Payment Gateway

Why Trust Techopedia

What Does Payment Gateway Mean?

A payment gateway is an e-commerce system that helps support modern retail or other types of sales of products and services, over the Internet or at brick-and-mortar stores. Payment gateways authorize credit card payments in order to support point-of-sale systems.

Advertisements

Techopedia Explains Payment Gateway

A payment gateway can be situated in an entirely digital atmosphere, where credit card information is routed in from a shopping cart Web page, or from in-store tablet systems or other physical point-of-sale systems in brick-and-mortar retail locations and other temporary sale locations. Data goes to the payment gateway, and credit card information is encrypted for delivery. Payment gateways can also help verify payments at the bank.

Payment gateway services may be subscription-based, or they may charge fees for each transaction. In general, they help merchants to more effectively serve customers by providing a middleman service for the financial information that is so sensitive and important to protect during these transactions. For example, a payment gateway is great for any e-commerce store, but it also could be used in an event such as a concert, where tickets and concessions are purchased outdoors away from point-of-sale infrastructure.

Advertisements

Related Terms

Margaret Rouse
Editor

Margaret jest nagradzaną technical writerką, nauczycielką i wykładowczynią. Jest znana z tego, że potrafi w prostych słowach pzybliżyć złożone pojęcia techniczne słuchaczom ze świata biznesu. Od dwudziestu lat jej definicje pojęć z dziedziny IT są publikowane przez Que w encyklopedii terminów technologicznych, a także cytowane w artykułach ukazujących się w New York Times, w magazynie Time, USA Today, ZDNet, a także w magazynach PC i Discovery. Margaret dołączyła do zespołu Techopedii w roku 2011. Margaret lubi pomagać znaleźć wspólny język specjalistom ze świata biznesu i IT. W swojej pracy, jak sama mówi, buduje mosty między tymi dwiema domenami, w ten…