What is a Payment Gateway?

by | May 29, 2016 | Web Design

payment gateway
Hi, I'm Teresa, owner and Chief Designer here at TotaleSolutions. I have been a web design professional for over 20 years. With a passion for web design and marketing, I have helped hundreds of small and medium businesses establish their online presence. Need help with your online business? Call me on 0408 721 441.

Related Posts

In simple terms, a payment gateway is a program that transmits an online customer’s credit card order to and from a bank or the merchant account provider.

Wikipedia defines a payment gateway like this: “A payment gateway is an e-commerce application service provider service that authorizes credit card payments for e-businesses, online retailers, bricks and clicks, or traditional brick and mortar. A payment gateway facilitates the transfer of information between a payment portal (such as a website, mobile phone or interactive voice response service) and the Front End Processor or acquiring bank.”

If you are looking at accepting real-time credit cards on your website then a payment gateway is required.

There are three main requirements for a payment gateway to work:

  1. A website that meets the security and eligibility requirements for the bank to issue a merchant account
  2. A merchant account from a bank. A merchant account is a special kind of bank account that can be linked directly to a payment gateway. These bank accounts are issued only upon review of a website to ensure it meets privacy and security requirements. Requirements often include an SSL certificate and a privacy policy.
  3. A payment gateway provider. Payment gateway providers offer the server that acts as the link between your website and the bank. The server has a very special configuration and a very high level of security due to the sensitive nature of the data being transferred.

Once all three requirements are met, the payment gateway then needs to be connected to the website and to the merchant account. This will then allow for real-time credit card processing.

The merchant processor is a service that handles the actual funds transfer and is responsible for charging credit and debit cards. Merchant processors can process payments in a variety of ways and are not limited to credit or debit cards. Other methods could involve direct bank-to-bank transfers, intermediary holding accounts, and even mobile payments. Examples of merchant processors include Stripe.com, Authorize.net, PayPal, and 2Checkout.

There are several factors to consider when choosing a merchant processor and gateway, on deciding which one to give preference to.

  1. Is the merchant processor available in your country of operations?
  2. Does the merchant processor support all necessary billing features (one-time transactions, recurring billing, pre-authorised charges etc.)?
  3. How do the fees compare to other merchant processors?
  4. Does the eCommerce system you are using support the merchant processor you wish to use?
  5. Is your business compliant with the merchant processor’s Terms of Use?

Choosing a payment gateway can be one of the most important decisions you make when setting up your store, so it is important to consider the options carefully.

What is a Domain Name?

A domain name is an address that is used on the Internet to locate a website, for example totalesolutions.com.au. You need a domain name to be able to access your website on the internet.

What is Web Hosting?

Web Hosting is essentially data storage space, accessed via the Internet, used to host web sites and data files. Every website requires a Web Host to store their website on.

What is “responsive” design?

A responsive website changes its appearance and layout based on the size of the screen the website is displayed on. This can include larger text to accommodate smaller screens, and mobile friendly navigation for easier browsing on smaller screens such as smartphones and tablets. All new websites built by TotaleSolutions are designed to be mobile friendly – this is standard and included in the quoted price.

What is a Content Management System (CMS)?

A CMS is a computer program that allows publishing and modifying content of your website from a central interface. No special software is required, all that is needed to access a CMS is an internet connection and a username and password. The CMS is integrated with the website at the time of building by your web designer.

How Much Will a Website Cost?

There are quite a few factors that are going to affect the ultimate cost of your website. These factors include how many pages you are going to have, if you will sell products on your website, the graphic work involved, and how interactive your website will be. Each website is unique which is why we do not offer set price “packages”. Please contact us to discuss your requirements and we will be happy to provide an obligation free quote based on your individual needs.

Are there any ongoing costs associated with the website?

Domain name registration and hosting are ongoing costs. Generally hosting is paid annually and domain name registration is paid bi-annually. Depending on your requirements, there can also be costs involved in maintaining the site information and keeping the software up-to-date. Content Management Systems are available if you would like to manage the content yourself. We are happy to discuss your requirements.

Are there any hidden costs?

No. We provide a fixed price quote based on your individual requirements. If additional pages or content are requested to be added, or additional functionality is required by you, these will be charged at the hourly rate that is detailed in the quote.

How long will it take for my website to be designed?

The timescale of a website design project is often dictated by the client. If you have a deadline we will endeavour to meet it for you. The most common delay in the creation and completion of a new website is waiting for content (text/images). If you are thinking about getting a website it is a good idea to have all your text and images ready to go – this will speed up the process significantly.

Who creates the content?

No one knows the business better than the person running it, so we leave all text and photos to the client to provide. However, we have made over 100 websites so can offer some handy tips on content creation, which will save you time and make things much easier. We can also recommend professional photographers and copy-writers if required.

Can you re-design an existing website?

Absolutely! If you have an existing website that looks a bit tired or needs a complete overhaul we can help.

How do I update my website?

There are many different methods which can be used to update websites. The method you choose and the functionality we build into your website design is solely up to yourself although of course we will be glad to advise you which method will suit your needs and budget. If you have a small website consisting of just a few pages and will only wish to make changes very infrequently, then it may be more cost effective to have TotaleSolutions to carry out these changes for you. Alternatively, we can provide an online Content Management System (CMS) where you can either update individual products/pages/services or particular sections of your website. e.g. company news. We use the popular content management system WordPress.

Do you offer Maintenance Plans?

Yes! We have WordPress Maintenance Packages available which include regular backups, plugin, theme and core WordPress updates as well as support and content changes if required. Not sure if you need a maintenance plan? Read more about it here.

Why can’t I find my new website in the search engines?

Once your site has been submitted to the top Search Engines they may require several weeks, or even months to actually spider and list your website in their directory. How fast your site is listed depends on each individual Search Engines database update schedule. TotaleSolutions submits each website they create to all the major search engines, which significantly reduces the time it takes before your website starts to appear in search queries.

Who has ownership of the Intellectual Property of my website?

The content of the website is your intellectual property. We will include a disclaimer on each page of your website stating this. Any code, images or graphics created by TotaleSolutions remain the intellectual property of TotaleSolutions. We include at the base of each page the comment that the website was designed by TotaleSolutions with a link to our website. We request that this comment remain unless the site is changed considerably from our initial design by another web designer outside the employment of TotaleSolutions. No code or images created by Total e Solutions can be sold or passed onto others without our express written consent.