What is PSE?
PSE (short for “pago seguro electronico”) is a bank transfer payment solution used in Colombia supported by 20 different banks. It allows users to pay directly from their bank account.
One of the most popular alternative payment methods in Latin America, PSE streamlines the payment process by letting users pay directly from their bank account in real time without having to use a credit card. All it takes to complete a payment is entering the name of their bank and logging into their online banking environment. Customers can then review the pre-populated payment details, authorize the payment, and then wait a moment for their account to be credited.
How does PSE work?
To get started, customers need to have a savings or current account in any of the 20 financial entities allied with ACH COLOMBIA. Naturally, customers need to have the necessary funds to guarantee the transaction, and they should also make sure that the amount and number of transactions are enabled to the maximum.
To complete the payment, customers need to authorize it. Financial institutions require your basic password plus another method that involves an authentication factor such as a token, SMS, etc. These methods vary at each institution.
Why do merchants and consumers use PSE?
Consumers in Colombia use PSE because of its ease of use and efficiency. This payment method lets users pay directly from their bank account and works across 20 banks in the country. PSE also offers many benefits to merchants. If you want to keep your business successful, it’s crucial to process payments quickly. Slow pending payments tie up capital, making it difficult to determine how many resources are available. Real-time payments like PSE are simple, effective, and cost-efficient. They improve the e-commerce company’s cash flow and have better control over finances for a more reliable future business forecast.
How can I start accepting PSE?
Merchants can start offering PSE to their customers by implementing a payment gateway. By partnering with a global payment service provider that offers a cost-efficient and secure system, merchants can start accepting such payments immediately and improve the customer experience while increasing revenue.