The level of Magento 2 stores is measured by how diverse and simple the client’s shopping experience gets. With correct integration, the client will remain satisfied at all stages of the purchase. This article will examine the payment gateways, their differences, and how much they cost.
- What is a payment gateway?
- How does the payment gateway work in Magento® 2?
- Main characteristics
- Payment gateways
- Conclusion
What is a payment gateway?
A payment gateway is a third-party service that allows online shops to process payments with credit cards. It accepts customers’ credit card data and validates and encrypts them. This way, financial information is safely transferred from a customer to the merchant and from the merchant to the bank.
How does the payment gateway work?
After the users fill in the credit card payment details and confirm the order, they will be redirected to the payment gateway. To ensure the transaction’s authenticity, the payment gateway sends the card data to the payment processor and the bank. The bank then approves or declines the transaction and sends an answer to the payment processor. Finally, the bank sends money to the payment gateway, which forwards it to the seller’s account within a few days (depending on the payment gateway parameters).
Part of operating a successful Magento 2 online store is using the right payment gateway for your business. The payment gateway you choose should suit your short-term and long-term business goals. In addition, it should meet your requirements in terms of security, convenience, functionality, and price.
Main characteristics
These are the four primary requirements for a payment gateway:
- Security – payment gateway should offer stable options for protecting user data transactions.
- Convenience – select only that payment gateway that offers easy integration without a headache.
- Pricing – each payment gateway will collect its transaction processing fee, so you want to select the one that manages the appropriate value for you.
- Capabilities – when selecting a payment gateway, you don’t have to pick just one. Instead, you can have multiple payment gateways that support the most popular credit and debit cards to provide more options for customers.
Payment gateways
With this in mind, let’s review the top payment gateways for Magento 2.
Paypal
PayPal is one of the most recognizable names on this list. It comes with an excellent reputation for secure payments.
Gateway supports credit and debit cards, bank transfers, phone payments, and personal payments are all payment options provided by the processor.
With PayPal, buyers can also purchase different currencies without worrying about converting currency. As for fraud protection, PayPal offers advanced encryption and 24-hour monitoring.
The fees associated with this payment gateway are 2.9 percent + 0.30 USD per authorization.
*Last Updated: 19 September 2022
Stripe
Stripe is a fully functional and customizable payment solution for enterprises of any size and scale.
It contains more than 135 currencies and supports more than 35 countries. Stripe is a fast-growing platform that is certified to the highest compliance standards.
It is a fully integrated set of payment methods that provides payment for online sellers, subscriptions, marketing, and software and marketing platforms.
Stripe accepts all major credit cards, including Bitcoin, Alipay, Apple Pay, and Android Pay.
Stripe doesn’t have a set-up or monthly fee but charges 2.9% + $0.30 per transaction.
*Last Updated: 15 December 2021
Authorize.net
Authorize.net — is a payment method that is especially suitable for small or medium online stores and offers a wide range of payment methods: American Express, Discover, Visa, MasterCard credit/debit cards, Google Pay, and Apple Pay. They even provide a POS system if you have a local or online store.
Flexible payment options and a simple interface allocate it among other payment methods of Magento 2, such as PayPal and Stripe. The fee to use is 2.9 percent + 0.30 USD per transaction.
*Last Updated: 7 August 2022
Amazon Pay
Amazon Pay allows users to complete online transactions on-site using just one account. This helps to decrease checkout time and increase sales. The payment gateway is also flexible and secure. Amazon offers two business services: Checkout by Amazon (CBA) and Amazon Simple Pay (ASP). CBA is an eCommerce solution that enables merchants to accept Amazon account information and use Amazon for payment processing. ASP sends customers to Amazon’s secure payment website to enter their payment info.
Fee: 2.9% + $0.30 (for domestic transactions) or 3.9% (for international transactions).
*Last Updated: 1 September 2022
2CheckOut
Payment gateway 2CheckOut (Verifone) is one of the safest meanwhile extremely simple. It supports 87 currencies in 15 languages and accepts eight payment methods, including debits, credit cards, and PayPal. This payment gateway is PCI Level 1 certified, includes a three-level security strategy, and has 300 fraud protection rules for added security. So, it is a decent opponent for PayPal or Stripe.
There are three customizable checkout options to choose from, and the service integrates with 100+ shopping carts. The system can also automatically prepare payment history reports and sell physical and digital products.
2Checkout has no setup or monthly fees. However, its fee per transaction is higher than those of PayPal or Stripe: 3.5% + $0.35.
*Last Updated: 4 January 2021
Braintree
Braintree, owned by PayPal, is another excellent payment gateway. It is a full-stack eCommerce payment platform that operates in 44 countries and features 130+ currencies.
The key feature is the development tools, which allow configuring order execution and the possibility of accepting online payments without the seller’s account. The pricing is similar to that of PayPal: they charge a flat-rate fee of 2.9% + $0.30 per transaction. Except that no monthly subscription fee is charged.
*Last Updated: 23 June 2022
Conclusion
We’ve presented you with the payment gateways, how they work, and what’s different about them. Before choosing the payment gateway to use for your online store, we’ll let you know how to integrate them. We will also explain the payment methods proposed by Magento 2 by default. Do not hurry to make your choice. Follow the link to the second part.
If you have questions that need to be resolved immediately, our developers are always at your disposal.
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