Credit Card Payments For E-Commerce
Credit card payments make online shopping simpler for customers, with companies needing to offer efficient payment processing in order to reduce cart abandonment, build loyalty and increase sales. Therefore, e-commerce businesses and any seller of goods or services online need to understand how credit card transactions work as well as what fees may be involved with these transactions.
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Merchants and other businesses that accept cards for payment need a third-party payment service provider to collect funds or authorize purchases. This could be anything from banks that handle credit/debit card transactions for its customers to Square, Stripe or Shopify offering merchant accounts and payment gateways that allow businesses to accept online and in-person cards with ease. These providers typically charge monthly fees but also take a cut of each transaction made via cards – thus choosing an effective merchant processor is key!
What Are My E-Commerce Credit Card Payment Options? E-commerce credit card payments can be made using physical credit or debit cards, or mobile payment apps like Apple Pay and PayPal that transfer money between bank accounts securely, and retailer accounts quickly – often providing one-click checkout with return policies geared to customer convenience.
Another popular form of online credit card payment involves redeeming digital vouchers or coupons at checkout to pay for items, similar to in-person purchases but more cost effective. This payment option can often be found among retailers, restaurants and other businesses without physical stores.
In-person credit card payments are processed using equipment, such as a card reader with an inserted chip or contactless tap, to accept credit and debit cards in person. These transactions are known as card-present transactions and pose less of a fraud risk to merchants compared with online or mobile payments; furthermore, card present payments usually attract lower interchange fees than their online or mobile counterparts.
E-commerce payment processors have earned a reputation for offering competitive prices and simple payment processing solutions tailored to small businesses. Flagship Merchant Services provides flat-rate pricing while Stax is renowned for being an ideal solution for small business owners looking to avoid high interchange-plus rates. Shopify offers an alternative, which combines merchant accounts and payment gateways into one seamless package that seamlessly integrates their systems into custom e-commerce websites for clients such as Salesforce, Zillow, Slack and Expedia. Square, FattMerchant and Stripe are also well-recognized merchant account providers with various options for small businesses and are trusted by industry experts as top choices. Trusted by businesses of all sizes from large brands to emerging merchants with enterprise merchant needs – known for reliability and excellent customer support.
