Taking Payments Online: A Complete Guide
When the Internet was first developed, online payment processing was all but nonexistent. Most businesses simply included information of where you could send your check or money order or a 1-800 number that you could call to make a purchase over the phone.
The high-speed world of the Internet makes these options almost obsolete now. If someone is interested in your product and they're ready to buy it you have to provide them the ability to do so. This brings us to the point of payment processing. There are two main options, PayPal or Stripe. In this article, we will go over the advantages and disadvantages of both.
Your website must have the ability to process customer's payments in order to deliver the product they wish to purchase. There are two main ways to do this, one being a traditional merchant account, and the other being online payment processors like PayPal. In order to make the most money from your website, you want as many payment options as possible so choosing both of these options is the best way to do this. If you're brand new to the world of making money online, using a PayPal account provides an extremely easy option to get started.
With PayPal, you simply have to register and add your bank account information and have it verified. Once you've set up your account, you can install a buy now button directly on your website that once clicked allows the customer to make a payment that will be sent directly to your PayPal account.
When you're ready to make a withdraw, simply click withdraw and the money will be put into your bank account. PayPal simply takes a small percentage of the transaction as payment the same way the traditional credit card processors do.
Another option is to use Stripe. This is a preferred method for many business owners today as it has lower fees and better exchange rates for international businesses. However, the money will not be automatically available in your account. Generally, there is a 2 to 7 day waiting period before the transaction is deposited into your account. Once the customer has made the payment and the waiting period has your funds will automatically be transferred into your connected bank account.
Stripe is easily able to connect to most online shops such as WooCommerce, Shopify, Teachable, and many more. It also creates a seamless checkout process for customers using their credit cards.