PayMongo offers a suite of advanced card features that go beyond simple payment processing, giving you greater control over your financial operations and enhancing the customer experience. This article provides a comprehensive overview of these powerful, API-driven tools, including Hold then Capture, Card Vaulting, and our Subscriptions API. Learn how these features can be leveraged to streamline your business models, from pre-ordering and recurring billing to a seamless checkout experience.
Hold then Capture: The Two-Step Payment Process
The "Hold then Capture" feature (also known as pre-authorization or manual capture) separates a credit card transaction into two distinct steps: authorizing the payment and capturing the funds.
What it is: In a traditional "straight payment," authorization and capture happen instantly and sequentially. With Hold then Capture, you can pre-authorize a customer's card for a specific amount, which holds the funds without immediately pulling them from the customer's account. You then have up to 7 days to manually capture the payment, either for the full amount or a partial amount. After 7 days, the authorization is automatically voided.
Business Benefits:
Flexibility: Capture funds at a later time, such as after you have shipped an item or delivered a service.
Order Verification: Gives you a window to verify an order, check for stock, or confirm service availability before the actual payment is processed.
Fraud Prevention: Allows you to authorize funds before an order is fulfilled, reducing risk.
Developer Integration: This feature is integrated into the Payment Intent workflow via the PayMongo API. For detailed implementation steps, your developer can refer to the PayMongo Hold then Capture API documentation.
Card Vaulting: Securely Saving Card Details
Card Vaulting allows you to securely store your customer's card details with PayMongo for faster and more convenient future purchases.
What it is: Instead of storing a customer's sensitive card information on your servers, PayMongo tokenizes and securely stores the card details on your behalf. On a customer's first purchase, they are given the option to save their card. For all subsequent purchases, they only need to enter their CVC to complete the transaction.
Business Benefits:
Improved Checkout Experience: Customers enjoy a quicker, "one-click" checkout process without having to re-enter their card details for every purchase.
Higher Conversion Rates: A frictionless checkout can lead to more completed purchases and fewer abandoned carts.
Increased Customer Loyalty: Provides a seamless experience that encourages repeat business.
Developer Integration: This feature is a key part of the PayMongo API and is ideal for businesses with a high volume of repeat customers. Your developer can find the technical details and API endpoints in the PayMongo Card Vaulting API documentation.
Subscriptions API: Automating Recurring Payments
The Subscriptions API is designed for businesses with recurring billing models, allowing you to set up and manage automated payments for your customers.
What it is: This API enables you to easily enroll customers in subscription plans, manage invoices, and automate the process of auto-debiting their credit or debit cards periodically. You can create plans with specific amounts, currencies, and billing cycles, and then link customer subscriptions to those plans.
Business Benefits:
Consistent Revenue Stream: Establishes a predictable and reliable income source for your business.
Reduced Operational Inefficiencies: Eliminates the manual work of collecting payments every billing period.
Enhanced Customer Convenience: Provides a hassle-free, automated payment option for customers, improving retention.
Flexible Management: Allows for effortless management of subscriptions, including cancellations and plan changes.
Developer Integration: The Subscriptions API requires an existing PayMongo API integration. For a detailed guide on how to create plans, customers, and subscriptions, your developer can refer to the PayMongo Subscriptions API documentation.
USD Cross-Border Payments
PayMongo provides a solution for businesses in the Philippines to accept payments from international customers in USD, using credit or debit cards.
What it is: You can accept USD payments from customers using Visa or Mastercard cards issued outside of the Philippines.
Business Benefits:
Expand Your Customer Base: Reach international customers and grow your business beyond local borders.
Simplified Transactions: PayMongo processes the payment, and funds are disbursed to you.
Developer Integration: The API supports accepting these cross-border payments. For more information, your developer can consult the relevant PayMongo API documentation.