What is a Payment Gateway API?

A payment gateway API is a key component for businesses that want to accept online payments securely and efficiently. In this blog, we will explore in detail what a payment gateway API is and how you can integrate it into your website.

Overview on Payment Gateway API

Most businesses today accept online payments through their websites or mobile applications. Customers expect a seamless payment experience without any hassles, which is where a payment gateway API comes into play.   

A payment gateway API enables merchants to integrate secure payment options on their platforms with just a few lines of code. It connects merchants directly to several popular payment processors to accept payments via various payment modes like Credit cards, Debit cards, Net banking, UPI, QR etc.

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What is a payment gateway API?

A payment gateway API allows merchants to securely process online payments on their websites. It acts as an intermediary between the merchant and banks/credit card companies. Using a payment gateway API, merchants can integrate payment processing functionality into their websites and start accepting payments online.  

How does a payment gateway API work?

Here are the basic steps of how a payment gateway API facilitates online payments:  

1. The customer adds products to the cart and clicks checkout on the merchant’s website.
2. The payment gateway API injects a secure payment form/buttons on the checkout page. 
3. The customer enters their payment details, such as card number, expiry date, CVV, etc. in case of card payment, which are submitted to the payment gateway API.
4. The API encrypts the sensitive card data and sends it to the linked payment processor for verification and authorisation. 
5. If approved, the payment processor notifies the API about the successful transaction.
6. The API then triggers a notification to the merchant about the payment and transfers the funds to their bank account.
7. Once funds are received, the merchant can ship the product/service to complete the purchase flow.

How to integrate a Payment Gateway API?

Integrating a payment gateway API is quite simple. Here are the basic steps:  

1. Sign up for a payment gateway service and get the API keys.
2. Include the payment gateway API script on the checkout page of your website/app. 
3. Add necessary payment fields like card details, billing address, etc. 
4. On form submission, call the API to authorise and process the payment.
5. Receive notifications for successful/failed transactions programmatically. 
6. Automatically transfer received funds to your bank account.
7. Implement order management and purchase completion functions.

Most payment gateways provide thorough documentation and SDKs for quick integration via common languages and frameworks like PHP, Java, Python, etc. You can have payment acceptance up and running within a day with minimal coding.  

Benefits of Choosing a Payment Gateway API

Here are some key benefits of using payment gateway API for your online website business.  

• Secure payments: Sensitive card data is directly submitted to payment processors for encryption.
• Multiple options: Support for Debit and Credit cards, Net banking, UPI, QR, Wallets, EMI, etc. 
• Easy integration: Payment fields can be added with just a few API calls.
• Automated workflows: Transactions, refunds, and recurring payments are handled automatically. 
• Fund settlements: Instant transfer of received funds to your bank account.
• Analytics & reports: Detailed analysis and reports of transactions, payment modes, products, etc.  
• Compliance: Adheres to PCI DSS and other security standards.
• 24/7 support: Timely assistance for integration and transaction issues.

Get the best Online payment gateway with NTT DATA Payment Services

NTT DATA Payment Services is a leading payment gateway provider that offers a robust and secure payment gateway API. You can Integrate with all major shopping carts and platforms & experience built-in fraud prevention and chargeback management tools.  

NTT DATA Payment Services offers a complete payment solution to advance both your offline and online businesses from,

• Payment Gateway in India
• POS machines
• IVR payments
• Mobile applications, and
• Bharat QR Scan and Pay

We ensure maximum comfort, convenience, and safety for all your payments. With our payment gateway API, merchants can focus on growing their business while we help securely accept and process payments.   

Conclusion

Offering online payment options has become imperative for merchants to drive sales. A payment gateway API provides an easy, secure and cost-effective way to accept payments directly via websites and mobile apps.   

It handles the complexities of payment processing seamlessly while ensuring compliance. Choosing a reliable provider like NTT DATA Payment Services gives merchants all the tools needed to focus on delivering great customer experiences.

Frequently Asked Questions (FAQs)

1. What is a payment gateway API?

A payment gateway API allows merchants to securely process online payments on their websites. It acts as an intermediary between the merchant and banks/credit card companies to facilitate seamless payment acceptance.  

2. How does a payment gateway API work?  

The payment gateway API injects a secure payment form on the checkout page. It encrypts the card details and sends them to the payment processor for authorisation. Upon approval, it notifies the merchant and transfers funds to their account.  

3. What are the benefits of using a payment gateway API?

Key benefits include secure payments, multiple payment options, easy integration, automated workflows, fund settlements, analytics and reports, compliance.   

4. How do I integrate a payment gateway API?

You must sign up for a payment gateway, including their API script on the checkout page, add payment fields, call the API to process payments and receive notifications. Most providers offer documentation and SDKs for quick integration.  

5. What payment options do payment gateways support?  

Depending on the provider and target region, common payment options supported are credit cards, debit cards, net banking, UPI, wallets, EMI, QR, IMPS, NEFT, Challan etc.