Payment Gateway

1. Payment
Gateway
By:-
Piyush Dua
13CA1005
BCA 3Rd Semester

2. What Is an Online Payment Gateway?
• A secure portal on the World Wide Web that allows merchants to accept
electronic payment via various payment modes.
• It transmits and processes card
and/or account information to
complete online transactions.

3. FLOW OF PAYMENT PROCESS

4. Who Needs an Online Payment Gateway?
Merchants
Sell goods/services
online and accept
payment online
Buyers
Pay for purchases
offline and online
Any Parties
Make online monetary
transactions or receive
payments via online
means

5. Payment Gateway Integration:-
• Payment gateway integration requires a little bit of work. It is a software
application that needs to be stored on your server. This means that you may
need a little more bandwidth and/or disk space. Check the requirements of the
payment gateway to make sure that your current hosting package will be able
to handle the increase in technical requirements.
• Another thing you will need to do is make sure that the payment gateway is
compatible with the programming language used on your ecommerce Web site.
Check to find out whether you are using one of the following:
ASP or ASP.NET
Perl/CGI
PHP (rather popular)

6. Visual Basic .NET
• Make sure that your payment gateway uses the same language as the
rest of your Web site, so that they fit together well. Additionally, you will
need to find out what sort of fees and costs are associated with payment
gateway integration and service.
• Go To Your gateway official site &
• Obtain Merchant ID, Working Key, Integration Plugin
• Upload the Plugin to your Server
• Furnish it with details of Merchant ID, Working Key Payment Gateway
Integrated

7. Advantages of an Online Payment Gateway for
Customers
• Ease of Use
User-friendly
payment
interface
Secure
One-Time-
Password
feature
Convenient
24-hour shopping
worldwide

8. Security Methods Used In Payment-
• Secure Socket Layer (SSL)
• Secure Electronic Transaction (SET)

9. Secure Socket Layer (SSL)
• SSL automatically encrypts data passing between consumer’s Web
browser and a merchant’s server.
• An online protocol that encrypts transmitted information to prevent
unauthorized interception and theft

10. Secure Electronic Transaction(SET) Protocol
• SET software encrypts a digital envelope of digital certificates specifying
the payment details for each transaction. SET is expected to become the
dominant standard for secure electronic payments on the Internet.
• Open standard for E-Commerce industry
• Developed & offered by Master Card & Visa
• Facilitates and encourage improved security for credit card
transactions

11. IVR Payment
• IVR ( Interactive Voice Response) System is also being used for
making payments using phone as providing credit/debit card
information using DTMF is easy and can be done on the move without
any computer and internet connection.
• In most IVR payment gateways use outbound dialer to process the
transaction. As soon as a person makes a purchase, IVR will make an
outbound call to the registered phone number ( first level of security),
announces the purchase details and asks him to confirm the purchase by
pressing a key. When a purchase is confirmed, the user is asked to enter
the numeric password ( PIN ) and on correct PIN, the transaction is
completed by charging the credit/debit card.

12. Advantages Of IVR Payment-
Using IVR payment gateway, one does not need a PC and internet
connection to make any purchase or making payment. One just needs a
mobile phone or telephone number. Since mobile phone or telephone
number already is considered proven identity, it may serve the first level
of security.
In developing countries like India, where internet and PC penetration is
low, IVR payment gateway can help grow e-commerce as owning phone
is cheaper than owning a PC and internet connection. Also, internet
connection may not be available all places all the time. So, people can
use their mobile or land line phones to make payments using IVR
payment gateways.

13. Drawbacks of IVR for payment gateways
 Providing credit card details may be a tedious process for first time
users. Also, apart from numeric PIN, it does not provide any other
security. PINs are transmitted using DTMF which can be easily decoded.
 With explosives growth of mobile phones, IVR payment gateway is
logical extension for making phones more useful.

14. Mobile Payment Gateway-
• Mobile payments is a mode of payment using mobile phones. Instead of
using methods like cash, cheque, and credit card, a customer can use a
mobile phone to transfer money or to pay for goods and services. A
customer can transfer money or pay for goods and services by sending
an SMS, using a Java application over GPRS, a WAP service, over Android
Mobile applications. In India, this service is bank-led. Customers
wishing to avail themselves of this service will have to register with
banks which provide this service. Currently, this service is being offered
by several major banks and is expected to grow further.

15. Challenges for Mobile Payment Gateway in India
• Poor levels of literacy are a problem, and voice-based services offer a
potential solution. Voice-based solutions, especially in local languages,
have two major benefits: they can work on all handsets and can be used
by all irrespective of one’s comfort level with technology or level of
literacy.
• The mobile financial services have to be effective in terms of usability,
cost, efficiency, interoperability and security for transactions of all ticket
sizes.
• M-payments options should be available even on low end mobile
handsets.

16. Popular Gateway

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