by Katherine Johnson
Receiving payments online when you make a sale enables your business to guarantee and collect funds faster than waiting for a mailed check or money order to arrive at your place of business. Many options exist for accepting payments online -- you can choose to use a traditional merchant account or alternatives that do not require monthly fees or equipment rental.
Merchant Account
Merchant accounts enable you to accept credit card orders on the Web, in person, by mail or over the phone. If you are approved, you may be asked to purchase or lease equipment from your merchant account provider to process transactions. Some merchant accounts will help you accept Visa, MasterCard, American Express and Discover, while other merchant account providers may offer only the ability to accept Visa or MasterCard. To open a merchant account, you may have to meet certain credit criteria, provide information about your business and estimate the volume your business will have each month. Merchant accounts often charge you a monthly fee, charge a set per-transaction fee and charge a percentage of each total transaction.
PayPal
PayPal enables you to accept credit card payments, electronic checks and Bill Me Later payments without applying for a merchant account. You will not have to pay a monthly fee, but PayPal does charge a transaction fee and a percentage of the transaction based on your credit card volume. PayPal also offers a credit card swiping device that enables you to take credit card payments in person without paying a monthly fee. PayPal also offers more traditional merchant accounts for businesses to accept seamless payments on a website, but you must fill out an application to be approved for the account.
Google Checkout
Google Checkout is the seller's side of Google Wallet. Any customer who has already signed up for Google Wallet can quickly check out on your website using Google Checkout. Like PayPal, Google Checkout does not charge a monthly fee for processing credit card payments, but you will pay a transaction fee and a percentage of each transaction to Google. Google Checkout integrates with many shopping carts like BigCommerce, Shopify, Vendio, Network Solutions and the WordPress e-Commerce plug-in.
ProPay
ProPay provides an alternative to traditional merchant accounts and services like PayPal and Google Checkout. ProPay does not require a lengthy application process or a high credit score to open an account. You can apply, be approved and begin taking orders within the same day. ProPay offers several different ways to process credit card payments. You can use the online interface that enables you to type in credit card numbers, use the credit card swiping device or phone in credit card numbers to the automated system. Like PayPal and Google Checkout, ProPay does not charge a monthly fee. However, you will pay a yearly fee, a per transaction fee and a percentage of each transaction.
http://smallbusiness.chron.com/receive-payment-online-sales-64830.html
