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The Biggest Online Payment Challenges and Ways to Overcome

Paying and receiving payments is what drives businesses around the world. Due to technological advancements, carrying hard cash across states, countries and continents is a thing of the past. Today, any individual or business can make instant online payments for goods or services. 

Despite the good side, online payments face challenges at various levels, which can be at the payment request level, processing or receiving level. The challenges bring about payment delays or loss of payments. Below are some of the challenges and their remedies. 

Card not present transactions (CNP)

When processing payments through CNP, your company pays a processing fee charged at four different points: fee for interchange, assessment and risk & compliance fee. You also have to pay a fee for your provider. If you sum up all the fees, you will realize CNP payments cost more as compared to card-present payments. 

You can overcome paying more fees on CNP transactions by switching to Helcim, a payment processor for small and medium-sized businesses, reviewed in depth by The Productivity Fly. Helcim offers complete payment solutions between your business and your clients. With it, you can receive in-person payments and online payments and they will not charge any extra coin. 

Helcim has other features like a virtual terminal, that you can utilize to receive payments over your phone or use your site to receive hosted payments. You can also use the software to send invoices or create your online store. 

Disputed transactions

Online disputed transactions are called chargebacks. They can occur from several angles, either the customer’s mistake, business mistake or fraud. During payment, if a customer presses the submit button twice, the payment will be processed twice. 

Sometimes the problem will be with the payment systems of the seller and sometimes, fraudsters can take advantage and steal the customer’s debit or credit card information. Chargeback complaints sometimes can drag themselves owing to distance and other technical issues. The complaints mostly lead to business loss. 

The company providing payment processing solutions can be the most fitting to help in dispute solutions between businesses and customers. The payment processor must improve their payment processing systems so that lesser or no mistakes are made during payment processing.

Security and compliance 

Technological changes are moving fast and online guideline laws for personal safety and use are changing at the same pace. It is easy for businesses to be caught up by non-compliance if the owners fail to keep themselves updated with the latest developments. 

The EU recently passed the GDPR compliance guidelines, which bind everyone across the globe. If your business is caught doing online transactions without following compliance rules, it can attract heavy penalties.

Online payment processing companies keep their systems up to date with the latest compliance rules and guidelines. You can be safer if you choose to use the payment processors than risking hefty penalties for non-compliance. 

Multiple currencies and payment methods

Each country across the earth has its currency and its citizens are involved in the global business. When a company is receiving payments in multiple currencies, it can go into losses due to varying exchange rates. The company might also require to operate different currency bank accounts, which is expensive to maintain.

Globally, there are hundreds of different payment methods like debit cards, credit cards, mobile payments and e-payments. A business might require to have the correct apps, cards and software to receive from each different method of payment. 

Payment processors like Helcim can provide an all-in-one solution where they receive and process payments on your behalf and credit your account with your preferred currency. If you work with a payment processor, you will overcome the challenges of having so many debit and credit cards or different online payment applications and software. 

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