The service that automates the payment transaction between the shopper and
merchant. It is usually a third-party service that is actually a system of
computer processes that process, verify, and accept or decline credit card
transactions on behalf of the merchant through secure Internet connections. The
payment gateway is the infrastructure that allows a merchant to accept credit
card and other forms of electronic payment. When referring to payment gateways
used for Internet transactions, it may also be called an
IP
payment gateway.
See gateway
for further understanding of how a gateway works.
