seminar code
09-08-2014, 02:58 PM
PAYMENT GATEWAY
[attachment=66813]
ABSTRACT
As building websites and selling products and services online gets easier and easier, businesses are flocking to the eCommerce arena. Any business that can’t process payments online is missing out on a huge customer base. Not to mention the low overhead costs of eCommerce compared to operating a brick-and-mortar storefront. A secure payment gateway allows you to list your merchandise or services online and automatically process credit cards, debit cards or other forms of payment without so much as lifting a finger.
While online business has always been vulnerable to fraud, modern payment processing solutions include multiple security measures that verify every credit card number and intercept potential criminals before a transaction ever takes place. In our day and age of instantaneous data transmission, doing business online is no longer optional. Solidifying your business presence online will give you greater reach and maximize your profit potential
INTRODUCTION
A payment gateway is an e-commerce application service provider service that authorizes payments for e-businesses, online retailers, bricks and clicks, or traditional brick and mortar. It is the equivalent of a physical point of sale terminal located in most retail outlets. Payment gateways protect credit card details by encrypting sensitive information, such as credit card numbers, to ensure that information is passed securely between the customer and the merchant and also between merchant and the payment processor.
Many business organizations, across all industry sectors, have quickly identified the emergence of business grade mobile technology and have strategically adopted mobile channel as one of their key eCommerce business channel to conduct their sales, service, and marketing operations and business processes, relating to their mobile commerce business models. As mobile technology is growing, so is the payment technology, which now enables end-to-end payment processing in context of associated business (sales) transactions, making it possible to conduct an entire business transaction along with associated end-to-end payment processing, over the mobile channels, offering enormous flexibility to customers, as to how, where, and when they can initiate their business transactions in real time.
THE BASIC FUNCTIONING AND WORKING OF PAYMENT GATEWAY
A payment gateway facilitates the transfer of information between a payment portal (such as a website, mobile phone or IVR service) and the Front End Processor or acquiring bank. When a customer orders a product from a payment gateway-enabled merchant, the payment gateway performs a variety of tasks to process the transaction.
• A customer places order on website by pressing the 'Submit Order' or equivalent button, or perhaps enters their card details using an automatic phone answering service.
• If the order is via a website, the customer's web browser encrypts the information to be sent between the browser and the merchant's webserver. In between other methods, this may be done via SSL (Secure Socket Layer) encryption.
• The payment gateway may allow transaction data to be sent directly from the customer's browser to the gateway, bypassing the merchant's systems. This reduces the merchant's PCI-DSS compliance obligations without redirecting the customer away from the website.
• The merchant then forwards the transaction details to their payment gateway. This is another (SSL) encrypted connection to the payment server hosted by the payment gateway.
• The payment gateway forwards the transaction information to the payment processor used by the merchant's acquiring bank.
• The payment processor forwards the transaction information to the card association (e.g., Visa/MasterCard)
• If an American Express or Discover Card was used, then the processor acts as the issuing bank and directly provides a response of approved or declined to the payment gateway.
• Otherwise [eg.: a MasterCard or Visa card was used], the card association routes the transaction to the correct card issuing bank.
• The credit card issuing bank receives the authorization request and does fraud and credit or debit checks and then sends a response back to the processor (via the same process as the request for authorization) with a response code [eg: approved, denied]. In addition to communicating the fate of the authorization request, the response code is used
Costs of Payment Gateway
The Payment Gateway is needed to be acquired by the owner of the site and the integration of the same in to the website is performed by us. There exists various types of Payment Gateways, some of which are mentioned below & since it requires varying amount of effort in integrating; so cost for integration of each Payment Gateway varies accordingly, starting from the minimum amount of Rs. 5000
MOBILE PAYMENT GATEWAY
The payment processing industry, keeping in line with the potential and constantly increasing growth of the mobile commerce, has floated a variety of mobile payment processing solutions and models, that can be leveraged to relevant mobile communication services such as GPRS, USSD, NFC, Wi-Fi, Bluetooth, SMS, WAP etc. The increase in wireless bandwidth and highly available mobile network infrastructure backbone provided by various mobile network operators, have further increased the stability, reliability, and quality of service in wireless mobile transactions, making the mobile channel more and more reliable for business critical mobile commerce models. Keeping with the growth in the mobile communication technology, the software vendors, service providers and industry forums, have been offering newer and enhanced mobile operating systems (Windows mobile 7.0, Android OS, Symbian, Blackberry OS, Apple IOs4 etc), APIs (J2ME, Window 7 mobile SDK, Android SDK etc), development tools (along with emulators) and technology standards for mobile computing, making it possible to develop and host a variety of mobile transaction processing solutions for mobile commerce. In this context, this paper further discusses solution architecture of a target mobile transaction and payment processing framework for mobile commerce transaction processing. The paper also briefly touches upon various mobile commerce business models and solution architecture for business scenarios (conducted on different mobile communication technologies), that are addressed by the target mobile transaction and payment processing solution framework.
Mobile Banking and Mobile Money
The strategy for mobile banking and mobile money transfers, involves formulating the business models and approaches to extend the banking services and money transfer facilities over mobile channels. A mobile banking strategy aims at providing complete banking facilities to the customers through their mobile devices. The following are the key flavors of this strategy:
• Mobile retail banking – This business strategy aims at bringing the key retail banking services such as statements, balance enquiry, check deposits, money transfers, bill payments, direct debits etc. to the customers over the mobile channels.
• Mobile cheque deposits – This business service allows the customers to make cheque deposits remotely.
• Mobile peer to peer payments – Allows the users to make money transfers or payments directly to one another, using mobile channels, either using their mobile wallet accounts or with their bank accounts including card accounts.
• Mobile money transfers – Mobile enabled local and cross border money transfers can help many customers to make money transfers easily from their mobile devices, either using their card/bank accounts or through their mobile wallet accounts. This strategy defines the mobile enabled money transfer business models and associated solutions. The cross border international money transfers can involve multiple local and international participants including FIs, banks, and cross border settlement solutions.
The mobile banking services can be provisioned through user chosen (compatible) mobile channels such as text/sms, dedicated mobile application, and mobile customized web application sites that are accessible through mobile hosted browsers.
Mobile Payment: Types
4.1.1 SMS Based Payments: Also termed as Premium SMS based payments. The mode of payment is a text message. In this method the customer asks for a payment request via a text message. Once the transaction is complete the customer is charged in from his phone bill and the merchant is notified and the selected goods are released
[attachment=66813]
ABSTRACT
As building websites and selling products and services online gets easier and easier, businesses are flocking to the eCommerce arena. Any business that can’t process payments online is missing out on a huge customer base. Not to mention the low overhead costs of eCommerce compared to operating a brick-and-mortar storefront. A secure payment gateway allows you to list your merchandise or services online and automatically process credit cards, debit cards or other forms of payment without so much as lifting a finger.
While online business has always been vulnerable to fraud, modern payment processing solutions include multiple security measures that verify every credit card number and intercept potential criminals before a transaction ever takes place. In our day and age of instantaneous data transmission, doing business online is no longer optional. Solidifying your business presence online will give you greater reach and maximize your profit potential
INTRODUCTION
A payment gateway is an e-commerce application service provider service that authorizes payments for e-businesses, online retailers, bricks and clicks, or traditional brick and mortar. It is the equivalent of a physical point of sale terminal located in most retail outlets. Payment gateways protect credit card details by encrypting sensitive information, such as credit card numbers, to ensure that information is passed securely between the customer and the merchant and also between merchant and the payment processor.
Many business organizations, across all industry sectors, have quickly identified the emergence of business grade mobile technology and have strategically adopted mobile channel as one of their key eCommerce business channel to conduct their sales, service, and marketing operations and business processes, relating to their mobile commerce business models. As mobile technology is growing, so is the payment technology, which now enables end-to-end payment processing in context of associated business (sales) transactions, making it possible to conduct an entire business transaction along with associated end-to-end payment processing, over the mobile channels, offering enormous flexibility to customers, as to how, where, and when they can initiate their business transactions in real time.
THE BASIC FUNCTIONING AND WORKING OF PAYMENT GATEWAY
A payment gateway facilitates the transfer of information between a payment portal (such as a website, mobile phone or IVR service) and the Front End Processor or acquiring bank. When a customer orders a product from a payment gateway-enabled merchant, the payment gateway performs a variety of tasks to process the transaction.
• A customer places order on website by pressing the 'Submit Order' or equivalent button, or perhaps enters their card details using an automatic phone answering service.
• If the order is via a website, the customer's web browser encrypts the information to be sent between the browser and the merchant's webserver. In between other methods, this may be done via SSL (Secure Socket Layer) encryption.
• The payment gateway may allow transaction data to be sent directly from the customer's browser to the gateway, bypassing the merchant's systems. This reduces the merchant's PCI-DSS compliance obligations without redirecting the customer away from the website.
• The merchant then forwards the transaction details to their payment gateway. This is another (SSL) encrypted connection to the payment server hosted by the payment gateway.
• The payment gateway forwards the transaction information to the payment processor used by the merchant's acquiring bank.
• The payment processor forwards the transaction information to the card association (e.g., Visa/MasterCard)
• If an American Express or Discover Card was used, then the processor acts as the issuing bank and directly provides a response of approved or declined to the payment gateway.
• Otherwise [eg.: a MasterCard or Visa card was used], the card association routes the transaction to the correct card issuing bank.
• The credit card issuing bank receives the authorization request and does fraud and credit or debit checks and then sends a response back to the processor (via the same process as the request for authorization) with a response code [eg: approved, denied]. In addition to communicating the fate of the authorization request, the response code is used
Costs of Payment Gateway
The Payment Gateway is needed to be acquired by the owner of the site and the integration of the same in to the website is performed by us. There exists various types of Payment Gateways, some of which are mentioned below & since it requires varying amount of effort in integrating; so cost for integration of each Payment Gateway varies accordingly, starting from the minimum amount of Rs. 5000
MOBILE PAYMENT GATEWAY
The payment processing industry, keeping in line with the potential and constantly increasing growth of the mobile commerce, has floated a variety of mobile payment processing solutions and models, that can be leveraged to relevant mobile communication services such as GPRS, USSD, NFC, Wi-Fi, Bluetooth, SMS, WAP etc. The increase in wireless bandwidth and highly available mobile network infrastructure backbone provided by various mobile network operators, have further increased the stability, reliability, and quality of service in wireless mobile transactions, making the mobile channel more and more reliable for business critical mobile commerce models. Keeping with the growth in the mobile communication technology, the software vendors, service providers and industry forums, have been offering newer and enhanced mobile operating systems (Windows mobile 7.0, Android OS, Symbian, Blackberry OS, Apple IOs4 etc), APIs (J2ME, Window 7 mobile SDK, Android SDK etc), development tools (along with emulators) and technology standards for mobile computing, making it possible to develop and host a variety of mobile transaction processing solutions for mobile commerce. In this context, this paper further discusses solution architecture of a target mobile transaction and payment processing framework for mobile commerce transaction processing. The paper also briefly touches upon various mobile commerce business models and solution architecture for business scenarios (conducted on different mobile communication technologies), that are addressed by the target mobile transaction and payment processing solution framework.
Mobile Banking and Mobile Money
The strategy for mobile banking and mobile money transfers, involves formulating the business models and approaches to extend the banking services and money transfer facilities over mobile channels. A mobile banking strategy aims at providing complete banking facilities to the customers through their mobile devices. The following are the key flavors of this strategy:
• Mobile retail banking – This business strategy aims at bringing the key retail banking services such as statements, balance enquiry, check deposits, money transfers, bill payments, direct debits etc. to the customers over the mobile channels.
• Mobile cheque deposits – This business service allows the customers to make cheque deposits remotely.
• Mobile peer to peer payments – Allows the users to make money transfers or payments directly to one another, using mobile channels, either using their mobile wallet accounts or with their bank accounts including card accounts.
• Mobile money transfers – Mobile enabled local and cross border money transfers can help many customers to make money transfers easily from their mobile devices, either using their card/bank accounts or through their mobile wallet accounts. This strategy defines the mobile enabled money transfer business models and associated solutions. The cross border international money transfers can involve multiple local and international participants including FIs, banks, and cross border settlement solutions.
The mobile banking services can be provisioned through user chosen (compatible) mobile channels such as text/sms, dedicated mobile application, and mobile customized web application sites that are accessible through mobile hosted browsers.
Mobile Payment: Types
4.1.1 SMS Based Payments: Also termed as Premium SMS based payments. The mode of payment is a text message. In this method the customer asks for a payment request via a text message. Once the transaction is complete the customer is charged in from his phone bill and the merchant is notified and the selected goods are released