Bank Account Verification: How it Ensures Easy and Fast Transactions

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Looking for something? Well, you already are there where everything resides- the Internet.  The home for everything that we can think of, with just a basic rent to be paid for. The rent your internet service provider needs can be fulfilled now while being online too. The world has come into the hands of everyone. Be it for booking a trip across the seas or reserving a table at your local restaurants, everything is now possible online.

Introduction of Digital India turned a developing nation into one of the biggest superpowers in research and technology globally. If you look back just five years ago, you will see the difference yourself. Transactions are easy now. Gone are the days when you would end up waiting in line to deposit your money. 

Everything is online now in all kinds of bank transactions, such as paying against electric or phone bills, paying for tickets for travel and entertainment, or paying your education fees, or buying stocks. Whether the transaction amount is less or big, everything is easy and much secure now. 

Bank account verification is a critical part of the transaction process.

What is a Payment Gateway? 

Payment gateways are the answer for your every online transaction-related query. A payment gateway is an application service provider that authorizes payments processing for online retailers and businesses. An online process is followed wherein the bank account verification is carried out and hence there you are ready for your first online transaction. 

Being the important component of transactions controlled online. It is also responsible for sending the customer information to the merchant’s bank where the transaction is processed. 

Need of Payment Gateways

The need of the present time is time itself. Payment gateways fulfill the need of barrier required for an easy and secured transaction between the borrower and the receiver. But technology comes with responsibility and understandability. You can never convince a crowd with something new as those who have been used to following the former way their life wholly. The payment gateways thus collect all the details of the transaction data and thereby pass it to the acquirer. This hosted page also looks out for the burden online merchants would face if the details of the payer are not collected. Digital transactions help people save their time and pay for their needs much more easily and efficiently.

Working of Payment Gateways

Payment gateway comes right after a customer places an order online, and thus the procedure is carried out. The process follows these various steps in brief:

Step 1: After a customer places an order and wants to pay online, they need to fill in the card details.

Step 2: The card details are encrypted thereby between the customer’s and merchant’s web browsers.

Step 3: Through the merchant’s browser, the transaction details are forwarded to the merchant’s bank’s payment processor.

Step 4: The payment processor forwards the transaction information to the acquiring bank at the customer end. 

Step 5: Once the step of bank account verification is done at both ends, a request is made from the merchant’s payment gateway to the customer and thus the amount is transferred. 

Step 6: Both the banks are updated through respective browsers while the transaction is carried out.

All About Bank Account Verification 

To verify ownership of the account and to ensure the funds exchanged are being transferred to the desirable accounts, bank account verification is carried out. This verification is also needed to help reduce risk and for quality security reasons at both ends. 

There are several ways to get your finances done online. Some of the most common ways of online transaction and funding are: 

Net banking:

People have been using net banking before digitalization came into existence. Internet banking allows a customer to do large transactions online and is one of the safest ways of transaction because it works end-to-end with the bank at both ends.

UPI and Mobile Wallets:

With no transaction charges and being the easiest way to transfer funds, UPI has become one of the most popular and convenient ways of transacting online funds. The bank account verification is done for the third party UPI you are choosing for and all it needs is to develop a pin later. Enter your pin and the desired amount, and there you just have your payment successful. 

Mobile wallets such as Paytm, Amazon, and PhonePe have gained the limelight because of the easy and secure way they have. You just need to verify your account through your registered mobile number and a message is sent for the bank account verification through your registered number to the acquired bank browser. These user-friendly apps are waiting for you for an easy and safe transaction.

It might sound so surreal for new ones, but your business is safe and secure over the net. Funds in any transaction are server integrated, and every transaction is done once after the bank account verification. This new step of shifting online totally ensures you safe and easy transactions all the way. 

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