Gateway for International Payments: Risks in Credit Card Processing

Seeking a gateway relationship for a startup merchant from a developed country is often difficult. Many of them aren’t conscious of the dangers of card processing that come with implementing an international payment gateway. And if they find a suitable payment processing solution, they will believe it is too expensive.

Payment solutions and how to apply them are often misunderstood by startup company owners.


A traditional merchant can simply seek out low-cost or open-source applications. It’s possible that he’ll put it in a storage center and link it to his payment system. He believes that he will be able to afford all the target electronic payment mechanisms and currencies as a result. And transfer the funds to his personal bank account in his hometown.

Payment gateways, on the other hand, work uniquely. The following are a few critical considerations for new companies:

The Banking System’s Entry Point

International banking systems are required for payment gateways to function. An acquiring bank relationship could have such a point of entry. However, acquirers in the United States and Europe are also hesitant to underwrite merchants in countries where they do not have a presence.

Payment Gateway Implementation And Minimization Of Credit Card Processing Risks

In our experience, startups should implement payment gateways according to a recommended strategy.

1. A company should first seek out an acquirer willing to underwrite business as a merchant before considering a gateway solution.

2. Acquirer should provide merchant with processing specifications. Using these specifications, a merchant may decide which gateway solution to integrate.

3. Choose a payment gateway provider that can meet the specifications.

4. Develop a strategy for deploying payment gateways.


Companies that work with international merchants have an increased tendency to be reluctant to work with companies from other countries. The reason for this is that the probability of fraudulent credit card charges is so great. They can charge higher fees or withhold merchant services reserves to mitigate the cost of fraud and possible chargebacks.

Implementing a white label payment gateway approach is one way to dramatically mitigate gateway-related costs.

Learn more about UniPay Gateway White-Label offering today. Contact us to see how we can help with the implementation of a payment solution for your business.