The Components of Online Credit Card Processing

Credit Card transactions that are sent electronically to merchant processing banks for authorization, capture and deposit over the Internet, all follow the same process as outlined below:

Customer’s Credit Card
Provides the funds needed for the transaction. All authorized cards are processed in the same way, regardless if they are credit or debit.
Components of Online Credit Card Processing
Shopping Cart
Serves as a

collection point for necessary information including credit card data, product type and quantity, shipping information and more.

Gateway
Securely transfers encrypted data from the Shopping Cart to the Merchant account, screens for fraud and authorizes the transaction.
Internet Merchant Account (Processor)
Verifies the credit/debit account for the necessary funds. Approved transactions are processed and the funds are placed in a Checking Account.
Checking Account
Receives and holds the money gained from approved online sales. Funds can be withdrawn at any time through an ATM or at your local bank.


In the middle of all this complex transaction is the payment gateway, an e-commerce application that authorizes payments for e-businesses. One of the functions of payment gateways is to protect credit card details by encrypting sensitive information, such as credit card numbers, to ensure that information is passed securely between the customer and the merchant and also between merchant and the payment processor.

With RackNine’s Quick Shopping Cart all these technicalities are automatically taken care of, so you can focus on quickly and easily build a professional, high-quality, online store with several plan options designed to meet the needs of any size online business. You can design the look of your store; add products to your catalog; and select shipping, payment, and tax options. After you set up your store, publish it and you’re in business.

Quick Shopping Cart supports a number of different payment methods, including credit cards, PayPal®, PayPal Express®, Chase Paymentech®, personal checks, cash, purchase orders, and cash on delivery (COD). We support credit card processing through online payment gateways as well as through point of sale (POS) transactions using your existing payment processing account.

Watch the video below to learn just how easy it is to set up shop on the Internet using our ready-made solutions. You can also Contact Us for additional information or to request a customized e-commerce solution for your business.