The payment processes of the times have greatly altered. Now it is no longer just limited to the taking and giving of cash, there are several modern technological options available these days such as debit and credit card payments, internet banking, and apps like google pay, Paytm, etc. But in order to keep this functioning properly, a payment service provider is required. Ram Chary has been working in several roles at Fidelity National Information Services, Inc. which is a banking and payment technology company. He is well aware of the changing trends of payment as he currently is employed as the Executive Vice President of Global Commercial Services.
It has not been long since these third-party companies have come into existence to safely and securely help with the transactions between the customers and the businesses. A PSSP typically connects to the acquiring banks and payment networks. They work as the middleman to ensure that payment reaches the giver to the taker safely.
Ram Chary and others like him in the field of financial service providers would be able to give a vivid insight into the process of operation of these PSPs. They carry out the payment from initiation to completion and also make sure that both parties are appropriately informed about the transaction. This helps both the merchant and the customer as it saves them the hassle of directly dealing with the bank. They take a small percentage of the transaction as their fee for the risks they are managing efficiently and effectively.
The reason these PSPs are gaining impetus in the present times is the various advantages they provide for any transaction.
- The first as is already mentioned is the safety of a transaction. Both the parties involved in the transaction can rest assured that their money is reaching the concerned party. The PSPs also ensure to inform the related parties through notifications even if a transaction fails for some reason.
- The multiple payment methods these service providers make available are worth the while. Then upgrade themselves and make sure that all the latest payment modes are present in their portal. The user can make payments with their internet banking facilities, credit card, debit card, as well as an e-wallet.
- One very important advantage of this platform as would vouch Ram Chary is the prevention of fraudulence. The PSPs make sure that the customer details are thoroughly verified and only after that initiate the payment. In case there is any discrepancy the transaction is immediately terminated and the parties informed.
- The ease of reconciliation with the bank concerned is yet another crucial benefit of the PSPs. In case there is any glitch in the system wherein an amount is deducted from the bank, it can easily be refunded following the set protocols.
- Everyone gets the added benefit of getting a record of the transactions that take place through the PSP. It is a very helpful tool in case someone has to refer to their transactions in the future.