What Is a Transaction Through the Internet?

An electronic transaction, also known as a PIN-debit transaction, is a password-protected form of payment that allows the transfer of funds through an electronic transfer of funds (EFT) such as online money transfer.

How Does a Transaction Work Online?

When you pay for goods or services with your debit card, you have the option to process the payment in two different ways: as an offline transaction through a credit card processing network, or as an online transaction through an EFT system, requiring a personal identification number (PIN) to complete the transaction.

The exchange of funds is completed when conducted as an electronic transaction using an EFT network, depending on which EFT program the bank is affiliated with as a participating bank. Usually, the transaction expense amounts to an exchange fee of 1 percent of the overall sales price paid to the vendor/purchaser.

An e-payment system is a way to use an electronic medium to make transactions or pay for goods and services without using checks or cash. It is also called an online payment system, or an electronic payment system.

Attributed to the increasing expansion of internet-based banking and shopping, the electronic payment system has grown increasingly in the last decades. As the world progresses more with the development of technology we can see the rise of electronic payment systems and money transfer services. As these increase, strengthen, and make online payment transactions safer the percentage of check and money transfers should decline.

Computerized Means of Payment

Credit and debit cards were among the most popular online payment forms. Besides, there are alternative forms of payment, such as bank transfers, electronic wallets, smart cards, or bitcoin wallets.

Classification of e-payment methods into two fields, credit payment systems, and cash payment systems.

Web of Cash Payments

·         Credit Card — A type of the e-payment system that allows the use of the card issued to the cardholder by a financial institution to make payments electronically or through an electronic device, without using cash.

·         E-wallet — A type of account balance that stores monetary data for the user, such as debit and credit card information, to facilitate an online transaction.

·         Smart card — A microprocessor plastic card that can be loaded with funds to make money transfers; also known as a chip card.

Therefore, if you want to send money to Nigeria, Ghana, Pakistan, Bangladesh or anywhere else through the internet, then choosing a reputable money transfer company is the best way to do.

Program for Cash Payments

·         Direct debit — A financial transaction in which the account holder instructs the bank to electronically withdraw a defined sum of money from its account to pay for services and goods.

·         E-check — A digital version of an old paper verification. It is an electronic money transfer from a bank account, normally checking account, without using a paper check.

·         E-cash is a component of electronic money, where some amount of money is stored on the device of a client and made available for online transactions.

·         Stored-value card — A token with a certain amount of capital that can be used in the issuer store to make the transaction. Gift cards are a common example of stored-value items.