SaaS Payment Gateway| A Checklist for Choosing a Recurring Payment Gateway

An online payment gateway is a technology that allows credit card and debit card payments to be integrated into websites and mobile applications. It securely collects customer data and sends it to a payment processor to complete the transaction. A credit card gateway, for example, sends a request to the customer's bank for the transaction.

If your company sells software as a service, you'll need a SaaS payment gateway because you'll most likely be receiving recurring payments from your customers on a monthly basis. A recurring payment gateway will make it simple to accept monthly subscription payments.

But how do you pick the best app payment gateway or website payment gateway for your SaaS company? We've compiled a list of questions you should ask before deciding on a payment service provider.

How to Choose a SaaS Payment Service Provider?

Here are a few things to think about when narrowing down your options for payment processing providers.

PCI Compliance 

One of the reasons why some people are still hesitant to shop online is a lack of confidence in online security. Customers are hesitant to share personal or financial information unless they are confident that their information is secure.

PCI DSS compliance is one of the pillars of online security.

According to a report, less than 28% of the eCommerce companies in the survey pool were fully compliant with PCI DSS (Payment Card Industry Data Security Standards). Surprisingly, this figure appears to be decreasing with each passing year.

When selecting a credit card gateway service provider, inquire about the encryption methods they employ.

Variety of Payment Methods

Offering multiple payment options is one of the simplest ways to grow your online business. Your customers should be able to pay using ACH, credit cards, PayPal, or whatever method they prefer.

Furthermore, you should inquire about the service provider's policies regarding custom invoices, promotions, coupons, and so on. After all, you need to provide all of these benefits to your customers in order to keep them from shopping with your competitors.

While you're at it, inquire about the service provider's policies on a currency conversion, payment processing, and cross-border tax management.

Fraud Protection

Along with customer security, you must also ensure your own safety when accepting payments online. Although SaaS companies are not common targets of payment fraud, there is always the possibility that it will occur.

You should look into the payment service provider's fraud protection features. Inquire about their anti-phishing, anti-spam, and anti-digital-hacking measures. You should also inquire about how long it takes the company on average to respond to a cyber-threat situation.

Cost Breakdown

When using a recurring payment gateway, make sure you understand the cost of payment processing. Payment processing costs can be complicated because there are a variety of fees, such as gateway set-up fees and merchant account fees.

Make sure you're clear on the fees you'll be paying ahead of time.

Customization 

As a SaaS provider, you'll most likely provide your customers with a variety of payment options. Depending on the customer's membership, you may have recurring payment plans or usage-based plans.

When you provide a number of payment options, you must ensure that the payment solution you select covers all of them. Because not all payment service providers have this level of adaptability, it is critical to ask these questions.

Robust API 

To streamline digital processes, the best online payment gateway API connects your store's current checkout system with a payment acquiring network.

A robust API in a payment gateway is essential because it will include webhooks and documented extensions, making it simple to integrate payment processing with your CRM or eCommerce store.

App and Website Integration

The payment system you select should work in tandem with your app or website. Otherwise, the payment process will take longer, negatively impacting your customers' user experience.

Choose a website or app payment gateway service provider with simple and clear integration instructions. Also, make certain that their customer service is always available in the event that you require assistance with integration.

Conclusion:

If you don't give your customers multiple payment options, you're missing out on the simplest way to expand your consumer reach. You can enable in-app purchases for your customers using an app payment gateway. Similarly, a recurring payment gateway on your website allows customers to pay for monthly memberships and subscriptions with ease.