The following methods can be used for Online Payments
Credit Card
The most popular form of payment for e-commerce
transactions is through credit cards. It is simple to use; the customer has to
just enter their credit card number and date of expiry in the appropriate area
on the seller’s web page. To improve the security system, increased security
measures, such as the use of a card verification number (CVN), have been
introduced to online credit card payments. The CVN system helps detect fraud
by comparing the CVN number with the cardholder's information.
Debit Card
Debit cards are the second largest e-commerce
payment medium in India. Customers who want to spend online within their
financial limits prefer to pay with their Debit cards. With the debit card, the
customer can only pay for purchased goods with the money that is already there
in his/her bank account as opposed to the credit card where the amounts that
the buyer spends are billed to him/her and payments are made at the end of the
billing period.
Smart Card
It is a plastic card embedded with a
microprocessor that has the customer’s personal information stored in it and
can be loaded with funds to make online transactions and instant payment of
bills. The money that is loaded in the smart card reduces as per the usage by
the customer and has to be reloaded from his/her bank account.
E-Money
Electronic
money refers to money that exists in banking computer systems that may be used
to facilitate electronic transactions. Although its value is backed by fiat
currency and may, therefore, be exchanged into a physical, tangible form,
electronic money is primarily used for electronic transactions due to the sheer
convenience of this methodology.
EFT
An electronic funds transfer
(EFT), or direct deposit,
is a digital movement of money from one bank account to another. These
transfers take place independently from bank employees. As a digital
transaction, there is no need for paper documents. EFT has become a predominant
method of money transfer since it is a simple, accessible, and direct method of
payment or transfer of funds. As businesses increase their usage of EFT, paper
checks become obsolete due to expense, slower expedition, and overall
effort.