A Gateway System is an Internet processor that allows shopping online while providing a secure and encrypted shopping experience.
OK - so what does that really mean?!?
These companies all got their start when the Internet became popular enough that people wanted to shop for goods online, protect their identity and credit card info - all while enjoying this tremendously convenient method of shopping.
As the Internet grew, so did these companies. Their challenge was to stay a step ahead of "hackers and thieves" who are always trying to steal and intercept peoples personal information.
We read and hear about this growing problem everyday.
So - just what is a "Gateway" company?
As the name implies, they are an online "funnel" that is used to provide secure information between a purchasing consumer and the vendor of goods and services. This is a constantly evolving business. As hackers become better and better, these companies must be sure to protect all the vital information that is transmitting all over the Internet.
They are not a credit card processor. They do not accept or reject a credit card when it is used to purchase something online. They are a very secure facilitator of that information. It must be handled extremely fast, securely and precisely.
Learn all about the Encryption Systems that are available and which type offers the most secure online experience.
A "Gateway System" company will work in conjunction with whatever Shopping Cart software company you are using and whatever Merchant Services Provider you have selected. Some will also provide the Merchant Services Processing as part of their system. The PayPal Gateway system can be set up that way. Their fee is usually a "Flat-Rate" fee that is pre-established and will not vary from month to month. If they are just the "Gateway", they don't care where your credit cards originate and they will make no credit/denial decisions - they just transmit very well and securely!! Most will have a "setup fee" as a one time charge and then a very economical monthly rate for their services and perhaps a small charge, per transaction.
As we explained in the Shopping Cart Systems page, using a "gateway" provider will require a little bit more money, paperwork and time. However, their systems are extremely worthwhile to you as a business owner and to your online customers!
Authorize.Net and the Payflow from PayPal are excellent choices for a Gateway System.
Take a look at our PayPal Systems page to learn some of the differences they offer within their Gateway Systems.
Please Contact Us if you have any questions or would like to implement our systems.