Payment Gateways and E-commerce in India

Payment Gateways in India

There are a few big e-payment companies in India like EBS, CC Avenue and Bill Desk etc. but the e-commerce gateway business is largely dominated by big private banks e.g. HDFC, ICICI & Citibank. With increase in e-commerce websites in India, online transactions have also increased annually by 50%  in India. Yet, Indian e-commerce softwares are far behind when compared to those meeting with International Standards. They need utmost improvement to deal with rapidly growing e-business and mobile commerce business in India. E-tailing alone is contributing 6% of its share in an e-commerce industry of Rs. 43000 crores.

Bulls and bears are fighting on streets of India to catch the honey. It is the strongest economy of the world which has not plunged even when there are clouds of recession around the world. In India, internet has become a prime media to search and sell products online. Shopping Malls have started to offer their products online to their customers. The impact of internet can be understood by this fact that even marriages are being solemnized through website services. Jobs and even marriage search engines are charging for their online premium services.

E-commerce through PayPal

It is a US based e-commerce business having its network throughout the world. It provides facilities of transferring and receiving money to its subscribers. It has around 230 million customers worldwide. Though this is available in 190 countries and regions but it is offering localised websites for only 17 countries only. Through it one can send and receive 24 currencies. It supports e-business through its unique and secured transaction system. It has started its operation in March 2000. Later, it became a fully owned subsidiary of eBay (a U.S. based Consumer to Consumer e-commerce website) in 2002.

Since regulations in India does not permit setting up of the eWallet platform, the subsidiary of eBay, has devised PaisaPay in India. PaisaPay is a partner of Bill Desk’s payment gateway and works like it; it does not charge any fee for setting up an account.

How to Set Up Pay Pal Account

There are four types of PayPal accounts like personal, premier, business & student. Anyone can subscribe for any account since Pay Pal does not charge any fee for opening an account.

One can setup his account by just signing up and feeding his information. It is mandatory for Indian subscribers to submit Pan Card and bank account details for setting up an account. They send a verification email to the subscriber. Submission of funding source – either a bank account or credit card details, with them is essential. The PayPal funds twice the registered account. The subscriber has to confirm his registered account by submitting the details of amount received in his funding source.

Once the account is verified, PayPal informs the transaction limit. Now you account is set up with Pay Pal and you can start online transactions.

Read Also: eCommerce in India