Almost all online stores accept credit card payments.  Online stores do not need to limit themselves to credit card payments.  They can also accept other forms of payment, such as:
  • Purchase Orders
  • Cash on Delivery
  • Checks
  • Money Orders
  • Bank Transfers
  • Paypal

Accepting Credit Cards

In order to accept credit cards, you must have a relationship with a Payment Gateway and you must have a Merchant Bank Account. Paypal handles both aspect of this by acting as your Payment Gateway and your Paypal  account as a Merchant Bank Account.

How the credit card payment process works.

  1. A customer enters their credit card info on your site and clicks buy.
  2. The shopping cart software on your site will transmit the information to a Payment Gateway.
  3. The Payment Gateway will send the data to the appropriate Payment Processor.
  4. The Payment Processor will send the data to a Credit Card Interchange.
  5. The Credit Card Interchange will reach out to the Credit Card Issuer to verify availability of funds on the customer credit card.
  6. The payment is now either authorized or declined and the pathway is traveled in the reverse order.
  7. If the payment was authorized the Payment Processor will deposit payment into your Merchant Bank Account.

Accepting Purchase Orders

If you decide to accept purchase orders  your shopping cart must have the ability to accept them. You must set appropriate rules around purchase orders.  Some of the things you must consider are:
  • Whom do you want to accept purchase orders from. For example:
    • registered users
    • users who have agreed upon terms
    • users from specific countries
    • everyone.
  • Is there a minimum and/or a maximum amount that a purchase order can pay.

Accepting Cash on Delivery (COD)

Accepting Cash on Delivery is becoming less and less common.  If you decide to accept Cash on Delivery,  your shopping cart must have the ability to accept them. You must set appropriate rules and provide instructions on bank transfer.  Some of the things you must consider are:
  • Cash On Delivery instructions.
  • Will you accept transfers from any country or only specific countries.
  • Is there a minimum and/or a maximum amount that a purchase order can pay.

Accepting Checks

If you decide to accept Checks,  your shopping cart must have the ability to accept them. You must set appropriate rules and provide instructions on checks.  Some of the things you must consider are:
  • Who the checkss hould be made out to.
  • Where should the checks be sent.
  • Will you accept transfers from any country or only specific countries.
  • Is there a minimum and/or a maximum amount for checks.

Accepting Money Orders

If you decide to accept Money Orders,  your shopping cart must have the ability to accept them. You must set appropriate rules and provide instructions on money orders.  Some of the things you must consider are:
  • Who the money order should be made out to.
  • Where should the money order be sent.
  • Will you accept transfers from any country or only specific countries.
  • Is there a minimum and/or a maximum amount that a money order can pay.

Accepting Bank Transfers

If you decide to accept bank transfers/wire transfer,  your shopping cart must have the ability to accept bank transfers. You must set appropriate rules and provide instructions on bank transfer.  Some of the things you must consider are:
  • Bank transfer instructions, so that customers know how to wire money to you.
  • Will you accept transfers from any country or only specific countries.
  • Is there a minimum and/or a maximum amount you will accept for a wire transfer.