Implementing payment processes driven by technology gives tangible benefits to a business. Payment processing companies enable businesses to collect payments easily through varied payment methods. By eliminating the need for physical contact, a payment processor saves a business from equipment like POS machines and cash transactions. It is crucial to get a payment processor suitable for the business requirements. However, one needs to be extra careful while choosing the best payment gateway. They need to consider several aspects before signing up for one.
Here, we will discuss a few common mistakes to avoid before registering for a payments gateway service.
1. Paying Unreasonably High Fees
The ultimate goal of any business is to make money. Yet, many merchants reduce their profits by paying unnecessarily high transaction fees to the online payments gateway. The difference of even a small percentage point may cost a lot in the long run. Therefore, it’s crucial to stay away from third-party payment processors that charge a lot for their service. Ensure that they have a transparent pricing policy based on the card company’s actual rates.
2. Agreeing to a Restrictive Processing Contract
Many payment processing companies give a minimum or a maximum number of transactions a business can make in a month. If the business goes beyond these limits, they levy hefty charges to pay. However, being forced into accepting such a deal is not advisable. The merchant must do due diligence and carefully read the gateway’s terms and conditions before accepting them. The payment processing service should be flexible, with the option to scale up as the business grows and scale down when it gets slow.
3. Overlooking the Fraud Protection System
Fraud and money laundering are common occurrences in the world of online business. While most shoppers will shop at the store and pay, a few of them may try to evade the payment. For instance, they may use a hacked credit card to place an order. Others may claim they did not receive the order, but in reality, they did. Although these are general expenses businesses need to bear, they may add up over time to a considerable sum. Therefore, it’s essential to find a payments processor with a robust anti-fraud system that offers protection against such malpractices.
4. Limiting the Payment Methods
In today’s digital age, customers expect more payment method choices than before. Customers may have their favorite ways of paying online, such as net banking, debit card, credit card, EMI, e-wallet, etc. If the online payment gateway does not offer the flexibility of payment methods, the business may face an increased number of abandoned shopping carts. Therefore, it’s crucial to select a gateway that provides a varied selection of payment methods to the customers.
5. Neglecting Customer Support
Payment processing and features are the priorities, but they aren’t everything. Customer support is an important factor for the goodwill of an enterprise. When something goes wrong with a transaction, the merchant needs the payment processor’s support to sort it out. Neglecting customer support while selecting a payment gateway is a grave mistake. The service provider should be expert and experienced in resolving issues and have a dedicated customer support system in place with minimal turnaround times. Finding the best among the hundreds of online payment companies in India seems to be a monumental task. However, finding the best solution to meet the business needs is possible with careful research and knowledge. The best payment gateway will make the payment processes hassle-free and seamless without any unwanted fees and deal attrition. Avoid the mistakes mentioned above to make a final selection.