Credit Card Processing for Your Ecommerce Site

The Internet age has seen the advent of ecommerce. Trade has moved from physical marketplaces and stores to our computers and mobile phones. We have all heard of eBay and Amazon, for example. These are among the many ecommerce platforms operating globally, and their market share is a reflection of the future of ecommerce. With a few clicks you can purchase or sell an item on the internet and delivery quickly follows. There is almost no limit to what you can buy or sell on the internet. Nonetheless, the development of ecommerce has forced innovation of new payment methods to secure each transaction and protect both the buyer and the seller. Credit cards are the most common payment method used for ecommerce transactions. They minimize risk, maximize convenience and ensure security. Here is how credit card processing is handled for ecommerce.

The Payment Gateway

The function of a payment gateway is to be the bridge of communication back and forth between your website and the traditional banking network. The following steps form the backbone of the entire system:

• Encryption: Data between the user’s browser and the retailer’s server is encoded for exclusive use by the buyer and seller.
• Request: Follows through with the authorization request. The payment processor gets approval from the issuing bank to proceed with the transaction.
• Fulfillment: Once authorization is given, the payment gateway allows the website to proceed with the transaction.

For more information on credit card processing for your ecommerce site, or to sign up for a merchant account, please call (888) 924-2743 or go to Charge.com.