The primary functions of today’s payment gateway systems are dual. The first thing they do is standardize the format of credit card information that is sent from point-of-sale terminals to banks. As a second benefit, they safeguard sensitive financial information (provide an additional payment security layer).
Today, businesses sometimes have to decide between developing their own gateway solutions from scratch and purchasing already gateway products. To rephrase Hamlet’s famous question: “To construct or to buy?” within the realm of Bitcoin payment processing solutions. Moreover, there isn’t a single correct response. The business case for each organization is unique. To put it simply, you should stick to this guideline. The only time it makes sense to construct and maintain one’s own payment gateway is when the savings from doing so outweigh those expenses.
Let’s go through the pros and cons of making your own gateway again.
Benefits of Creating Your Own Payment Gateway
- The possibilities for personalization are endless. In control of your gateway solution is you. You have complete autonomy over the process and may tailor it to meet the specific needs of your business and its consumers.
- There are no gateway charges. This is probably the primary motivation for businesses to examine the possibility of creating their own gateway solutions. And there is a huge cost-cutting factor (besides indirect and opportunity costs).
- White labeling. Several companies are using “white label” payment gateways. Selling your gateway product as a white-label payment solution to other organizations can boost revenue.
Negative Aspects of Creating Your Own Payment Gateway
- The high price of both growth and upkeep. Meanwhile, typical gateway fees range from 1% to 1.5% of transaction totals. Because of this, it is advisable to do at least a basic reality check before beginning your project.
- Get certified and incorporated. Your payment gateway won’t work until each processing partner tests and approves it. Each product addition requires certification. To conclude, PCI-certifying and auditing gateway equipment is costly and time-consuming.
- The importance of standardizing report structures. Each processor has its own, often cryptic, format for sending transaction settlement data.
If you’re looking for a payment gateway, what should you look for in a competitive option?
On the market, you may choose from a plethora of different payment gateway options. And there are always fresh methods being invented. So, what factors does a shop keep in mind while deciding on a payment gateway? Here are some standard capabilities that either a third party or your own gateway solution should provide.
- Payment Application Programming Interface Unification (for all partners and payment types).
- Combinations of several acquirers and processors.
- Possible room for personalization. This is to say, it has the flexibility to include more features as required. New currency and payment type support are two good examples of such capabilities (such as e-wallets, crypto etc.).
- Regularly charging. Cardholder data is stored securely.
- PCI compliance and effective fraud protection. This involves controlling access to sensitive customer data and cardholder data flow.
- Facilitated chargeback and refund processes.
- The use of clear reporting structures.
- An easy way to pay that’s also secure (interface).
- Assistance for customers at all hours of the day and night that is both prompt and thoughtful.
All these standard capabilities can be demonstrated by BitHide’s gateway solution. Here you can also pick up high risk payment gateways solutions.