Payment Gateway

A payment gateway is the technology layer that captures checkout payment details, routes authorization requests to acquirers or processors, and returns approval or decline responses to the merchant application.

Also known as: gateway

Updated Aug 28, 2026by WeiJun Tang, SEO

Core functions

Tokenization, fraud screening hooks, and multi-acquirer routing are common gateway capabilities.

Integration models

Merchants may integrate via hosted pages, mobile SDKs, or server-to-server APIs.

Sources

  1. PCI DSS glossary
  2. Visa acceptance overview

FAQ

  • Not always. Some providers combine gateway and processing; others partner across the stack.

Related terms

Explore related definitions

  • Merchant Acquirer

    A merchant acquirer is a licensed institution that underwrites merchants, routes card transactions to card networks, settles funds to merchant accounts, and manages chargeback and compliance obligations.

    Merchant Acquirer

  • 3-D Secure (3DS)

    3-D Secure (3DS) is an cardholder authentication protocol that adds a step-up challenge during online checkout so issuers can confirm the payer before authorizing high-risk transactions.

    3-D Secure (3DS)

  • Settlement (Card Payments)

    Settlement in card payments is the process of transferring cleared transaction funds from acquirers to merchants after authorization and clearing, net of fees, chargebacks, and rolling reserves.

    Settlement (Card Payments)

  • Interchange Fee

    An interchange fee is a variable cost paid from the merchant acquirer to the card issuer for each card transaction, set by card networks and influenced by card type, region, and merchant category.

    Interchange Fee

  • Payment Facilitator (PayFac)

    A payment facilitator aggregates many sub-merchants under one master merchant identification, enabling platforms to onboard sellers quickly while the PayFac manages underwriting, compliance, and settlement on their behalf.

    Payment Facilitator (PayFac)

  • Card Verification Value (CVV)

    Card Verification Value (CVV) is the three- or four-digit security code printed on a payment card, used to verify that the customer likely possesses the physical or virtual card during checkout.

    Card Verification Value (CVV)

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Automate pay-ins, payouts, and reconciliation with REST APIs, SDKs, and webhooks.

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