How To Create Payment Gateway (payment gateway kese bnaye)

What are the things we need to sort out? All we need is VISA, MasterCard, AMEX approvals? Do we need to have banks partner us? What all does this take? Just trying to figure this out..

Pros & Cons of Creating Your Own Payment Gateway

Pros

• Save on Payment Gateway Fees – Outside payment gateways have a sign-up cost and a fee associated with every transaction that you make thereby eating up a portion of your profit. With your own payment gateway you save on these fees and cost.
• Custom Features – With outside payment gateways you are restricted by their limitations such as not accepting recurring payments and/or multi-currency transactions. Some payment gateways charge additional fees for such add-on features. With your own payment gateway you can customize and add new features depending on your business needs and requirements.
• Offer Payment Gateway Product to Other Merchants – You can offer and sell your payment gateway as a product to other merchants, ISOs and Agents.

Cons

• Payment Gateway Development & Maintenance Cost – There are development and maintenance cost associated with building your own payment gateway. The initial cost of creating your own payment gateway is much higher than paying the associated fee to go through an external payment gateway.
• Payment Processor Integration & Certification Cost – Integration to payment processors is a time consuming process and requires going through their certification process. Using an external payment gateway is simpler and faster in this respect, as you pay for the convenience of using an existing gateway.
• Handle Settlement Reports From Processors – Payment processors send settlement reports in raw format which you need to parse and present in a readable format.
• Go to Settings ->Payment
• In the "Payment Methods" section, click on "Select Payment"
• Click on "+Add New" located on the top right of the page
• Specify your payment gateway parameters such as Country/State, Min/Max Order amount, and Customer Group that will be applicable to this payment method
• While here, also select the payment method that you'd like to add using the "Payment Method" drop down menu.
• Once you're ready, click "+Add"
After the Payment Method is created, it will be added to your store's list of Gateways. You can now click on the "Settings" link for the payment method to enter your account specifics with that particular method. (This will be information you receive from the payment gateway service itself.) Some gateways will use a login username or account ID while others use an account ID combined with a PEM file. Check with your specific merchant provider for more details

 MSP: Member Service Provider means the financial institution (i.e. bank) through which you will be validating the registration and transactions of the card holder (i.e. VISA, Mastercard, Amex, Discover, etc.)

An MSP is also the party who is making access to acquiring services available through that membership

ISO: Independent Sales Organization would be a sales agent (i.e. you), as registered with the card associations (i.e. VISA, Mastercard, Amex, Discover, etc.), sponsored by an MSP (i.e. a financial institution) that is allowed to secure point of sale acquiring (be it online or offline)

If you talk to banks like Wells-Fargo, Chase or Bank of America to name a few, you will get all the necessary financial requirements, corporate requirements and technical requirements enabling you to become a payment gateway.

Your technology background will come in handy in making a layer (portal) on top of the APIs and interconnects that the bank you work with provides.