Gateway and Virtual Terminal
A payment gateway acts as a conduit between your shopping cart software and your merchant account. The gateway collects information from the shopping cart and sends directly to your payment processor in real time. At the end of the day your gateway will batch all sales and send to the processor for settlement. A payment gateway can also acts as a virtual credit card terminal. Allowing you the ability to key enter transactions, force, void and manage recurring payments. A payment gateway is most commonly used by online businesses in which a physical card swipe does not happen.