The internet has allowed us to send and receive money online with very few restrictions. This means you can make payments almost anywhere in the world without leaving your home. Furthermore, the increasingly high-security standards guarantee that your funds are safe and your transactions protected. However, this technological advent has also spurred many online payment services. As a consumer, you will have to choose one. More importantly, you must know what to look for when picking the best way to make online payments.
There are numerous online payment services out there. For example, many use payment gateways and merchant accounts. Peer-to-peer online payment apps like Paxum are another payment method people use frequently. Here are the most significant factors you should consider when comparing online payment options!
Most payment gateways will charge you a fee for the money you wish to transfer online. This fee covers their application services and could help sustain their security standards. However, the cost may vary from one service provider to another. For example, some impose a flat processing fee per transaction. Others will ask you to pay a small percentage of the transaction.
When using an online payment service, you need to provide access to your bank account. In other words, you have to give credit or debit card details. However, not all service providers accept the same types of cards. Therefore, you will have to research and identify the payment services that can link your cards to their system.
Some payment gateways allow you to create on-form payments that they can use for recurring transactions. This means you can fill out a payment form only once, save it, and automatically use it for future online payments. Many find this option highly convenient because it saves them time buying stuff online. When choosing your next online payment service, you may want to consider this factor.
Some online payment providers allow you to create recurring payment processes. For example, you can set up your mortgage payment to reoccur for the next months or years. You can do the same for utility bills or for paying contractors and freelancers. This convenient service saves you time and ensures you don’t skip due payments.
Most online payment gateways will charge you a monthly fee for using their app. This periodic fee might vary depending on the volume of payments you make each month. Also, its value could depend on the kind of payments you make, including cross-border transfers or the bank accounts you use.
Lastly, the setup fee is another essential factor you should consider when comparing online payment services. Generally, most online payment gateways charge a minimum price for your registration to their services. Few such providers don’t charge you at all, albeit they can have higher monthly or transaction fees. However, the best part about setup fees is that you only need to pay them once.