How does the Stripe payment gateway work?

Currently, Stripe is considered one of the leading payment software platforms for online business activities, attracting the choice of many people.

This online payment platform currently processes a large number of annual transactions worth billions of dollars for many businesses globally. To learn more about how Stripe works, check out this article from PlutusPay!

What is Stripe?

Stripe is a payment gateway service founded in the US in 2010. It allows e-commerce websites to accept payments directly on their sales website.
Stripe payment gateway offers SDKs (Software Development Kits) that allow customers to easily integrate on iOS and Android devices. In addition, Stripe also provides Stripe API (Application Programming Interface) to support use in many different programming languages such as Ruby, Python, Java, GO...

Stripe Accounts allows you to quickly create multiple accounts for products or sales websites. Each account will have its own payments, its own dashboard, and you can individually authorize users of your choice.

Stripe payment service brings many benefits to users, including:

• Receive payments from customers quickly (2-5 days), while other payment gateways such as Paypal, 2Checkout have a waiting time of up to 21 days.
• Customers can enter card information directly from the sales website without redirecting to another payment page.
• Friendly design interface helps increase conversion rates.

Effects of Publishable key and Secret key

Publishable key (Public key)

A publishable key is a key provided by Stripe for use in your application when using the Stripe SDK. This key is used to create an Ephemeral Key (Temporary Key) to add payment cards to the system.

Secret key (Secret key)

Secret key is a key that you need to keep secret. With this key, you can perform a number of important transactions such as payment, deletion of transaction history, refund, etc. This key is highly secure and can only be used by the server or backend of the server. application.

A clear distinction between Publishable key and Secret key is very important to ensure safety and security in performing payment transactions on Stripe. You can see more here

Stripe's operating process

Below is the detailed operating process of Stripe payment gateway:

• The application sends credit card information to Stripe.
• Stripe processes the information and returns tokens.
• The application sends these tokens to the backend.
• The backend server communicates with the Stripe payment gateway through Stripe's API.
• When the transaction is performed, the payment gateway returns the results to the backend server.
• The backend server sends notifications about transaction results to applications on the iOS platform.

Things to keep in mind when using Stripe payment gateway

When using the Stripe payment gateway, there are some important notes that you need to understand. First, do not make direct deductions on the mobile application (native app). This is because deduction requires the use of a publishable key and secret key. If your secret key is revealed, others can use it to perform transactions such as collecting money, refunding, transferring money... Therefore, it is necessary to ensure that the secret key is stored safely on the server. ).

The above article presents the operating mechanism of Stripe payment gateway. PlutusPay hopes that the article has provided you with a lot of useful information and helped you better understand how Stripe works. If you have a need Rent Stripe payment gateway, Please contact us today!