What does e-payment mean?
Electronic payment (e-payment) concerns electronic money transactions. This term gathers a wide range of payment methods that are merely made online. Products and services payments can be made with the e-payment, which is often mentioned as online payment as well.
The e-payment can be basically divided into two groups. The first one concerns the “traditional payment processes” such as purchase on account, cash on delivery, cash before delivery, bank transfer, electronic direct debit or payment with credit card.
Here there are explained some paying methods:
- Purchase on account: sellers allow buyers a payment deadline, in which a sum must be payed.
- Cash on delivery: buyers pay the sum directly to the logistics company that has been authorized from the seller to receive the goods.
- Cash before delivery: payments are made before sellers send the goods.
On the other hand, there are the “modern methods” of e-payment.
- PayPal: the user has only to log in with his e-mail address and password, then bank details must be provided. Online shops do not obtain bank details of users with this payment method.
- Instant transfer: this cashless payment method is a payment method of the “Sofort GmbH”. The seller does not obtain immediately the sum but rather only a payment confirmation.
- Payment via Amazon Pay: in online shops that enable this payment method, the user has only to click on the button “Amazon Pay” and insert his e-mail address or mobile phone number and his Amazon password (this only if he already has an account on Amazon). In this method of payment, users benefit at the same time from the a-to-z guarantee protection by Amazon.
The advantage of cashless payments with PayPal, Amazon Pay and so on, is that buyers do not always have to insert bank and credit cards data in every single online shop. In this way, the ordering process of products or services acquired on internet is much faster.