A payment gateway is a software platform that acts as a conduit between an e-commerce seller’s website and the bank that processes a consumer’s credit card transaction. A payment gateway can also process transactions using means such as eCheck (ACH) payments and debit cards. The main purpose of the payment gateway is to safely transmit the customer’s private credit/debit card and bank account information to the issuing bank and other parties involved in the transaction.
Payment gateways dispatch transaction details to acquiring banks and replies from issuing banks about whether a payment is approved or declined. In short, payment gateways aid communication between banks.
Security is a main aspect of all payment gateways as private information such as credit card details need to be protected from fraudulent parties. The card associations have stipulated security standards that must be followed by all entities with access to card information including gateways.
First, be clear about the reasons why you wish to use a SaaS product. You should also have a good understanding of your existing infrastructure and business procedures. This information will help you to easily integrate the SaaS platform with your existing infrastructure without any problems.
The second consideration is a follow up to the first one. Ask yourself what you want the SaaS product to do for your organization. Then, be clear about the functionality the app should have. For instance, if you want enhanced data collaboration between different business departments you need a system that can be accessed by multiple users. However, if you want an efficient app that is similar to an on-premise solution, you need to invest in a SaaS product that can be accessed by only a few users at a time.
After you pick a suitable provider, do not sign a contract before you take a good look at the Service Level Agreement (SLA). The SLA will clearly describe what the SaaS vendor is offering and the reparation they will pay if they do not deliver the agreed services. Read and comprehend the SLA thoroughly to know what you are getting into and to avoid issues later.