List of payment gateways available across Pakistan for payment through websites?
May 20, 2021
Online buying and selling can be a problem when there are no adequate means of transferring money online. This problem can be fixed through a payment gateway. Finding the best payment gateway can be a tough job. This article will help you find the best options, so stick with us.
What is Payment Gateway?
A payment gateway is a service used for purchasing different services or items through an online medium. This is a process of online payment which makes it easier for the sellers to receive the payments and for the buyers to transfer their payments. Payment gateways are mostly provided by banks such as HBL or UBL in Pakistan and specialized financial service providers such as JazzCash or EasyPaisa
How does Payment Gateway work?
Payment Gateway works by transferring the buyer’s money to the seller’s bank by an online process. Here are some terminologies you need to know before choosing a payment gateway.
The seller of the online service is known as the merchant. Merchant accounts allow the merchants to accept and make payments. Merchant accounts are for business purposes. Mostly, the banks will ask for your Computerised National Identity Card (CNIC), National Tax Number (NTN).
Merchant Discount Rate (MDR):
Banks will get a certain amount every time a merchant carries out a transaction using a credit or debit card. This is known as MDR which goes to the bank as a processing fee. A certain amount is deducted from the actual amount. For example, if you are paying 200 rupees then 2% will go to the bank when the seller transacts the money. And, the rest of the payment will go to the merchant
The payment gateway provider such as the bank holds the money for some time to avoid any frauds or wrong activities. It delivers the payment once it’s sure that the merchant isn’t a scam.
Benefits of Payment Gateway
Payment gateway has several benefits as it allows you to sell your services to the customers globally. Businesses can grow their clients and easy transactions can be done quickly as well as securely.
Top Payment Gateways in Pakistan
Let’s take a look at the banks that are providing payment gateways in Pakistan.
1. Habib Bank Limited (HBL)
Habib Bank Limited provides the easiest transactional way. It works on several platforms such as websites, Online E-commerce stores, mobile apps, and social platforms like a Facebook shop. HBL has strong security and protects from fraud transactions. The setup fee for an HBL account is 40,000 rupees and the recurring fee per year is also 40,000 rupees which are deducted to maintain the merchant’s account. The settlement period in HBL is 14 days. Their merchant discount rate is 2.5%.
2. United Bank Limited (UBL)
UBL is another leading commercial bank with almost 4 million customers. Its setup fee is 40,000 rupees and the recurring fee per year is 50,000 rupees. The settlement period is 10 days. Their merchant discount rate is 3.5%.
3. Muslim Commercial Bank Limited (MCB)
MCB is one of the well-known banks with almost 7 million customers. It has enhanced security but isn’t good at customer support. Their setup fee is 50,000 rupees and the recurring fee per year 48,000 rupees. They also charge 15 rupees as a transactional fee every time the business processes the customer’s payment.
Payment Gateways- Financial technology companies
Financial technology companies are made solely for making transactions that take place between the merchants and the clients. Let's look at some of the best options that you can use.
It is an amazing platform for businesses like Amazon, SMEs, corporates, and freelancers who are on Fiverr or Upwork. You can easily manage them as your normal bank accounts and conveniently send money and receive money across the borders. After the transfer, you can easily send your money to your local bank. They take the annual fee of $29.95 per year.
Jazz– the number one Pakistani network is providing this mobile service through which you can easily send and receive money. You can send money to CNIC, bank account, or JazzCash mobile account. You can also connect it to a Payoneer account. It is exceptionally growing with 9 million active users.
This service was started in 2009 by the famous telecommunication company- Telenor. With around 7 million active users, it provides a user-friendly interface with low transactional rates of up to 3% for the merchants.
Fonepay is powered by Mastercard and provides ease in your online transactions. It is secure and allows you to pay for third-party services like Google Play, or Netflix, etc. They give various rewards if you are their loyal user, so be ready for discounts and economical packages.
5. Keenu Wallet
Keenu is a digital wallet with benefits. Anything goes wrong; you will get your cash back without any fuss. They don’t offer any discounts. It is easy to access and use as you only need to install the application, put your number, verify the code, give your details (name and CNIC), and in the end verify your identity and you are ready to shop online.
Choosing the best option can be tough but some gateways are for sure better than the others. So, review them deeply before making a choice. The best payment gateways will have the following characteristics:
• You can easily access them
• They have smooth payment methods
• Good payment gateways believe in transparency
• Your data will be safe
Payment gateway is important for online businesses as it grows their customers. Whereas for the customers as it saves them from frauds/scams. It makes the transferring and receiving of money quick. Hence, it is important to have access to a payment gateway to make your life easier. So, what are you waiting for? Choose the payment gateway that is flexible for you now!