How to Pick the Best High Risk Payment Gateway
February 1, 2019 | Financial Problems | Jessyka Lee
What is a high risk payment gateway, and how do you find the right one for your business? This article will give you a better understanding of payment gateways and help you understand how to go for the right one for your specific eCommerce business.
What Is a High Risk Payment Gateway?
A high risk payment gateway can be described as software and servers created to deliver payment transaction information to acquiring banks and responses from issuing banks. Basically, a high risk payment gateway is a merchant service used to facilitate the communication within the banks more simple.
To put it differently, the high risk payment gateway is a service that authorizes credit card payments for both offline and internet companies. Clients submit their credit card information, then these details are safely passed by the payment gateway from the consumer to the retailer, then between the retailer and the bank.
High risk payment gateways authorize fund transfers involving sellers and buyers. Debit and credit cards, eCheck (ACH), as well as cryptocurrencies such as bitcoin are all processed via high risk payment gateways.
To get set up with a high risk payment gateway you should turn to an eCommerce application service provider that provides credit card or direct payment processing for online retailers, e-businesses, bricks and clicks, or traditional brick and mortars.
Customers can get a payment gateway from a bank, but for a high risk payment gateway, you’ll need to seek one out from a provider that specializes in merchant accounts for high risk businesses. The company you end up getting a high risk merchant account with is actually the same company that will be your payment processing provider.
It’s important to choose a trustworthy and expert payment processor, like PayKings, to get a secure high risk payment gateway. PayKings is the industry leader for high risk merchant accounts, credit card processing, and payment gateways. As experts in in our field, we make it a point to speak with every single business owner in a way that gives us full insight into to the ideal high risk merchant account services that will work best with their specific business needs.
How Does a High Risk Payment Gateway Complete Transactions?
Payment transactions are finalized in the following manner:
- The client places an order from an online shop and passes their payment info
- The encoded information is delivered to the merchant’s processor (the company that actually processes the transaction)
- The transaction gets routed by the processor into the credit card association
- The transaction is approved or declined
- The trade gets authorization
- Money become available after 24 – 48 hours
Things to Know When Applying for a High Risk Payment Gateway
Here are 12 significant things to know when applying for a high risk payment gateway for your eCommerce business:
1.Don’t confuse a high risk payment gateway with a merchant account. Online payment processing requires both a merchant account and a payment gateway. When a customer pays for a product or service using their credit card, the money get deposited into the merchant account and then is sent into the company bank accounts. The payment gateway declines or approves a trade.
2.Payment Service Providers (PSPs) function as both a high risk merchant account and the high risk payment gateway. They help you, as a business owner, collect and manage your payments.
3.There are several high risk payment gateway options. For instance, PayKings provides its own gateway.
4.A high risk merchant account and high risk payment gateway are often installed within 3 – 4 months. However, without a high risk merchant account, you might be able to sign up with a few payment gateway providers and get started straight away.
5.Make sure you’re aware of the payment provider’s fee arrangement. Pay attention to costs like set-up fees, transaction costs, and admin expenses.
6.Payments are usually settled within a couple of days. Various providers have different payment timings.
7.For international payments, find out whether the high risk payment gateway offers international and multi-currency payments or has an interface with multiple languages.
8.Make sure the high risk payment gateway is protected. The provider ought to be level 1 compliant with the Payment Card Industry Data Security Standard (PCI DSS) and offer built-in security capabilities like tokenization.
9.Select a high risk payment gateway that offers support when you need it and in a way that is suitable for your needs.
10.Should you deal with international payments, guarantee that the gateway supports local credit card types.
11.For recurring payments, the gateway must store your clients’ credit card numbers and allow you to automatically bill them on a recurring basis.
12.See whether the high risk payment gateway can be integrated with the current billing, shopping cart, and accounting options you’re using. In the best-case scenario, the gateway should integrate with software you currently have.
A payment gateway is a must for payment transactions. With a payment processor, you won’t have any difficulty processing payments with your high risk merchant account.
February 1, 2019 | Financial Problems | Jessyka Lee