What is an electronic payment ?

What is an electronic payment?• Electronic money (also known as e-currency, e-money, electronic

cash, electronic currency, digital money, digital cash, digital currency, cyber currency)

is money or scrip that is only exchanged electronically.

In technical terms, electronic money is an online representation, or a system of debits and credits, used to exchange value within another system, or within itself as a stand alone system.

Types of electronic payment• A hard electronic currency does not have services to dispute

or reverse charges. Reversing transactions, even in case of a legitimate error, unauthorized use, or failure of a vendor to supply goods is difficult, if not impossible. Examples are TokenPay, Pecunix, Western Union, KlickEx and Bitcoin.

• A soft electronic currency allows for reversal of payments, for example in case of fraud or disputes. Reversible payment methods generally have a "clearing time" of 72 hours or more. Examples are PayPal and credit card. A hard currency can be softened by using a trusted third party or an escrow service.

Advantages

• Electronic payment processing services can relieve the cashflow headache. Electronic payment processing services significantly reduce or even eliminate payment delays. What’s more, your customers can’t change their mind and deny you your payment.

• It´s safer the electronic payment than travelling with many money on the pockets.

Internet and Electronic Payment Systems

The payment gateway allows your customers to enter their credit card information online. Gateway provides security for both you and your customer, protecting their credit card information and your company from fraud. Once that information is entered, your merchant account provider will process the transaction and get approval. Once approved, you get paid.

Telephone and Mail Order Electronic

Payments

Some customers don’t feel comfortable giving out their credit card information online, so they simply set in their ways of ordering by mail or over the phone. This requires that you have a virtual terminal to process credit card payments. A virtual terminal is essentially a software program that allows you to take credit card information over the phone or via mail and then enter it into the terminal.

Electronic Checks and Gift

Cards

An electronic payment system isn’t just for credit card processing. It can also be used for processing electronic check payments and even gift cards. In order to accept these kinds of payments, you do need to verify that your merchant account provider can process those types of payments.

Gateway service

Bank Fishing