something you should opt for. It is a convenient option that your customers do not have to remember to pay for your products or services. Using recurring payments allows you to sell your products and services automatically. Checkouts are optimized to make it easier to predict the cash flow.

What are Recurring Payments?

Recurring payments are the repeated payments, you are charged automatically for the products or services you are subscribed to and charged on a fixed interval. It can be for a specific period of time depending on the business model. The whole process is initiated by card authorization in the following steps:

  1. The recurring payment option is selected by the customer on your website.
  2. Now they need to accept terms and conditions for authorization.
  3. Once authorized they need to provide their card details and confirm the payment, now the customer will be charged on fixed intervals until they choose to cancel the subscription.

recurring payment

For Example, You have subscribed to a broadband connection on a monthly basis, you renew broadband service every month, instead of doing that you can choose recurring payments option on their website. Now the amount will be automatically deducted from your account every month and your subscription will be renewed automatically.

Related Post: Recurring Payment via UPI or Credit cards?

Advantages of Recurring Payments for Merchants:

  • Monitor Cash Flow: Merchant can monitor the average cash flow that is being credited into his account which can help him build a strategy for the future.
  • Fewer Missed Payment: As the payments from customers will be automated, the merchant does not have the hassle of sending payment reminders to his customers thus saving time and money.
  • Reduced Processing fees: As the recurring payments are done online, the extra cost required for a cheque payments will be avoided.
  • High Customer Retention: If the customer wants to stop the recurring payments they need to cancel the subscription which is most likely not going to happen.

 Related Post: What makes e-commerce payment secure?

Advantages of Recurring Payments for Customers:

  • Avoid Late Fees: Many businesses charge a penalty for late fees which can be avoided using recurring payments as the amount is automatically debited after a fixed interval without having to remember. They are most beneficial for those who travel a lot and do not have time for renewals.
  • User Convenience: Once the customer has opted for recurring payments, they do not need to log in again to make a payment, the payments will be done automatically after the fixed interval for the products or services.
  • Manageable Spending: If a customer wants to buy an expensive product and he doesn’t have enough balance in his bank account, he can split the amount into multiple billing cycles with recurring payments.
  • Quick Payments: Use of a cheque payment is time-consuming as it takes some days for the amount to reflect into merchant’s account at the same time you have to stand in the queue for making a cheque payment. Whereas recurring payments are online payments and the amount is reflected immediately into the merchant account at the same time automation is what makes recurring the more preferable option than a cheque payment.
  • Environmental Saving: Recurring payments are digital payments and are an alternative for paper-based payments like a cheque. Recurring payments have no paper billing, everything is digital in recurring payments thus saving the environment.

 

For a recurring payment, the subscription model works the best for large merchants with multiple products. Recurring payments are game-changers, you need to rethink as to what works the best for your customers.

Digital Payment Guru provides payment gateway integration service of top payment gateways like PayPal, Paytm, PayU, Instamojo & Atom at best market rates. If you are confused about which payment gateway to choose from, we can help you choose the best payment gateway for your business by analyzing your business requirements.

 

 

evolution of payment system

Payment System- Then & Now.

Money is simply a medium of exchange as well as a store of value. when it comes to know how the payment system changed its face from past to present I would like to share some important points which need to be noticed.

BARTER SYSTEM

In the beginning, people bartered. Bartering is the exchange of a good or service for another good or service. For example, any milkman wants grains he can exchange his milk with a farmer for grain. However, what if you couldn’t agree what something was worth in exchange or you didn’t want what the other person had? Humans developed the concept of commodity money as a solution to their problem.  The commodity is a particular thing used by almost everyone. Ancient time items such as grains, tea, tobacco, cattle, and seeds were commodities and therefore were once used as money. However, using commodities as money had other problems. Carrying things in day to day manner was hard and commodities were difficult to store or were perishable.

Related Post: What is Online Payment Processing?

DISCOVERY OF COINS

Cowrie shells were used as money in the Pacific in1200 B.C. In China and some parts of Africa but other countries, animal skins were valuable things. China started to use metal in their money in1000 B.C. They made metallic cowries using bronze and copper. Coins used mostly in 500 B.C. in Lydian’s, coins were made using a mixture of gold and silver. & at the back, it stamped, and with precious metals as core material, the coin had significant value.

Evolution of payment system

CHINA DISCOVERS PAPER MONEY

Paper money started to appear in China near about 806 A.D because of shortages in copper. During the 1600s, banknotes started in England. Money was exchanged with gold. Gold became the importance of value in England In the year of 1816. In 1661 Swedish Stockholm Bank was the first bank in Europe to issued printed money.

EUROPEANS & BANKNOTES

Till 16th century Europeans were using coins, helped along by acquisitions of precious metals from colonies to keep minting more and more cash. Eventually, the banks started using bank notes for depositors and borrowers to carry around instead of coins. These notes could be exchanged in a bank at any time to change their face values in silver or gold coins. Paper money was mostly used to buy goods and operated as the main currency nowadays but it was issued by banks and private institutions, not the government is now responsible for issuing currency in maximum countries.

European governments issued the first paper currency by colonial governments in North America. Europe and the colonies carried Shipments business so long, the colonists often ran out of cash as operations expanded., the colonial governments used IOU’s that traded as a currency except for the barter system The first introduction of that was in Canada, then a French colony. Soldiers have issued playing cards denominated and signed by the governor to use as cash instead of coins from France near about 1685.

Related Post: How to start an Online Business?

THE WORLD DECIDES TO GO CASHLESS

In 1933 U.S. The gold standard and completely stopped as a link between the dollar and gold in 1971, now USD value is not linked to any specific asset. In other words, the U.S. dollar can’t be considered real money. From then, paper money used as a standard form of money, and in the 1960s, the first version of credit cards began to emerge. Developing nations are still learning in credit card usage.  It remains prevalent today and many countries especially Developed nations, on the other hand, are moving towards digital wallets and other digital payment platforms in their quest for a cashless that’s why coins or notes are convertible into precious metal, money of these forms is the check that, for simplicity of use and security offered, is being adopted by an increasing most of the people in their daily  activities. With the support of this document which one can orders payment of a certain amount to its bearer or a person mentioned in it, aims mainly at transactions with bank deposits. One of these forms is the Cheque that, for simple use and security offered, is being adopted by a large number of people in their daily lives. Money became more dematerialized and assumed abstract forms.

INTERNET & MONEY

In the second part of the twentieth century, computer technology allowed money to be represented digitally. In the United States, all money transferred between its central bank and commercial banks was electronically near about 1990. In the year 2000, most money existed as Digital currency in bank databases. In 2012, by several transactions, 20 to 58percent of transactions were electronic dependent on country. Non-national digital currencies were developed in the early

PAYMENT GATEWAY

payment gateway

In the 21st century to two new forms of currency came into use. Mobile payments and virtual currency. Mobile pay is money rendered for a product or service through a portable electronic device such as a cell phone, smartphone or tablet. Now a day’s Mobile payment technology is used to send money to friends or family members. A new technology of online payment arrives.  It enables a merchant to collect money from the customer. It verifies the information provided by the user and the payment method and then authorizes the transaction. Payment Gateway Integration manages your market place, automate money transfer, collect frequent payments all from a single platform. It Accepts all payment method-Credit card, Debit card, Net Banking, UPI and more. We offer the best payment gateway tools PayPal, Paytm, Instamojo, Atom payment solutions, PayU. Payment Getaway Manage your market place, automate money transfer, collect frequent payments all from a single platform. It Accepts all payment method-Credit card, Debit card, Net Banking, UPI and more. We can help you choose the best payment gateway for your business by analyzing your business requirements.

With the evolution of payment, the security measures also needs to evolve. Today, companies have adapted several security measures to provide secure and better payment experience to their customers to avoid risk of online fraud. Digital Payment Guru is one of them who provide top payment gateways that are PCI-DSS compliant and at best market rate.

secure payment

What makes E-Commerce Payments Secure?

The e-commerce market in India is so popular these days that everyone buying products on e-commerce websites is very much aware of what payment gateway is. An E-commerce payment gateway is basically the platform that handles the transaction from the user to an e-commerce website. Payment Gateways provides multiple payment modes for the customers so that they can make payment through a mode that is convenient for them like credit/debit card, Net Banking, UPI and more.  Because of the increased purchase using a payment gateway, it becomes mandatory for the payment gateways to be to carry out certain security measures. Without a secure payment gateway, E-Commerce cannot sell their products online and the customer cannot proceed to the payment gateway to make the purchase.

Fraud Concern: Till date people still find it trustworthy to buy products from a local shop than buying it from an e-commerce website. The chances of becoming a victim of fraud are very much less compared to that of buying online. The common fear that customers have with online shopping is, paying for the product online and not receiving it or risking personal card details to an e-commerce site.

To avoid all such fraudulent activities, an e-commerce business spends a huge sum to maintain a secure payment system for the customers to make a transaction for purchasing products.

Related Post: What is Online Payment Fraud and How to Prevent it?

Following are some security practices adopted by the payment gateway providers:

  • Data Encryption: Data encryption is an essential security measure. When you enter your data, it is encrypted with a public key that can only be decrypted with the payment gateway’s private key. If this sound tough to understand, refer this example: When you are buying a product from an e-commerce website when you are directed to a payment page and you add your details for making the payment, your details are saved with the website to speed up the payment process for next time, but only you can view your details and no one else. This is called encryption. Also, the payment gateway providers will not be able to see your details in the backend as it appears decipherable to them, this is known as decryption. Even in an attempt of hacking the still will appear decipherable to the hacker thus securing your credentials.
  • Security Socket Layer (SSL):SSL certificate When it comes to online business, an essential component is a secure payment gateway which creates a trustworthy environment for your potential customers. SSL builds up trust by achieving a secure connection. SSL is a standard security technology that helps in achieving an encryption link between a server and client. In simple terms, you enter your information on the browser and the information is taken to the server, this is done by SSL. SSL is also used to authenticate the visitor that visits a website and also protecting the sensitive information like card details of your customers. All the major e-commerce websites use SSL making them secure for customers to make an online purchase. The same cannot be guaranteed for the websites without SSL. So it is not recommended to make online payments from such websites to avoid any online fraud. Websites with SSL can be easily identified, check for ‘https’ before the website address.
  • Tokenization: Tokenization is the process of replacing sensitive information like card details or passwords with the non-sensitive information also known as a token. A token is an identity that maps sensitive data through a tokenization system. For example, sensitive data can be replaced with random numbers. When a token replaces a live data in the system it prevents sensitive data to be accessed by unauthorized users thus reducing the risk of accidental exposure. The sensitive information like Credit/Debit card details is replaced by a token. It secures the details of customers in the server and provider them with a unique token that can be used for one-click payment when they revisit the website for purchasing any product.

All of these are the security measure that payment gateways have adopted to ensure safe online transactions. If you are looking for payment gateway solutions for your e-commerce website visit Digital Payment Guru for top payment gateways at best market rates.

payment gateway integration

How to integrate a Payment Gateway?

If you are running an e-commerce platform or just having an online presence, you need to have something using which your customers can make a payment online. To enable a seamless and convenient payment option which is also secure at the same time, payment gateway is something that you will definitely need to enable your website to accept payments online. While choosing a payment gateway you have to check if the payment gateway supports all your business requirements. It has to be compatible with your existing platform, it should provide multiple payment options, and mainly it should be protected from fraud.

What is a Payment gateway?

Well, payment gateway services are the only way in which you can accept payments through a website or mobile application. They act as a bridge between the transaction that the customer wants to make and the payment processor. The app cannot directly connect to payment processors for security reasons thus payment gateways are required.

The payment gateway can handle the following types of transactions:

Authorization: It is the type of transaction wherein it is checked whether the user has enough amount in his bank account to make the payment for the desired product or service. If he has the amount then the order is placed. Such type of transaction is used for the orders that take time to ship.

Capture: Capture is the actual processing of the funds to the merchants account after the authorization transaction.

Sale: Sale transactions are a combination of Authorization and Capture transactions wherein users card details are first authorized to check if there are enough funds in users account to make payment for the product. After authorization, the funds may or may not get captured. It is used for immediate purchases like subscriptions and e-tickets.

Refunds: The mode of transaction in which order is canceled and the merchant has to process the refund to the user.

Void: It is similar to a refund but can be initiated only when the funds are not captured.

Related Post: Why does your refund take time?

How to integrate a payment gateway?

payment gateway integration

There are several methods for the integration of payment gateway into your website.

  • Hosted Gateway: Hosted method is a third party integration method and the customers require to leave the current web page and are directed to the payment page to complete the payment. Here the payment processing is taken care of by a service provider, also the card details of the client are saved by the vendor thus this method does not require PCI DSS and provides easy integration. Also, the drawback of such a payment gateway is that the customers may not trust the third party payment system and directing them to a different page will lower your conversion rate creating a negative impact on your brand. Such a payment gateway is suitable for small to medium businesses.

How to integrate: The guidelines are available on the vendor’s website. A javascript code is available on their website which needs to be integrated into your website, after integration it places a button on your website by clicking on which it activates vendors API to manage the transaction.

  • Non-Hosted Method: Non-Hosted methods allow customers to make payments without having to leave the current page. This method allows the integration of payment gateway through APIs. The benefits of having an integrated payment gateway are that you have full control over the transaction unlike hosted integration method and also provides easy customization of payment gateway to compliment your website. The drawback is the maintenance of the payment gateway infrastructure, also before integration of a non-hosted payment gateway you need to be PCI compliant as all the clients’ card details will be stored on your own server and it becomes quite tricky if you opt for any customization. This payment gateway is suitable for medium to high business that relies on branding and user experience.

How to integrate: Non-Hosted payment gateway integration is done via API into your website. Also, a technical team is required for the integration of payment gateway. Most non-hosted payment gateway providers have a well-documented guide readily available.

Related Post: How is a payment gateway beneficial for B2B companies?

  • Direct Post Method: Direct post method allows the customers to make the payment without leaving the current web page. Also, you do not need to obtain PCI compliance. It assumes that the details of the transaction are directly sent to the payment gateway after the customer clicks on the payment button. The data is transferred to the gateway and processor without being saved on your own server. The benefits of direct post methods are similar to that of non-hosted payment gateway like the customization option but without having to be PCI compliant and the user make payments without getting directed to any other page. The drawback is that is it not completely secure. These payment gateways are suitable for all types of businesses.

How to Integrate: The payment gateway service providers may set a connection between the payment gateway and shopping cart to transfer the user’s credentials.

 

payment gateway charges

How does Payment Gateway charge?

If you are having an online business or planning to start an online business, payment gateway is something which you will definitely need for accepting online payments. But when it comes to the payment gateway or any service integration, one question that comes in our mind is ‘What are the FEES?’.

Well, no service comes for free nor does payment gateway, so how do they actually charge?

When you choose a payment gateway service provider from payment processor likes Paypal or Paytm, the payment gateway is provided free of cost, which means that the code for payment gateway is provided for free and the code needs to be blended into your website. These payment gateway processors do not provide integration service, you need to get the payment gateway blended into your website with the help of your website developer.

Usually, Payment Gateway has its own set of fees,

  • Setup Fee: It is a one-time fee charged by the provider for setting up the payment gateway account and integrating the payment gateway with your website.
  • Annual Fees: The payment gateway can charge you annually for the plugins, features, and support that it offers.
  • Transaction cost: The payment gateway can charge you for every transaction that your customer makes. The charges are a certain percentage of every transaction plus a fixed amount.

Some payment processors do provide integration service at a cost, If you are looking for payment gateway, You must have come across a term “One time setup cost” which in simple words means payment gateway integration charge, wherein the payment processor not just provides you with payment gateway but also blends it with your websites making it ready for payment acceptance.

Related Post: How is Payment Gateway different from Payment Aggregator?

If it is for free then how does payment gateway providers get paid?

So once the payment gateway integration into your website is completed and your website is ready to accept online payment, this is when the payment gateway providers start getting paid. Payment gateway charges you a certain percentage (1.5%-3.5%)  on every transaction that your customer makes. The charges differ for a mode of payment like Debit/Credit card, UPI or NetBanking and more. Following are some charges from reputed payment gateways.

 

PayPal – 2.5%* + Fixed fee (INR 3)

Paytm-  1.75% + GST

Instamojo-  2% + Rs 3 fixed

PayU-  2% + GST

 

How is Digital Payment Guru different from others?

Digital Payment Guru is payment Gateway integrator providing integration service for different types of business that want to start accepting payments online. What makes

Discounted  Rates:

Digital payment guru provides the payment gateway service at cheapest rates compared to that available in the market.

Variety of Payment Gateway:

 Find different payment gateways at one place, compare the rates and select the one that suits your business.

Customized Payment Gateways:

We provide customized payment gateway which can be tailored according to your website and need.

Consultation:

 Our team of experts having years of experience with payment gateway integration can help you choose the best payment gateway which is suitable for your business.

Integration service:

Unlike other payment gateway service providers, Digital payment guru offers the integration service at the best rates which is a one-time cost with customer support.

Website Audit:

We conduct an entire website audit for you to ensure that the payment gateway works properly and also to find any errors in existing functionalities which can be resolved.

payment aggregators

How is Payment Gateway different from Payment Aggregators?

Are you running an online business or planning to start one? You should have financial solutions for your online business to accept payments for the services or goods you will provide. The payment gateway is definitely something you will need, Meanwhile many merchants prefer payment aggregators because they provide a wide range of services and is beneficial in context to fees charged for those services.

What is a Payment Gateway?

Payment Gateway is online software which makes handles online payments with multiple payment modes like Credit/Debit card, Netbanking and more, It acts as an intermediate between a customer and merchant, the customer makes payments for certain goods offered by the merchant through the payment gateway.

Related Post: Points to consider for payment gateway integration in Mobile Application.

What is Payment Aggregators?

Payment Aggregators are basically service provider which allows the merchant to accept payments through multiple modes likes credit/debit cards, Netbanking and more without having a need for a merchant account. The term ‘aggregators’ denotes merchants are grouped together to opt for a merchant account which is controlled by a payment system on behalf of them, whereas a merchant account, on the other hand, is owned and controlled by the merchant themselves. In other words, Payment Aggregators allows the merchant to collects the amount without setting up a merchant account that is connected with a bank.

How Payment Gateway and Payment Aggregator work together?

It a misconception that payment gateway is the alone involved in an online transaction, Payment gateway handles only the data involved in the transaction and there are banks that work behind the scenes to issue merchant account. There can be too many merchants applying for a merchant account and willing to process payments. In such a situation, the bank has to handle both the underwriting process as well as the transaction of multiple merchants which becomes difficult. This is when a payment aggregator is needed; Payment Aggregators goes through the underwriting process with acquiring bank and processes payments for many merchants. Well, Payment Aggregator can offer a Payment Gateway but Payment Gateway cannot offer Payment Aggregator. PayU, Instamojo are some of the payment gateway aggregators that provide payment gateway services to the different merchant at a specific rate. Payment gateway service provider charges fees to the customer on behalf of the merchant and then transfers the money to the merchant account within a stipulated time period according to the payment aggregators, normally it is 3 days.

Payment Gateway vs. Payment Aggregators

Payment Gateway and Payment Aggregators both are different but interlinked, which means, payment aggregators need not act as a payment gateway but payment gateway does need aggregators.

  • Payment Options: Payment gateway in India allows the merchant to accept the payment through available options that are integrated into the portal, whereas Payment Aggregators allows the merchant to collect payment with multiple options like bank transfer, e-wallet, and latest is UPI.
  • Small Business: Payment gateways use Payment aggregators when it comes to small business because small business finds the transaction fees charges by single payment gateway high and aggregators are beneficial in context to cost for services.

Related Post: Technology trends impacting small businesses.

  • Intermediates & Interface: Payment gateway acts as an intermediate between customer and merchant, the customer makes payment through a payment gateway for the certain goods/services provided by the merchant. Aggregators act as an interface for the intermediates(Payment gateway) to accept payments and make settlements.
  • Ownership: Payment gateways are owned by Payment Aggregators who cater payment processing for online businesses.
  • License: Payment aggregators require payment aggregator license and security certificate like PCI DSS from Payment card industry. Payment Gateway requires RBI authorization for setting up a business.

How are Payment Gateway and Payment Aggregator beneficial for Small Business?

Payment Aggregators are preferred by the small business as they are cost-effective for microtransactions, payment gateway integration becomes easy for small businesses when catered by aggregators. Payment Aggregators tends to become a payment processing platform for small businesses because of their minimal or no startup cost and fixed rates.

Benefits of Payment Aggregator over Payment Gateway.

  • Ease of Application: Applying for a merchant account is a time consuming process which involves lengthy application and underwriting process, it includes a credit check, PCI compliance check and also close inspection of your business model. Whereas with Payment Aggregators there is a minimal requirement and compliance checks.
  • Faster Approvals: For Payment Aggregators, approvals takes few days making it suitable for a small business where time is a constraint.
  • Get paid instantly: Once the application processing is done, the merchant can start accepting payments through multiple payment modes like Credit/Debit card, Netbanking and more.
  • Simple Fee structure: Payment Aggregators are beneficial for small businesses making microtransactions as the cost per transaction is minimal with aggregators. So it is easier for the merchant to shell out for processing fees.

Why your Refunds take time?

If you shop online then you might have faced the following situations,

  1. You return an item and the money was promised to be credited within 5-10 working days.
  2. The amount is debited from your account but the order is not placed.

You expect the refund to be reflected into your account immediately, then why does it take so long?

Well, this blogs explains what exactly happens behind the scenes and what you should be doing as a customer to get your refund. The two cases mentioned above are the instances when a refund request is created. Let’s discuss these instances one by one.

1. Customer raises refund request to online business for returned goods.

Payment gateway integration

Customer purchases certain goods online which he/she then returns for some reason like poor quality of goods. Customer raises a refund.

What happens next is a return request is made by online business via their payment gateway. The payment gateway then transfers the information to the acquired bank via API. The acquiring bank (bank associated with the online business ) communicates with the issuing bank (bank associated with the customer with which payment was made) and raise refund request. Further, the request is accepted, filed and processed by the issuing bank and after the process is completed the refund is reflected into customers account.

Though the process seems simple on paper, it is a complicated process as the information exchange takes place between 4-5 different parties and there are many such refund requests raised, thus it takes 5-10 days for the return to reflect into customers account. Sometimes it can take more than 10 days if the return request get dropped due to System/Network failure and the request needs to be initiated again.

2. The amount is debited from account but the order is not placed.

The customer makes an online payment for certain goods and services, he successfully checks out making the payment through a payment gateway for desired goods and services. But the order is not placed and the amount is debited from customers account. The customer claims for the refund.

How does the payment process work?

payment process flow

There are several steps and parties involved in the entire online payment process,

  1. A website from where the customer makes payment.
  2. Payment Gateway using which customer will make payment.
  3. Acquire a bank (bank associated with online businesses).
  4. Issuing bank( Bank associated with the customer).

While proceeding with the payment you need to choose the payment mode like Credit/Debit card and fill in the details.

Once you finish filling up the details the data is sent to payment gateway system which then transfers the data to a bank associated with a card. Bank creates request with payment system like visa or master card depending on the card used. These payment systems check if the customer has required amount on balance to pay for the purchase, if yes the bank directly connects with the merchant and the amount is transferred to merchants account within several days.

Related Post: Points to consider for Payment Gateway Integration in Mobile application

 

Impact of failed payment:

Two-factor verification is the most relevant step when it comes to payment processing. After two-factor verification is completed a payment request is made to issuing bank which debits the required amount from customers account. Issuing bank confirms the status of payment to the acquiring bank. The customer then receives the notification regarding the payment via a payment gateway.

Why Does Payment processing fail?

Payment process can fail at any step during its communication from one party to another,

Failure of payment can occur due to network or system failure as the customer should be connected to the internet until the entire transaction is completed.

There are almost 4 parties involved in the complete transaction process. Payment can fail during the communication of issuing bank with acquiring a bank or can fail during communication of payment gateway with the acquiring bank. There are several infrastructures on which online payment system work most of which are not that optimized to handle such issues.

Role of Payment Gateway in the refund process.

Payment gateway’s role is to check for the status of payment with the acquiring bank, payment gateway’s job doesn’t stop if the payment status with the acquiring bank is ‘failed’. When this happens, payment gateway keeps polling the acquired bank for the payment status that is updated as ‘Failed’ has changed to ‘Successful’. If the status is changed then the online business where the transaction was done is informed and is given two options,

  1. To collect the payment and deliver the goods/services for which the payment is made.
  2. Not to collect the payment as it is no longer in the position to serve the customer for any reason like goods for which the payment was made are no longer available. In this case, the amount will be refunded to the customer within 5-10 business days.

Do not worry about the failed payments and refunds, the amount deducted will always reflect back to the mode of payment selected while making payments. If the payment is made using digital wallet then the amount will be refunded to a digital wallet and not the bank account.

So shop online and stop worrying about failed payments as you have knowledge about what happens behind the scenes!