When it comes to online payments, safety and traceability are always top of mind. Not only do you want your customers to have a safe payment experience, but online payment platforms must be secure for your business too.
In this article, we outline how digital payments work and the security measures that keep your business safe.
Electronic payments are money exchanges done electronically or through online modes. There is no exchange of physical cash involved, which can naturally make getting paid easier. Types of electronic payments include mobile payments, computers and credit, debit and prepaid cards.
For digital payments to work, both parties involved (whether it’s a customer or business) must have their own bank account or online banking method to make the transaction go through.
The switch from cash to digital payments has led to an increase in business growth for many organizations. By eliminating paper cheques and physical money, business processes have become more efficient and streamlined – for both the consumer and business owner.
For businesses, there are a few additional benefits to going cashless. To start, cash management and human error decrease significantly – which also reduces the opportunity for theft. Digital payments are a lot faster, resulting in shorter wait times for customers, which can boost customer loyalty and retention. Electronic payments also help business owners with traceability and allow them to collect customer data to make informed business decisions for the long term.
As a merchant and business owner, it’s important to understand how payment platforms work. When online payments are being processed, there are two main stages to account for, the authorization and the receiving into your account.
Let’s break down the authorization process:
The second part of the online payment process is the settlement stage. This includes:
With QuickBooks Payments, business owners have a safer and more cost-efficient way of doing business. Nanopay is built on a cryptographically secure blockchain and features a secure API that reduces integration time and project risk. The user-friendly technology can be used on-premise or through the cloud, creating a secure payment method for both yourself and your customers.
When businesses collect payment data, they open themselves to more customer and business insights. Data helps business owners make informed decisions and reduce wasted money. Below are a few reasons why data collection is essential for your business.
If you know what types of payment methods your clients are using, then you can cater to their needs (depending on cost). This can be a big win for your business and help with growth.
When you constantly improve the customer experience, it creates loyal customers. When your business processes are streamlined, you’ll have happy customers, and you can grow your business even faster.
A lot of customers don’t carry around cash anymore. So, having more payment options (like debit, credit, mobile pay and more) means quicker payments into your bank account while making your customers happy.
QuickBooks Payments is designed to give your customers flexible payment options while getting you paid four times faster1 with instantly payable invoices. Streamline your business’s payments and learn all about payment analytics using QuickBooks. Get started and take control of your finances and business today.
Are online payment platforms safe for my customers and clients?
When customers purchase online or through a mobile app, they must provide their personal card information to complete the purchase. There’s always a slight risk involved, however, QuickBooks and Nanopay involve multiple layers of security, so you can complete your transactions with confidence.
In some cases, retailers may allow customers to use a third-party company which doesn’t always share information with business owners.
Which payment method works best for small businesses?
The best thing small businesses can do is offer customers a wide range of payment methods. This can include debit and credit cards, Apple Pay, mobile payments and many more. The more you limit your customer base, the more friction it can cause for your clientele.
Are there online payment privacy laws put in place to protect my clients?
In Canada, the Personal Information Protection and Electronic Documents Act (PIPEDA) applies to businesses and organizations that collect and use personal information. This Act has different rules, which depend on your location in Canada.
Money movement services are provided by Intuit Canada Payments Inc.
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1Get paid 4x faster: ‘Four times as fast’ based on Canadian customers using QuickBooks Online invoice tracking and payment features compared to customers not using these features from August 2022 to July 2023.
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