E-PAYMENT SYSTEMS.PPT.pptx

Electronic payment systems

1. E LECTRONIC P AYMENT S YSTEM PREPARED BY : VAMSHI.P 19D01A05A2 COMPUTER SCIENCE ENGINEERING ST.MARY’S GROUP OF INSTITUATIONS -HYD

2. Electronic Payment System (e-Payment) is a type of payment conducted via electronic or online mediums. Online payment systems eliminate the need for cash or cheque payments. It is a unique payment method that allows you to conduct online transactions via digital wallets, bank cards and internet banking systems. WHAT IS E-PAYMENT SYSTEM.........

3. Modes Of EPS 🠶 Cr e d i t C a rd 🠶 Deb i t Ca r d 🠶 S m a rt C a rd 🠶 E l e c t ro n i c Fund T r a n sf e r ( EF T ) 🠶 E-Cheque

4. Credit Card 🠶 Payment using credit card is one of most common mode of electronic payment. Credit card is small plastic card with a unique number attached with an account. It has also a magnetic strip embedded in it which is used t o r e a d cr e d i t card v i a c a rd r e a der s . W h e n a cust om e r p u rc h a s e s a product via credit card, credit card issuer bank pays on behalf of the customer and customer has a certain time period after which he/she can pay the credit card bill.

5. Credit card payment process Step Description Ste p 1 Bank issues and activates a credit card to customer on his/her request. Ste p 2 Customer presents credit card information to merchant site or to merchant from who m h e / s he wa n t t o purcha s e a pr o d u c t / s er v ice. Ste p 3 Merchant validates customer's identity by asking for approval from card brand company. Ste p 4 Card brand company authenticates the credit card and paid the transaction by cred i t . M e rch a nt ke e p s t he s a l e s s li p . Ste p 5 Merchant submits the sales slip to acquirer banks and gets the service chargers p a i d to h i m/h e r. Ste p 6 Acquirer bank requests the card brand company to clear the credit amount and gets the payment. Ste p 6 Now card brand company asks to clear amount from the issuer bank and amount g e t s t ransferr ed t o card bra n d com p a ny.

6. Debi t Card 🠶 Debit card, like credit card is a small plastic card with a unique number ma p p e d w it h t h e b a n k a cco u n t n umb e r. I t i s r e q u i r e d t o h a v e a b a n k account before getting a debit card from the bank. The major difference between debit card and credit card is that in case of payment through deb i t card, a mou n t g e t s deduc t e d fr o m c a rd's b a n k a cco u n t i m m e d i a t e l y and there should be sufficient balance in bank account for the transaction to get completed. Whereas in case of credit card there is no such compulsion.

7. DEBIT CARD PAYMENT PROCESSING :

8. S m ar t Card 🠶 Smart card is again similar to credit card and debit card in apperance but it has a small microprocessor chip embedded in it. It has the capacity to store customer work related/personal information. Smart card is also used to store money which is reduced as per usage. 🠶 Smart card can be accessed only using a PIN of customer. Smart cards are secure as they stores information in encrypted format and are less expensive/provides faster processing.Mondex and Visa Cash cards are e x amp l e s of sma r t c a rds.

9. SMART CARD

10. Electroni c Fund Transfer 🠶 It is a very popular electronic payment method to transfer money from one b a n k acc o u n t t o a n o t h e r b a n k acc o u n t . A cco u n t s can be i n s a me b a n k or different bank. Fund transfer can be done using ATM (Automated Teller M a c h i n e ) or us i n g comp u t e r t h ro u gh b a n k w e b s it e .

11. E-Cheque 🠶 I n t h i s sy s t e m b a n k pr o v i de y o u a sof t w a re t h ro u gh w h i ch y o u can crea t e y o ur o w n e - c h e q u e a n d f i l l w it h a mou n t a n d t r a n sf e r t o w h e re y o u w a n t.

12. 1. Instant Payment 2. Higher payment security 3. Better customer convenience 4. Saves processing costs 5. Low risk of theft 6. Transparent 7. Contactless ADVANTAGES OF E-PAYMENT SYSTEMS :

13. DISADVANTAGES OF E-PAYMENT SYSTEMS : 1.Password Threats 2.Limitations on Amount and Time 3.Risk of Being Hacked 4.False Identity 5.Additional Cost and Effort 6.Loss of Smart Cards

14. RESOURCES : 1.https://wealthhow.com/disadvantages-of-electronic-payment-systems#:~:t 2.https://customerthink.com/ 3.https://www.bing.com/images/