A payment gateway is a technology that allows businesses to accept online payments securely. It acts as a bridge between a customer’s bank and the merchant’s bank, ensuring that sensitive information, like credit card details, is encrypted and safely transmitted. This process helps to prevent fraud and keeps both the customer and the business protected during transactions. When you shop online and enter your payment information, the payment gateway processes that data and communicates with the bank to authorize the payment. Once approved, the funds are transferred to the merchant’s account, allowing for a smooth and efficient shopping experience.