What is a payment gateway? And risk factors of online merchant accounts.
An Internet payment gateway is crucial for any online merchant account to facilitate the sale of capital and accepting payment for the same. This is called eCommerce. This process is like any sale made in a shop where a person buys a product and passes his card to make the payment.
The payment Gateway has made money transaction very simple, the customer does not have to make any tangible transaction but simply enter the card data in a secure online form. This data include the card number, name of the holder and the CVV number on the backside of the card. Payment gets debited from the card in few days and is credited to the bank account.
From a security point of view, the online payment gateways are quite safe, but the customer must be sure that he or she uses a site known. One could confirm of the security by looking at the URL starting after ‘https’. This is a beginning, but not a guarantee to prevent the site using your banking information for illicit purposes.
The Risk factor:
Online security has grown significantly over the past ten years. Online solutions took the best advantage of this technology promotion allowing many companies online to take advantage of the convenience of accepting payments online and delivering the goods to their customers without achieving them.
However, as a coin has two sides, online transaction has its own pros and cons. as Internet has made things simple; it has also given the “cyber-criminal” an opportunity to access our account illegally. “Cyber-Criminals” are experts in the field of software development who prefer to lend their expertise and knowledge to hacking or intrusion into businesses line and on-line processing payments to rob and loot.
Online credit card fraud is nothing new for online transactions. The answer to prevent online fraud is to use a reliable service which has proven expertise in online solutions. They should have perfect skills in the development of SSL technology which means “Secure Socket Layer” technology. SSL encrypts data transmitted over the net and is almost impossible to decipher. This reduces online fraud. If you have a reliable developer to create your software for you, you can make your plans to set up an online merchant account and cash in many processes, your competitors are taking advantage right now.