Payment Gateways: Payment Gateways are tools that work as virtual POS terminals; they receive the user’s credit card details, encrypt them, and verify them before passing them on to the processors to complete online transactions. Payment Gateways are essential tools for e-commerce businesses. They work as a bridge that conveys encrypted credit card data to the processor. They ensure that credit card details are verified and the account is authorized to make payments. They also check the account balance before confirming the payment so that the fund transfers are valid and transparent.