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6 Benefits of Payment Gateway APIs

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The GoCardless content team comprises a group of subject-matter experts in multiple fields from across GoCardless. The authors and reviewers work in the sales, marketing, legal, and finance departments. All have in-depth knowledge and experience in various aspects of payment scheme technology and the operating rules applicable to each. The team holds expertise in the well-established payment schemes such as UK Direct Debit, the European SEPA scheme, and the US ACH scheme, as well as in schemes operating in Scandinavia, Australia, and New Zealand. See full bio

Last editedJul 20222 min read

APIs allow for smoother, more enjoyable digital experiences, and payment gateway APIs are no different. Integrating with your digital ecommerce setup, payment gateway APIs connect to your checkout system, allowing customers to complete purchases without leaving the storefront.

If that fact alone isn’t enough to persuade you of the merits of payment gateway APIs, read on to discover a myriad of other benefits the technology has to offer.

6 benefits of payment gateway APIs

Now that we’re clear on what a payment gateway API is, let’s delve into the various advantages it offers.

1. Simplifies the payment process

The clearest benefit of using a payment gateway API is the way it streamlines the payment process. From request to authorization to receipt and confirmation, the whole procedure is simplified.

With GoCardless, customer payments can also be carried out with ease.

GoCardless enables businesses to collect payments directly from their customers' bank accounts, eliminating late payments and saving businesses valuable time. In fact, businesses can get paid up to twice as fast by accepting GoCardless payments on their online invoices.

2. Improves the customer experience

Another great perk of payment APIs is that they can drastically improve the user purchasing experience. This is because they remove the need to fill in checkout information with every purchase, as returning customers can use stored payment information. This means users can checkout with just a few clicks.

3. Option to customize

Another benefit of payment APIs is that they allow merchants to get creative and customize their store’s checkout experience. While many companies stick to the basic API payment integration, some take their ideas to a developer who can tailor the checkout page and process to the merchant’s vision. For companies that want to maintain consistent branding on their site from browsing to checkout, this can be a huge advantage.

4. Safer checkout experience

The good news for both merchants and customers is that payment APIs come with enhanced security and fraud prevention features. This is due to customer data and payment information being stored by the host and not the merchant themselves. This can help merchants stay PCI compliant.

5. Store transactions offline

Another feature which is available with many payment APIs (although not all) is the ability to store transactions offline to be processed once reconnected to the internet.

6. Can support multiple transaction types

Some APIs can support a wide range of transaction types, and not just common credit card payments. With more and more people opting for alternative payment methods, this can help expand your client and appease your client base who will be appreciative of their preferred payment methods being available.

For more info on payment gateways, click here to read about the top payment gateways in the US.

We can help

GoCardless is a global payments solution that helps you automate payment collection, cutting down on the amount of financial admin your team needs to deal with. Find out how GoCardless can help you with one-off or recurring payments.