In the world of technology, most people have heard of “the cloud”. The information on my smartphone is backed up “in the cloud”. But is it relevant in the world of card payment processing?

What are cloud-based payments?

The cloud is a cluster of servers hosting data from around the globe. If data is being stored in the cloud, it means that it’s being stored remotely on a server that could be nearby or thousands of miles away.

As long as there is a reliable internet connection, you will have flexibility to access that data from anywhere in the world.

With cloud-based payments, a digital device connects the data to a payment system A cloud-based payment system without the restrictions of a traditional POS system. Payments can be online orders, chip inserted, tap and so on. The cloud solution also offers digital receipts, access to sales reports and much more.

Cloud-Based Payment Benefits

Flexibility and seamless transactions are just a few of the benefits. Consider these as well:

Reporting

Cloud-based payment systems provide 24/7 access to all reports & data, allowing you to track payments as they happen. Some systems integrate with popular software as well. This allows businesses to streamline how they bring new offerings to the market.

Security

Cloud Payments via SaaS (Software as a Service) eliminates the hassle of safeguarding data. Security and privacy are top concerns of SaaS environments. Compliance mechanisms are built into the infrastructure, and automated security patches and updates are applied when they become available.

With better-integrated data, businesses can streamline and speed up how they bring new offerings to market. With everything being organized from within a single system it becomes easier to manage the supply chain, inventory, and much more.

Storage

In a cloud-based payment system, your record of transactions, your customers’ card information and the software that powers your global payment gateway are stored in a remote data center accessed via the internet rather than on your business premises.

The data centers where cloud-based payment software and data are saved have very large storage capacities, making it possible to store much larger amounts of data in the cloud than the amount of data that you could store locally.

Cloud-Based Payment Risks

Like everything, there are also some concerns to be dealt with.

  • A security breach could leave your business and customers’ data exposed to fraudsters.
  • A cloud outage or blackout could leave you without any data and unable to process payments.
  • You need a stable internet connection to process payments using the cloud.
  • With so many businesses switching to the cloud, a higher carrying capacity is required to prevent the system from slowing down.
  • If you have customers who pay with cash or check, you still need a cash register and security protocols for preventing in-store theft.

Technology continues to advance in the payment processing world. We are always looking for a better and more efficient way to help you process your payments.