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If you are just starting out in an e-commerce business, finding merchant accounts and paid gateways should be your top priority. With a merchant account and payment gateway, you can accept online payments in credit card form directly on your website. 

There are tons of options for merchant accounts and payment gateways, although these can vary widely. You can now also know about hemp payment processing via http://axiompayments.net/hemp-payment-processing.

How Does an E-Commerce Merchant Account Work?

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A payment gateway is the equivalent of the online sales system (eg a credit card machine) in a brick shop. When an online shopper selects Pay Now on the website, payment information is sent through your secure server to a gateway that acts as a link between your bank and the customer's bank.

The transaction data is then sent to your account by the payment system. The bank in your merchant account needs permission from the customer's issuing bank to complete the payment. The issuing bank authorizes or rejects the payment and sends the authorization details to both your website and the customer via the payment gateway.

Hybrid Solutions:- There are several services that offer hybrid solutions that combine payment gateways and merchant accounts into one all-in-one service. The advantage is that the entire transaction authorization process only takes a few seconds. 

However, the fees for using such a solution are often slightly higher than if you wanted to get a payment gateway and merchant account separately.

Ecommerce Basics: Merchant Accounts and Payment Gateways