Looking to start your own payment gateway? Are you sure it’s a good idea right now to invest your time in getting the payment gateway license?
21st Century has given us many technological marvels that have made things easy for us. From how we entertain ourselves to how we conduct business, everything has become more accessible, and on the top of it, more comfortable.
Much of it has to do with internet and the connectivity this century has gifted us. No longer bound by geographical boundaries, we can buy and enjoy things from anywhere across the globe. A person from India is now able to buy things from USA without having to ask a friend about it. All he has to do is pick up the phone, choose what he wants to buy, go the payment gateway buy it. Internet payment gateways, the foundation of electronic transactions, have changed everything.
But is everything honey and sunshine in the internet world. Have we traded off our security for the comfort of electronic transactions. Are there only pros for a payment gateways? Or there are many cons too that we can’t ignore anymore?
If you want to develop your payment gateway in future. you should be aware of its pros and cons.
Let’s find out. Read More: NLD License
What are the pros of payment gateways?
When Reserve Bank of India issues the payment gateway license, following are the pros that its banking upon:
- Safe transactions:
At each and every stage, the customer’s details are authenticated through several means. Only after proper authentication that the payment gateway grants the payee access to the payment.
- Simplicity:
While payment gateway possesses a complex system, it’s all in the back end. A customer, on the other hand, enjoys a simple user interface letting him enter his details in a way that he sees fit. The simplicity and the intuitiveness of the platform gravitates the customers towards it.
- Fast deployment:
Once you develop the payment gateway platform courtesy of the RBI payment gateway license, your merchants would be able to access it without any issues. With a few clicks of buttons, they would be able to deploy it on their platforms without any hassle.
- Feature rich:
payment gateways nowadays aren’t just simple electronic transactions tools anymore. There are several bells and whistles that you can add to them for several purposes. They can be to make the gateway more secure or the user experience friendlier. In the end, the high customization is a major factor behind a payment gateway.
What are the cons of a payment gateway?
The rise that these features give your heart makes it easy to ignore some of the major disadvantages it has. if you’re developing your payment gateway, following are the cons you should take into account. They will assist you in creating a more robust payment gateway:
- Risk to sensitive information of the customers
At every juncture within a payment gateway, customer information is collected. All that information, in addition to being personal, is also sensitive. From bank account numbers to passwords to debit or credit card numbers, each of these present the financial foot print of the customer within the internet. And if you’ve been on the internet, you know that nothing is secure, especially if there is money to be made. With the right hacking method, and the right amount of money, every information can be extracted from the payment gateways.
- Technical issues can take days to fix
Payment gateways might appear intuitive and simple in the front end, but they are complex and has many layers in the back-end. If there is any issue with the payment gateway, you’re going to end up taking a large chunk of time finding the issue. Even if you do find it, fixing it would probably take more. While the payment gateway is down, the customers, who are often impatient, would obviously face issues, besmirching the name of your payment gateway’s brand.
- Customers still feel uneasy about it:
While the western civilization has whole-heartedly accepted payment gateways, you can’t say the same about India. We went through demonetization back in 2016 in hopes that people would be quick to adapt the digital mode of payment. However, that has not been the case. Cash is still king in India and the above two reasons is the main cause of that. Read More: Dealer Possession License
Conclusion
Payment gateway is a business that’s as lucrative as you can imagine. However, the underlying complexities, combined with the people’s lack of acceptance towards it can make it quite difficult for you to succeed initially. However, you shouldn’t give up. If customers are uneasy about it, ease them into it by providing them solutions. If technical issues takes days to fix, create a sophisticated system that can’t be broken. And finally, if you want the customer’s data to be secure, live by the principles of integrity based on which the reserve bank of India grants you the payment gateway license.
And when you’re ready to apply for the payment gateway license, call us for assistance.
Looking to start your own payment gateway? Are you sure it’s a good idea right now to invest your time in getting the payment gateway license? here we discuss the pros and cons of payment gateways.
