Skip to main content

The Benefits of Electronic Payments for B2B Transactions

In the digital age, businesses are increasingly moving away from traditional payment methods such as checks and cash, and adopting electronic payment methods for B2B transactions. Electronic payments offer numerous advantages over traditional payment methods, making them an ideal choice for businesses looking to streamline their payment processes and improve cash flow. What are the benefits of electronic payments for B2B transactions? Faster payment processing Electronic payments are processed much faster than traditional payment methods. With electronic payments, the payment is transferred directly from the payer's bank account to the payee's account, eliminating the need for physical checks or cash. This significantly reduces payment processing time, allowing businesses to receive payments faster and improve cash flow. Increased convenience Electronic payments offer increased convenience for both the payer and the payee. With electronic payments, businesses can make and recei

Credit Card Tokenization

The hot topic of the year seems to be credit card tokenization. Merchants are confused on the subject and what it means to them. It all stems from the payment card rules and regulations on storage of credit card data. Tokenization is a fairly simple process that doesn't have to be expensive.

Why do we need credit card tokenization?
Storing credit card numbers for the average sized merchant was OK not to long ago, but those days are long gone. The payment card industry now governs the storage of credit card numbers and customer information. This is actually a good thing, but can be a pain if your a small to medium sized merchant.


What is credit card tokenization?
Credit card tokenization turns a credit card number into a token that is only recognized by the service provider, or merchant account provider. For example lets say your credit card number is "4125-1512-1512-1562" that turns into a token "4324223". If a hacker has stolen your token it is useless to them. This means your eCommerce store can store tokens easily, even without encryption.

What are the benefits of credit card tokenization?
The biggest benefit you'll see right away is savings. When you only store tokens there is only a simple SAQ (self assessment questionnaire) that needs to be filled out to become PCI compliant. Re-billing or recurring billing is now a simple process, simply send the token to the payment gateway and you have re-billed without asking for payment information again. Need to reverse a change, send the token.

How much is credit card tokenization?
Usually free. I've never seen a provider charge for the service. What is different is the way they offer the service. You need to be sure the tokenization service will work with your software or web site.


Comments

Popular posts from this blog

eCommerce service providers network

Recently we added our little blog to a directory to increase traffic and came across one worth mentioning here. The directory is comprised of eCommerce and brick and mortar business vendors. They have a nice break down of specific categories that pertain to the payments industry. With categories like, PCI DSS Compliance, Point of Sale, Check Readers and more, merchants should be able to find any kind of service to support their business. If your a provider and need more traffic like we all do, try adding your site.

The Benefits of Electronic Payments for B2B Transactions

In the digital age, businesses are increasingly moving away from traditional payment methods such as checks and cash, and adopting electronic payment methods for B2B transactions. Electronic payments offer numerous advantages over traditional payment methods, making them an ideal choice for businesses looking to streamline their payment processes and improve cash flow. What are the benefits of electronic payments for B2B transactions? Faster payment processing Electronic payments are processed much faster than traditional payment methods. With electronic payments, the payment is transferred directly from the payer's bank account to the payee's account, eliminating the need for physical checks or cash. This significantly reduces payment processing time, allowing businesses to receive payments faster and improve cash flow. Increased convenience Electronic payments offer increased convenience for both the payer and the payee. With electronic payments, businesses can make and recei

Options for Accepting International Payments

There are few choices when trying to set up international payments for your ecommerce website. PayPal and Stripe are great options for those that don't have a merchant account but still want to accept transactions from international customers. PayPal If you need to accept payments from most countries PayPal is the clear winner, but there are still some countries that are not supported.. At the time of this writing there are 203 markets and 26 currencies available. See the full list here at the  PayPay Global  web page. Countries not supported by PayPal included:     Afghanistan     Bangladesh     Central African Republic     North Korea     Equatorial Guinea     Ghana     Haiti     Iran     Iraq     Lebanon     Liberia     Libya     Myanmar     Pakistan     South Sudan     Sudan     Syria     Timor-Leste / East Timor     Uzbekistan Stripe The newcomer Stripe is in the process of adding more countries all the time. Currently your business must be based i