Being a business owner, you’ve most likely heard the terms payment processor and payment gateway and wondered what the difference is. Each one differs in its role but is still vital in accepting payments online.
A payment gateway authorizes payments for e-commerce websites in a secure way. It acts as an online sales terminal for your business. When you sign up for a merchant account, a payment gateway may or may not be offered to you.
What is a payment processor? Basically, the payment processor, such as T1 Payments executes the transaction by transmitting data between the merchant: the issuing bank (i.e., the bank that issued your customer’s credit care); and the acquiring bank (i.e., your bank).
T1 Payments is an all-in-one provider, meaning we have our own payment gateway that is available to our merchant account holders. Using a payment gateway to securely process payments can reduce errors, soften reconciliation and speed up transaction processing. It’s the best choice for your ecommerce websites.
So, now you know that your e-commerce site needs to process payments and that’ll mean you’ll need a payment gateway as well. Some providers go through a third-party payment gateway leaving you to deal a shady third-party company when a problem arises. T1 Payments makes it simple by providing everything you need from a single provider with some of the lowest payment processing rates, 24/7 customer service, and PCI-compliant processing.