How To Integrate A Payment Gateway Into A Website

How To Integrate A Payment Gateway Into A Website

The internet has revolutionized how we shop. Gone are the days of flipping through catalogs or waiting in long lines. 

With a few clicks, we can browse a vast selection of products and have them delivered straight to our doorstep. However, a seamless and secure payment system is crucial for any online business.

This is where payment gateways come in. They connect your website to your customers’ financial information, ensuring a smooth and trustworthy transaction process.

So, how do you integrate this vital technology into your website? In this blog post, we’ll explain the steps to setting up a payment gateway, from choosing the right provider to ensuring a secure checkout experience for your customers.

But before that, let us understand what a payment gateway is:

What Is A Payment Gateway?

A payment gateway acts as a secure intermediary between a customer, a merchant, and the financial institutions involved in a transaction. In simpler terms, it’s the service that allows you to pay online or by swiping your card at a store. Here’s a breakdown of how it works:

  • Customer: You enter your payment information, like credit card details, on a merchant’s website or app.
  • Payment Gateway: The payment gateway securely transmits this information to the relevant financial institutions.
  • Financial Institutions: These institutions, typically the issuing bank (your bank) and the acquiring bank (the merchant’s bank), verify the information and check for sufficient funds.
  • Payment Gateway: Once the transaction is approved, the payment gateway sends a confirmation to both the customer and the merchant.
  • Merchant: The merchant receives the payment and fulfils the order.

Payment gateways ensure smooth and secure payment gateway integration for online transactions. They encrypt sensitive data, prevent fraud, and streamline the overall payment process for businesses and customers.

Now, let us move to the next important thing that you should understand about payment gateways the different types that they come in:

Types of Payment Gateways

There are four main types of payment gateways, each with its own advantages and disadvantages in terms of integration and user experience. We use them in our e-commerce development services according to user requirements and budget.

Here’s a breakdown of each type:

1. Hosted Payment Gateways

These are the simplest to set up, as they are entirely managed by a third-party service provider. When customers click “pay” on a merchant’s website, they are redirected to the payment gateway’s secure payment page to enter their information.


  • Easy and fast to integrate, ideal for businesses with limited technical resources.
  • The payment gateway provider handles security and PCI compliance, reducing the merchant’s burden.
  • Often offer a wider range of payment options for customers.


  • Less control over the checkout experience and branding.
  • Customers might abandon their cart due to being redirected to a different site.
  • May have higher transaction fees compared to other options.

2. Self-Hosted Payment Gateways

This approach gives merchants more control over the checkout process. Customers enter their payment information directly on the merchant’s website, and the gateway securely transmits the encrypted data to the financial institutions for authorization.


  • Provides a seamless checkout experience since customers remain on the merchant’s website.
  • Offers greater control over branding and customization of the checkout process.
  • Potentially lower transaction fees compared to hosted gateways.


  • Requires significant technical expertise for setup, maintenance, and security compliance.
  • Merchant assumes responsibility for PCI compliance, which can be complex.
  • May not offer the same range of payment options as hosted gateways.

3. API-Hosted Payment Gateways

Similar to self-hosted gateways, customers enter their information on the merchant’s website. However, instead of a full checkout page, the gateway utilizes an API (Application Programming Interface) to transmit the data for authorization securely.


  • Offers a smooth checkout experience like self-hosted gateways.
  • Provides more flexibility and customization options compared to hosted gateways.
  • Potentially lower transaction fees than hosted solutions.


  • Requires some technical knowledge to integrate the API into the merchant’s website or app.
  • Merchants are still responsible for PCI compliance.
  • May not be as user-friendly for businesses with limited technical resources.

4. Local Bank Integration Gateways

This type leverages the direct connection between a merchant’s bank and the customer’s bank for account-to-account transfers. This is often used for regional or national payment methods specific to a particular country.


  • Can offer faster transaction processing times compared to other gateways.
  • May have lower transaction fees due to the direct bank connection.


  • Limited in scope, typically only supporting specific regional payment methods.
  • Integration complexity can vary depending on the specific banks and payment methods involved.
  • May not be suitable for businesses with a global customer base and multiple merchants onboard.

Now that you understand the basics of a payment gateway and different types, let us take a look at the process of setting up a payment gateway on your website:

How to Integrate A Payment Gateway On The Website

Here are the steps for implementing a payment gateway on your website:

1. Choosing the Right Payment Gateway Partner

The first step in integrating a payment gateway is selecting a provider that meets your specific business needs. 

Here are some key factors to consider:

  • Transaction fees: Compare the different fee structures offered by various providers. These can include per-transaction fees, monthly fees, and chargeback fees.
  • Payment methods accepted: Does the gateway support the payment methods your target audience prefers? This could include credit cards, debit cards, digital wallets (like PayPal and Apple Pay), and recurring billing options.
  • Security measures: Ensure the provider prioritizes robust security features like PCI compliance and fraud prevention tools.
  • Ease of integration: Consider your technical expertise. Some gateways offer user-friendly interfaces and plugins for popular e-commerce platforms, making integration a breeze.
  • Customer support: Reliable customer support is crucial for troubleshooting any payment-related issues.

Popular Payment Gateway Providers:

  • Stripe
  • PayPal
  • Authorize.Net
  • Braintree
  • Amazon Pay

Additional Tips:

  • Look for gateways that integrate with your website platform(like WooCommerce) or shopping cart software.
  • Read customer reviews and compare features before making your decision.

2. Setting Up Your Merchant Account

Once you’ve chosen a payment gateway, you’ll need to establish a merchant account with them. 

This typically involves providing your business information, tax documents, and banking details. The approval process can take some time, so plan accordingly.

3. Integration with Your Website

The integration process involves incorporating the payment gateway’s code into your website. 

Many providers offer user-friendly integration tools and plugins that simplify this step, especially for popular website builders and e-commerce platforms. For more complex setups, you might need to involve a developer with expertise in your website’s coding language.

Here’s a general breakdown of the integration process:

  1. Obtain API credentials from your payment gateway provider. These act as unique keys that allow your website to communicate with the gateway securely.
  2. Implement the payment gateway’s code or plugin on your website’s checkout page. This typically involves creating a secure payment form where customers enter their billing information.
  3. Configure the payment gateway settings to match your preferences, such as specifying the types of payments you accept and defining tax calculations.

4. Testing and Going Live

Before launching your website to the public, rigorously test your payment gateway functionality. 

Make sure it processes transactions smoothly across different devices and browsers. Conduct test transactions using real credit card details (with the cardholder’s permission, of course) to simulate the entire purchase process.

Once you’re confident everything is working flawlessly, you can finally launch your website with the payment gateway integrated.

5. Security Considerations

Security is paramount when dealing with online transactions. Here are some best practices to remember:

  • PCI compliance: Ensure your website and payment gateway adhere to PCI (Payment Card Industry) Data Security Standards. These standards are designed to protect sensitive customer data like credit card numbers.
  • SSL certificate: Implement a valid SSL certificate on your website. This encrypts communication between your website and customer’s browsers, safeguarding their financial information.
  • Fraud prevention tools: Utilize the fraud prevention features offered by your payment gateway provider. These tools help identify and prevent fraudulent transactions.

By following these steps and prioritizing security, you can set up a payment gateway that fosters trust with your customers and streamlines your online sales process. 

Remember, a smooth checkout experience is essential for customer satisfaction and repeat business.

Skein Technologies: Your Trusted Partner

In today’s competitive e-commerce world, offering a secure and user-friendly payment gateway is no longer optional – it’s a necessity. 

While the payment gateway integration process may seem daunting, navigating the world of payment gateways doesn’t have to be a solitary trek.

Skein Technologies can be your trusted partner in setting up the perfect payment gateway for your website. Our team of FinTech experts possesses the knowledge and experience to:

  • Analyze your business needs: We’ll assess your specific requirements and recommend the most suitable payment gateway provider based on transaction fees, supported features, and ease of integration.
  • Streamline integration: Our developers can seamlessly integrate the chosen gateway with your website, ensuring a smooth checkout experience for your customers.
  • Prioritize security: We understand the critical nature of online security. We’ll guide you through implementing best practices like PCI compliance and SSL certificates to safeguard sensitive customer data.

By partnering with Skein Technologies, you can take the guesswork out of setting up your payment gateway. We’ll ensure a secure and efficient transaction process, allowing you to focus on what matters most – growing your online business.

Leave a Comment

Your email address will not be published. Required fields are marked *

We Are Skein Technologies

A team of 25+ professionals working together to help clients build user-friendly digital products. Our 10+ years of experience in serving 200+ clients from various industries makes us one of India’s leading IT solution companies.

Know More →

Table Of Contents

Table of Contents

Scroll to Top
Scroll to Top