Payment services play a significant role in the operation process of any business. The payment apps can simplify transactions and make them more secure. Let’s define the payment process, review some apps to handle financial transactions, and how these apps can benefit your business.

What is the payment process?

A payment process is a term used in business to describe the steps and procedures involved in exchanging goods or services for money. The payment process usually starts with the client placing an order for goods or services, after which the business will invoice the customer for the order. The customer will then pay with money or a credit/debit card, and the company will send the goods or services to the customer. The payment process can be completed online, by phone, or in person via card. When customers make purchases via their debit card or credit card, several sequential electronic steps are being held to finalize the transaction. This process involves a consumer amd a merchant, a payment processor, and a bank merchant account. It seems like it's an easy 5-seconds deal, but the payment processing is more complicated in reality. Many information must be verified and approved so transactions could be completed. 

What is a payment processing app, and how does it work?

A payment processing app is a software allowing people to make online payments. It connects to a credit card and then enables you to make payments with it. It saves time and simplifies transactions for any business. To make a transaction successful, you need a payment processor gateway. It is a mechanism connecting the information provided by client’s bank to the bank of the merchant using the payment processor. The main purpose of the payment gateway is to notify the processor about the payment acceptance or decline. The processor of the payment on its end obtains the customer's card information and passes it to the account of the merchant.

The benefits of using a payment processing app

It’s no secret that the world of business is changing. In the age of technology, more companies are moving online. It has led to a need for new payment processing methods that can accommodate this new way of doing business. Payment processing apps are one of the methods. 

There are several benefits to using a payment processing app:

  1. They’re easy to use. Most payment processing apps are very user-friendly and easy to navigate. It makes them ideal for small businesses that are just starting.
  2. They’re convenient. With a payment processing app, you can make payments anywhere, anytime. It is a huge advantage for businesses that are always on the go. Customers can make payments anytime, anywhere, and companies can accept payments from various sources.
  3. They’re secure. Payment processing apps use state-of-the-art security measures to keep your information safe.
  4. They’re fast – payment processing apps and gateways are typically faster than traditional payment methods, such as checks or money orders. The funds are transferred immediately, rather than waiting for the check to clear or the money order to be processed.

Various payment processing apps are available, each with its own features. Below are the payment processing apps and gateways that are commonly used today:

  • PayPal – one of the most used payment gateway. PayPal allows you to make and receive payments from anywhere in the world. 
  • Stripe – a popular choice for businesses that need to accept credit card payments. Stripe offers a simple, user-friendly interface.
  • Square – another popular choice for businesses that need to accept credit card payments. Square offers a variety of features, including the ability to track sales and inventory.
  • Apple Pay – perfect for businesses that use Apple products. Apple Pay allows you to make payments with your iPhone or iPad.
  • Google Wallet – perfect for businesses that use Android products. Google Wallet allows you to make payments with your Android phone or tablet instead of a credit card.

How to choose the right payment processing app for your business

Choosing the right payment processing is crucial for any company providing services or goods. Before you decide what app to select, consider the type of payments you want to make. Next, think about the fees. Each app typically charges a small fee for each transaction. Make sure to compare the costs of different apps before making your decision. The features are also significant. They define the capacity of functions you can perform with the chosen payment gateway. And last but not least - the security. Choose an app that uses encryption and other security measures to protect your data and the personal data of your customers, who will provide information about their bank accounts and credit and debit cards.

How to create a payment app?

When it comes to creating a payment app, there are a few things you need to keep in mind. You need to decide on the features you want your app to have, such as the ability to track sales, send invoices, and manage customer information. Then select a payment processor that will handle transactions for your app. Before diving into the development, first determine the type of the payment app. Usually, the kind of apps depends on the payment type — how customers will pay for services and products:

  • credit cards and debit cards; 
  • digital wallets;
  • direct debit and bank transfer;
  • cryptocurrency.

Then select the platform of the future app. If it is easier, start with one platform, like iOS, and expand the project by creating an app for Android later on. The next step is defining the list of features for the app. Most often, such apps include the following features:

  • login and passcode or fingerprint/face authentication;
  • notifications;
  • messaging;
  • digital wallet;
  • bills and invoices;
  • transaction history.

One of the biggest tasks in payment app development is building a reliable security system within it. After all, you don’t want your customers’ personal information being compromised. Here are a few tips for keeping your payment apps secure:

  • set password requirements so they would be substantial;
  • enable two-factor authentication to create an additional layer of security by requiring users to enter a code from the phone in addition to a password.
  • keep your software up to date – payment processors are constantly upgrading their security measures, so it’s crucial to keep your app updated;
  • don’t store sensitive information – if possible, avoid storing sensitive information, such as credit card numbers, on the app;
  • don’t expose the user’s credit card details.

All financial transactions need security and safety. When you create a mobile payment app/payment gateway, people give you their credit card details. Therefore, you need to understand that users’ financial data security and safety are the topmost priority. Moreover, your payment app layout should be smooth, safe, and secure. The final step is choosing the technical stack and starting the development. The best way is to use a no-code platform such as AppMaster. With the robust functionality of AppMaster, its business processes editor, data model designer, built-in modules, and integrations via API, you can build a payment app of any complexity. To learn how to start and build the first project on the platform, register for the free trial period and try out the instrument.

Conclusion 

The payment processing apps allow you to implement different payment methods in your business and provide customers with more convenience. If you'd like to create your own solution for processing payments with the no-code tool, you can do this in no time.