Online payment systems - online payments, mobile banking, and money transfer sites
Okay, so, now that I have found the perfect online betting site for me, how do I begin collecting my money?
No list of the best betting sites would be complete without a list of the best online payment systems. After all, what good is online gambling without a reliable means by which to collect your winnings? There are numerous services out there for us to choose from when it comes to how we access our money, some of which are much (much) better than others. So, before you can figure out which online payment system is going to be the best, it is crucial that you do a little bit of research.
The business model for many of these sites, mind you, is to profit off of taking a cut of your money. Some of them, naturally, will take higher fees than others. So, the most important component to choosing an online payment system, in my opinion, is to do your homework and discern which one will offer the lowest fees. This is, of course, not the only thing to take into account (far from it), when making this decision. However, it is arguably the most important. – unless, that is, you are rolling in so much dough that you simply do not care (must be nice!).
The typical running fee for online payment systems is somewhere around 3%. This is probably due to the fact that PayPal, easily the world’s most popular online payment system, set the precedent when they fixed their fee rate at 2.9% a few years back.
Most other online payment systems quickly fell in line. There is, though, a bit of variance, nonetheless. Of course, in the true spirit of capitalistic competition, other businesses have tried to give PayPal a run for their money (or your money, I guess) and, thus, offer slightly lower fees and other ways to entice users into linking their bank accounts.
Before we can come to a conclusion as to what the best online payment system is, though, I think that it would be prudent to cover some common terms that will be used when discussing online payment systems. While reading through my reviews of the best online payment systems, feel free to refer back to this as a sort of glossary of terms, a vocab list. Here are some of the terms you will come across in my reviews:
The term “ACH payments” refers to any electronic debit or credit transfer. ACH payments are most commonly used in assisting people make monthly bill payments on things like mortgage, rent, utilities, loans, etc. ACH is an acronym; it stands for Automated Clearing House and the overwhelming majority of online payment systems offer clearly delineated ACH payment options.
ACH payments are particularly common for monthly, subscription-based payments, such as your Netflix or Hulu bill. ACH payments typically do not have any fees associated with them, and any one of the best online payment systems will have an ACH payment option included with their service.
A merchant account may not be as directly applicable to which online payment system may be the right fit for internet sportsbooks and casinos, but I am of the belief that the best online payment system will offer a wider range of services than just allowing us to collect our payouts of the week’s winnings.
Merchant accounts allow users to receive payments via credit or debit cards. So, should you ever want to sell any goods or services (or, perhaps you want to start collecting bets from friends yourself), finding an online payment system that offers merchant accounts (again, the lower the fees the better), might take priority in your search. Most of the online payment systems found here will allow users to act as both merchants and customers via their payment gateway.
A payment gateway is the system by which merchants are able to securely execute credit card transactions, passing information safely between merchant and customer, as well as between merchant and the payment processor itself. Think of it as something like a middleman, handing all transactions between you, your sportsbook, and your bank.
Whatever company a merchant (online sportsbook for our purposes) uses to handle online credit card transactions is the payment processor. They ensure anti-fraud measures take place, protecting both the merchant and the customer from foul play of any kind.
The Payment Card Industry (PCI) has certain official Data Security Standards (as they should). Online payment systems must meet PCI compliance, then, in order to conduct business. PCI compliance is the way in which a given online payment system sets up its payment protocol so as to meet these standards. The PCI Data Security Standards (PCI DDS) was established by the Payment Card Industry Security Standards Council in order to bolster overall security of credit transactions, as well as increase the security of customer data and diminish fraud.
The best online payment systems, of course, go above and beyond the bare minimum of PCI compliance. You will never find an online payment system here that does not meet PCI compliance. You should never have to fret when it comes to the status of your money (at least not after a bet has taken place!).
Please spare me the economic jargon … what else can I expect from the best online payment systems? Maybe something a little more tangible?
Fair enough. As I do with every kind of site or service that I review, when I am evaluating online payment systems, there are plenty of other things to take into account. Since this list only concerns the best online payment systems anyway, it is safe to assume that all of that boring backend stuff will be up to par, guaranteed. That being said, what are some of the more tangible, everyday components to look for in the best online payment systems?
Well, the first thing that comes to mind for me is the design and user experience offered by the app or site in question. First off, the best online payment systems do have an app to begin with. You should never be in a situation where you cannot access your funds, make a deposit, or pay for something. If an online payment system does not have a mobile app, it is not even worth discussing as far as I’m concerned.
It should be intuitive, natural, and easy to conduct transactions as well. You want to find an online payment system that is, in addition to being extremely mobile friendly, offers a simple, no-nonsense way to conduct your business. Deposits, payments, and withdrawals should be able to take place in a matter of seconds (once you get the hang of your online payment system of choice). Smooth, responsive, and user-friendly app and site design, of course, are at the core of this.
Up there on the list of importance with user experience and design are the features of online payment systems. What, in other words, does your online payment system allow you to do. Some have a much broader range of useful features than others. PayPal’s structure, for instance, of being able to pay users directly via their email address is a good example of this, along with the fact that PayPal is one of the few online payment systems through which users can send money directly to other users.
Some online payment systems, on the other hand, offer robust features that may be more appealing to merchants and sportsbooks than they are to bettors and customers. Services such as Stripe are a great example of this, with their awesome API and PCI compliance features.
Lastly, there are the matters of customer service and transaction speed. Concerning customer service, I would recommend finding an Online Payment System that offers 24/7 live customer support – you know, wherein you can actually speak with a fellow human being. Some of these sites only offer this during normal business hours, but when it comes to handling your money, you should never have to go through a period of uncertainty.
As far as transaction speeds, most of the online payment systems found here will provide the option of instant transfers. By choosing this option when depositing funds into your bank account, the money should be available in a matter of minutes (as opposed to the typical 3-5 business days you would have to wait otherwise). Usually, this comes with an additional fee, but the best online payment systems will at least give you the option.
Why should I go out of my way to find the best online payment system when my online sportsbook already supports my credit card or bank?
This is another good question. I can see why, at first glance, using a third-party online payment system could seem like an unnecessary step, another way for your earnings to get dispersed to people other than yourself before you ever see a dime of it. That being said, take a quick look at what fees are associated with conducting deposits directly through your credit or banking provider with your sportsbook … they tend to be rather steep.
I have seen some online sportsbooks that are bold enough to charge up to a 15% transaction fee with some banks and card providers. I don’t know about you, but that feels like robbery to me. This is why, when it comes to online sports betting, I always make sure to find a sportsbook that allows me to use an online payment system (or, better yet, one that accepts bets in Bitcoin). There are usually no fees associated with online payment systems such as PayPal.
Granted, PayPal itself will charge you a fee, the amount will be negligible in contrast with the oft steep fees charged by online sports betting sites directly. Plus, the wait time will also be much longer. I have had to wait up to 3 weeks once after a payout for me to see my earnings. By using an online payment system, weeks become hours or minutes; and fees shrink from 10 to 15% to only 2 or 3.
Using an online payment system is the smartest, quickest, and most convenient way to ensure that you get the most out of your bets. If you don’t like unnecessary fees and waiting days or weeks to have access to your winnings, finding the best online payment system is the right choice.
There are quite a few online payment systems on this list that I have never heard of … Are all of these online payment systems safe and legit?
Absolutely. Every online payment system found here is 100% safe, reputable, dependable, and reliable. I know that it can be somewhat distressing, letting a new company be in charge of your money. Giving out your bank info and credit card information on the internet, of course, should never be done on a whim. There are far too many scammers and hackers out there, eager to get their hands on this information. I fully understand your concern
However, as is always the case with every one of my categories, I only link and provide reviews of the best online payment systems. What do I have to gain from recommending a mediocre or untrustworthy online payment system? It is always my goal to make the whole of the online sports betting experience better, safer, and more enjoyable for all. Every online payment system here has been thoroughly vetted (the results of which you can find within the contents of each review).
If ever any of the best online payment sites that I list has even so much as had a single transgression, even if it was years ago and long since corrected, I will make sure that you know about it up-front. I am in the business of providing honest reviews of sports betting sites and related sports betting resources – nothing more, nothing less.