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PCI Pal Glossary

Payment Gateway

A payment gateway is a technology service that securely transmits payment information between a merchant’s system and a payment processor or acquiring bank.

It encrypts sensitive cardholder data, forwards transaction details for authorization via the relevant payment networks and returns an approval or decline response in real-time. Payment gateways support PCI DSS compliance by securing the transmission of cardholder data and, depending on the integration model, can reduce a merchant’s exposure to sensitive information. However, merchants remain responsible for meeting applicable PCI DSS requirements.

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