Types of online payment methods

Types of online payment methods

Before designing an online store to sell goods or services online, it is essential to find suitable payment methods for your store. There are different methods you can choose from, and certain types are optimized to maximize your revenue. We have a short checklist to guide you in selecting the right payment method for your site.

Credit cards

Credit cards are ubiquitous when it comes to paying for online services and goods. Merchants can help you reach out to the international market by integrating credit card payment gateway into your business. The leading regions in credit card usage are Europe, North America, and Asia.

Mobile payments

Mobile payments are a popular method for payment in countries with low banking and credit card penetration. Customers can get a quick payment solution to buy items online with the help of mobile payments. Mobile payments are also used in browser games, donation portals and dating sites where customers can pay with an SMS.

Bank transfers

Customers using internet banking can use bank transfer to pay for items online. Bank transfers assure customers that their funds are safe because the transaction needs to be approved by the banking credentials of the customers before the purchase happens.

Ewallets

Customers can use e-wallets to store their funds and personal data. The funds can then be used to buy goods and services from online stores. you can sign up for an e-wallet easily and fast. The customers are just needed to submit their information for the purchases. Ewallets can also be combined with mobile wallets via smart technology.

Prepaid cards

This is an alternative payment, and it is commonly used by people with no bank accounts or minors. There are different prepaid card providers that customers can choose from — companies that offer online gaming use prepaid cards as their preferred method of payment. Virtual currency is typically stored in prepaid cards for a customer to use for transactions. Some examples of prepaid cards are Telco Card, Paysafecard, Mint, and Ticketsurf.

Direct deposit

Customers can instruct their banks to pull money from their accounts to make online payments. Customers tell their banks when the funds should be pulled out of their accounts. Direct deposits are common methods for payment for subscription services such as online classes and subscribing on websites to get certain services. Some customers also use cash to pay for online goods where cash on delivery is involved.