In the internet gambling business, e-gaming service providers can have difficulties in finding a payment processor that can provide an online gaming merchant account at reasonable cost. A payment gateway is a solution that connects merchants to their customers, allowing businesses to accept transactions for their services.
Many of the traditional banking services reject applications from gaming enterprises out of hand. As a result, payment gateway accounts are labeled as high-risk, and come with high costs and slow processing.
Online gambling and casino owners can choose from several options to accept payments online, with the most popular method having in the past been with a credit card. Recently, however, providers of online gaming websites are adding new payment solutions such as e-wallets, cryptocurrencies and gift cards that can be purchased from popular sites like Amazon and Apple.
What is prompting the move over from credit cards to e-wallet services is that with these, online casinos can take advantage of a solution that offers a payment gateway with the following benefits:
- Advanced anti-fraud and security features, with funds in isolated accounts with uninterrupted access
- Numerous payment methods, including Visa, MasterCard, local and international bank transfers, and cryptocurrencies
- International coverage with over 190 countries as potential customer sources
- Modern websites and smartphone apps for iOS and Android
- Instant and cost-efficient internal client-to-client transfers
- Support for multiple currencies and languages
- Limited risks of chargebacks
- Easy payment gateway integration via open APIs
- Convenient 24/7 customer service to answer queries from both merchants and customers
Gambling payment gateways work to allow players to deposit and withdraw funds from their accounts. Owing nature of the industry, online gambling solutions like casinos often face increased difficulties when trying to open merchant accounts at traditional payment gateway solutions, being classified as high-risk. The solution generally is to apply for merchant accounts through dedicated casino payment gateway solutions that accept businesses from riskier industries. However, these providers are sometimes taking advantage of the industry’s high-risk nature, and are charging extra fees and holding customer funds (anywhere from a few days to several weeks) before transferring them to the merchants.
To select the best payment providers for online gaming, its essential to consider the following factors:
- Geographic spread: gateway must support all localities and languages where your users are located
- Regulatory compliance: both your business and the payment gateway must have matching certification in every area
- Transfer fees: minimal fees for processing transactions
- Transfer speed: fast processing of transactions with the immediate release of customers’ deposits.
- Wide range of payment methods supported: transactions via credit cards, bank transfers, e-wallets, cryptocurrency
- Security: The payment gateway must provide a solution that keeps both merchant and customer funds safe.
- Fraud prevention: As chargebacks are a significant factor in this industry, the provider must offer measures against friendly fraud.
- The payment gateway is the connection between gaming businesses and their customers. It must provide services that enhance the experience of the customers while at the same time allowing businesses to process transactions in the most cost-efficient and the most effective way.