Payment Solutions 

Third-party payment solutions help businesses and financial institutions create seamless and engaging consumer experiences without having to develop payment capabilities in-house. If you are new to what’s possible with online payment solutions and payment gateways, this quick guide offers an overview of the landscape—whether you need to make or accept payments as part of your business operations. 

Types of payment solutions 

Many payment solutions fall into one of two categories: payment acceptance and disbursements. Your business may need one or the other—or both. Learn more about these types of payment solutions: 

• Accepting payments. Some businesses need to accept a high volume of payments for goods and services—whether online or in person. Payment processing solutions, payment gateways, mobile point-of-sale (mPOS) systems, virtual terminals and other in-store or online payment solutions may fit the bill. Simply put, these options make it simple, secure and cost-effective to process transactions across multiple channels and accept your customer’s preferred form of payment, whether it’s a debit card, credit card, or payment app.  

• Making payments. Many businesses don’t simply accept payments—they also make payments, or disbursements, to their customers and workforce. Examples of disbursements include consumer incentives for purchasing a product, refunds for overpayment on loans, medical bills or utilities, legal settlements following a class action lawsuit, or compensation for seasonal and contract employees. Businesses can streamline the disbursement process with digital solutions designed to reduce cost, risk and labor. Discover Onbe’s solutions for making payouts at scale.

Providing a variety of payment options 

Whether you need to start accepting payments or making payments, supporting a variety of payment types is critical. According to Onbe + NRG’s 2024 Payouts Landscape, 76% of consumers say payment choice is important to them. Popular payment options include: 

• Credit cards and debit cards – 55% of consumers use debit cards and 47% use credit cards, making these options the most common ways to pay. 

• Prepaid cards – Physical and virtual prepaid cards work similarly to a debit or credit card. They are a popular way to issue disbursements such as rebates and incentives.  

• ACH and bank transfers – For larger transactions or recurring payments, businesses can accept payments directly from customers’ bank accounts via ACH transfers or bank-to-bank transfers. Bank transfers are also an option for paying recipients. 

• Mobile wallets – Consumers can add their cards to their preferred wallets to make contactless payments using their mobile devices. In the 2024 Payouts Landscape, Onbe found that 67% of consumers planned to use mobile wallets as often or more in the coming year. 

• Payment apps – 73% of consumers anticipated making purchases through payment apps with the same or more frequency in the coming year, according to the 2024 Payouts Landscape. 

• Cash and checks – These traditional payment methods are growing less popular among consumers and tend to be costlier to issue and accept. However, there are some cases in which companies may need to support cash and checks—by law or because their customer base requires these options.

• Global payment solutions – If sending or receiving money across borders is a priority for your business, look for solutions offering cost-effective global payment options. Learn about Onbe’s cross-border payment capabilities. 

Choosing the right payment solution 

Many factors go into choosing a payment processing solution to support your business goals. Considerations include: 

• Your business needs and customer preferences. Do you need to process recurring payments, such as for a monthly service or subscription? Pay recipients across borders? Accommodate underbanked consumers by supporting alternative payment options like prepaid cards? Since no payment solution is one-size-fits-all, getting clear on your needs and goals is critical to finding the perfect fit. 

•  Costs, fees and opportunities to drive revenue. The costs associated with a payment processing solution may include setup fees, transaction fees, ongoing maintenance costs, and other expenses. Balance these costs against the features, benefits and revenue opportunities provided by each solution. Additionally, consider the cost savings your business could achieve by switching from costly checks to more efficient digital options. 

• Security and compliance. To protect your business and customers, evaluate prospective payment solutions for security capabilities, tools to prevent and mitigate fraud, and compliance with industry standards such as PCI DSS. If you make disbursements that may be escheatable, find a payment provider offering solutions to help manage and report unclaimed property. Explore Onbe’s end-to-end program management services. 

• Scalability and integration options. Look for payment solutions that can grow with your business and seamlessly integrate with your existing technology, such as your e-commerce website, point-of-sale (POS) system, or accounting software. Embedded or integrated payment solutions tend to offer the most seamless customer experience. 

When both making and accepting payments, having the right technology—and just as importantly, the right payment partner—can help ensure that every transaction happens without a hitch. Chat with an Onbe payments expert about solutions to streamline your disbursement operation.