How to Integrate Payment Gateway into Your Website

How to Integrate Payment Gateway into Your Website

In the bustling world of e-commerce, payment gateways play a huge role. These digital bridges connect customers, merchants, and financial institutions, ensuring clean and secure online transactions. 

Let’s look into what payment gateways are, why they matter, and how to integrate them into your website. Keep on reading. 

What Is a Payment Gateway?

Payment gateways act as virtual cashiers, facilitating the exchange of money between buyers and sellers in the digital marketplace. They have three main roles:

  • Connection between customers and merchants: When a user clicks that “Buy Now” button on a website, the payment gateway links the chosen payment method (credit card, digital wallet, etc.) to the merchant’s website.
  • Authorization and encryption: One of their most important tasks is authorization. They verify whether a client has enough funds or credit to make the purchase. Additionally, a gateway encrypts sensitive information (like credit card details) to protect it from prying eyes during transmission.
  • Communication with banks: Behind the scenes, payment gateways connect to banks. They relay the payment request, seek approval, and ensure that the transaction aligns with security protocols. If all goes well, the bank gives a thumbs-up, and the order is confirmed.

Effective processing matters because the gateways shield all financial data from cyber threats and ensure swift transactions. All things that keep both buyers and sellers happy.

Types of Payment Gateway

There are three main types of payment gateway:

Hosted Gateway

A hosted gateway makes online shopping safe by sending customers to a secure payment page.  Here customers briefly leave the seller’s website to conclude their purchase safely and securely. Examples are PayPal Standard and Stripe Checkout

 Companies and customers alike prefer hosted gateways for their simplicity and ease of payments. Although, there are some challenges and considerations to keep in mind.

Using hosted gateways can sometimes confuse customers as they are often redirected to a different payment page which can potentially affect sales simply because customers are not sure they are not being scammed. Merchants also have limited control over the look of the payment process, which may or may not match their website’s branding. Additionally, businesses should watch out for extra fees that come with using third-party payment providers, impacting their costs.

Hosted Gateway

Integrated Gateways

These gateways blend into the merchant’s website, allowing customers to complete transactions without leaving the site. Popular examples of integrated gateways include Stripe in integrated mode and Authorize.Net аре known for their streamlined integration processes and consistent branding across the entire payment process.

One key consideration when using integrated gateways is the level of technical expertise required for implementation. Plus, merchants should carefully assess the security measures and compliance standards of integrated gateways to safeguard sensitive customer data and ensure regulatory requirements are met.

API-Only Gateways

API-Only Gateways are payment gateways where developers use APIs to build custom integrations. This allows for tailored solutions to meet specific business needs. These gateways also offer flexibility and control over the payment process, giving businesses the ability to customize the payment flow according to their requirements. 

Popular examples of API-Only Gateways include Braintree and Square, which are known for their API-based approach, providing developers with the tools to create seamless payment experiences.

How to Integrate Payment Gateway into Your Website?

Payment gateway integration generally involves simple steps.

Choose a Payment Gateway

When deciding on a payment gateway, you need to pick one that suits your business requirements. Here are some important factors to consider:

  • Transaction fees: Look at the charges associated with each transaction. Make sure these fees align with your budget and sales volume.
  • Supported payment methods: Check which payment methods the gateway supports. Ensure that it includes options that your customers commonly use and/or are familiar with.
  • Security features: Pay attention to the security measures offered by the payment gateway. It’s crucial that you safeguard your customers’ private information.

Set Up a Merchant Account

When setting up a payment gateway, you may also need to establish a merchant account. Depending on what you choose, a merchant account may be necessary. Some require this step, while others do not. 

If your business is classified as high-risk you typically would establish a high-risk merchant account with a credit card processing provider like Electronic Transfer Inc.

Get API Keys

After choosing a payment gateway, the next step is to acquire the required API keys. They’re needed for its integration into your website and serve as the authentication mechanism that permits your website to interact with the gateway. This way you ensure that the data exchange between your website and the payment gateway remains confidential and secure.

Payment Gateway Integration

How to integrate payment gateway in a website depends on the path and the platform you use for your website. In general, you would need to add code snippets or use plugins provided by the gateway provider. 

For example, on e-commerce platforms like WooCommerce or Shopify, you would install an appropriate plugin and configure it with your API keys.

In WordPress with WooCommerce:

  • Go to Plugins > Add New.
  • Search for the payment gateway plugin (e.g., “Stripe for WooCommerce”).
  • Install and activate the plugin.
  • Go to WooCommerce settings and configure the payment gateway with your API keys.

If a plugin is not available, you may need to manually integrate the payment gateway using their API. Follow the documentation provided to add the necessary code snippets to your website. This usually involves:

  • Including the gateway’s JavaScript library on your checkout page.
  • Creating server-side scripts to handle transactions and communicate with the gateway’s API.
  • Setting up webhooks to receive payment status updates.

Test the Payment Gateway and Go Live

Before going live, test the payment gateway integration. Use the test environment or sandbox mode provided by the gateway to simulate transactions and ensure everything works correctly. Check for successful transactions, payment failures, and error handling.

Once testing is successful, you can activate it on your live website. Update any relevant settings and ensure that everything is functioning as expected.

Wrap Up

In the bustling world of e-commerce, payment gateways play a significant role ensuring smooth and secure online transactions. While the integration process is typically straightforward, high-risk businesses may face additional challenges. 
You are welcome to check out our services, see how to integrate payment gateway in website and trust in our experience, just like over 50,000 merchants before you.