Payment Gateways and Merchant Accounts

It Takes Two to Tango.

A payment gateway — that crucial bit of technology that sits between your website and the payment networks — is essential if you want to sell something online. But many online merchants confuse payment gateways with their merchant accounts.

The truth is, you need both a payment gateway and a merchant services processing account.

Making the Payment Connection

At its most basic, a payment gateway serves as an intermediary between a payment portal (e.g., a website or smart phone) and the processor or acquiring bank. In the process, it facilitates the transfer of information between the two.

Think of it this way: A payment gateway plays the same role in an online transaction that a point-of-sale (POS) terminal does in a bricks-and-mortar retail transaction — namely, authorizing payments and storing them for submission to your payment processor.

By contrast, a merchant account serves as a means to electronically authorize and settle card transactions for your business.

How Gateways Work

After customers fill their shopping cart with goods or services from your online store, they enter a credit card number during checkout. That credit card information is then routed through a payment gateway. Assuming that the data matches the information on file with the credit card company, the transaction is authorized and the payment is processed. Once the transaction is approved and settled, deposits are made to your checking account, typically on the next business day. Payment gateways serve a vital role in communicating transaction information between an eCommerce site’s shopping cart application and the payment processors.

How Secure Is “Secure”?

With an online order, the customer's payment may be encrypted by his or her Web browser for the journey back and forth between the browser and the merchant’s webserver. Typically, this involves the use of SSL (Secure Socket Layer) encryption. Merchants then forward the transaction details to their payment gateway.

Some payment gateways provide even more extensive security features, such as advanced encryption algorithms and restrictions on the data sent and stored. Additional security features may include support for VeriSign SSL certificates as well as address and security code verification.

PNC Merchant Services® is pleased to offer customers access to the Payeezy℠ Gateway, a dynamic eCommerce solution that helps online merchants offer more payment options. Impressive security features help keep payments and customer information. By upgrading to Payeezy Gateway, you will be eligible to receive an extra layer of security delivered through TransArmor® Data Protection tokenization to help protect data at every transactional processing stage. TransArmor Data Protection is included with Clover® Security Plus, but you must upgrade to Payeezy Gateway in order to take advantage of this additional security layer that can significantly reduce your risk to data security issues.  

For more information on payment gateways, including Payeezy Gateway, please contact PNC Merchant Services at 1-888-235-6959.

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Important Legal Disclosures & Information

Payeezy Gateway is a registered service mark of First Data Corporation.

TransArmor is a registered trademark of the First Data Corporation in the United States and other countries.

The Clover® name and logo are owned by Clover Network, Inc., a wholly owned subsidiary of First Data Corporation, and are registered or used in the U.S. and many foreign countries.

Merchant Services provided by PNC Merchant Services Company and are subject to credit approval. PNC Merchant Services is a registered trademark of The PNC Financial Services Group, Inc.