How a Payment Gateway Works: A Step-by-Step Guide

DAY 62,63🚀 Payment Gateway Integration ft.Razorpay✅ > Payment Gateway Integration with Razorpay allows businesses to securely accept online payments through multiple methods such as UPI, debit/credit cards, and net banking. > It involves integrating Razorpay’s API or checkout system into your application or website, where the frontend collects payment details and the backend securely verifies transactions using a secret key. > Razorpay ensures encryption, fraud detection, and instant settlement, providing a seamless user experience. > Developers can also track, refund, or automate recurring payments, making it highly reliable for businesses. #NodeJS #Backend #MERN #AkshaySaini

🚀 Seamless Payments in SwiftUI! I just integrated Razorpay into a SwiftUI app, enabling smooth and secure payment processing in just a few steps. 🎯 💡 Key Highlights: - Quick setup with Razorpay SDK - Support for test & live modes - Easy-to-handle payment callbacks - Smooth UI experience for users Check out the demo video to see the integration in action! 🎥 Demo Link: https://lnkd.in/d_5WGjAi #iOSDevelopment #SwiftUI #Razorpay #MobilePayments #FinTech #AppDevelopment #DeveloperLife

Still stuck waiting for OTPs? Well, that era just ended. Now you can complete all your digital payments with just a face scan or a fingerprint. RBI has introduced 2-factor authentication with biometric integration, compulsory from April 2026, but Apparently, Razorpay has already built it!, What? In 10 days? They launched India’s first Biometric-Ready Access Control Server (ACS) in partnership with Yes Bank, a milestone that’s clearly been in the making for a while, proof that they were ready the moment the opportunity arrived. As someone who’s seen how easily users drop off at the final payment step, this honestly feels like a breakthrough. Most drop-offs happen right when a user is ready to pay, not remembering CVV, waiting for an OTP, dealing with delays, or entering it wrong. That tiny moment of friction can cost both trust and conversions. So this really stands out from a product lens: * Fewer drop-offs: Going beyond OTPs makes the flow faster and frustration-free. * Smooth integration: Works effortlessly within existing checkout journeys, on both Android and IOS * Clean, focused UI: Keeps users in the same flow, no distractions, no extra hops. * Better trust: Security that feels invisible, but deeply reassuring. This isn’t just a product launch, it’s how authentication should have always felt: seamless, secure, and human. The future of card payments is here: powered by just you. What do you think about this change?

🚀 Why clicking “Pay Now” twice didn’t charge you twice — the magic of Idempotency We’ve all been there. You click “Pay Now”, the page freezes for a few seconds, and panic sets in — “Did it go through? Should I click again?” 😨 You click again anyway... but thankfully, you weren’t charged twice. So what saved you? 👉 Something called Idempotency. --- 💡 What is Idempotency? In simple terms: > Doing the same operation multiple times gives the same end result. Think of it like pressing a “save” button — no matter how many times you press it, your document stays the same. --- ⚙️ How it works (in real life): When you make an API request — say, a payment or a resource creation — the client (browser/app) might retry the request if: The network is unstable 🌐 The server takes too long ⏳ The client app crashes midway ⚠️ Without idempotency, the server might process each retry as a new request, creating duplicate data or duplicate transactions. But with idempotency, every request carries a unique Idempotency Key (like a fingerprint 🔑). The server checks: > “Have I seen this key before?” If yes → It reuses the previous response instead of doing the operation again. ✅ Result: One payment. One record. One consistent state. --- 💳 Where it’s used Payment systems (Stripe, Razorpay, PayPal) REST APIs that handle resource creation Distributed systems with retry mechanisms Event-driven systems to prevent duplicate events --- 🚀 Why it matters Prevents duplicate transactions Keeps your system consistent Enables safe retries in distributed environments Builds user trust and reliability --- 🧠 In one line: > Idempotency = Same request → Same outcome (no matter how many times it’s retried) It’s one of those small design principles that make huge differences in reliability. Next time your payment page lags — take a breath 😌 Idempotency has your back. #APIs #SystemDesign #BackendDevelopment #SoftwareEngineering #Idempotency #TechSimplified #Reliability #ProgrammingConcepts

In a sea of sameness of a crowded market, how do you stand out & build a new brand? Take the UPI app #fintech space. Crowded Market:  30+ UPI apps (not counting 600+ bank apps) offer the same functionality. Duopoly of Biggies:  PhonePe, Google Pay, and Paytm command ~90% of UPI volumes. 1/ Lets start with what consumers actually care about: -Speed of transaction -Reliability of success -Security & trust -Ease of use (intuitive UX, easy statements, simple flow) But are these ownable? These are hygiene factors, not differentiators. So where’s the white space? Let’s look at how new brands are trying: 2/ Navi → “Speed” narrative Positioned as the fastest UPI app. Loved thier slick recent campaign (in video). But is speed truly differentiating when others already operate in milliseconds? Dont think so. 3/ super.money → “Rewards” narrative The app claims 5% cashback on every UPI transaction. The Jonty Rhodes campaign (with "catch/cash back" connection :)) stretches your imagination (in video); but can cashbacks make a brand rememberable? Dont think so. 4/ MobiKwik → Wallet narrative  Tapping into UPI pain points: messy bank statements, bank acct privacy etc. I feel some ownable space of unique story (given paytm crisis made them miss wallet advantage); calls it as "Pocket UPI". 5/ Meanwhile, the biggies aren’t playing the hygiene game anymore; they’re building ecosystems: PhonePe → Add-ons: FASTag, insurance, UPI circles. Google pay → Use-cases: Train tickets, shopping, daily payments. Interestingly, all big ones have built distincitive assets to build memory too - “Tick Hai” (GPay) “Paytm Karo” (Paytm) "पे" in logo (Phonepe) (Only UPI app with devanagri letter in logo) What would be your wedge if you were launching the next #UPI app? ------- I write on #D2C #brand building, growth strategy, and #marketing insights. #runningmarketer

🚀 Today On the DSA side, I practiced some HashMap problems where one of the medium-level questions taught me how to sort a HashMap based on its values - something new and insightful for me. On the project side, I explored Webhooks and how they differ from regular APIs. This was especially interesting because I’m planning to integrate Razorpay payment gateway into my project. ✨ Here’s what I learned: -> API vs Webhook (using Razorpay example) : When our application sends a request to Razorpay for processing a payment, Razorpay receives it, processes it, and then sends back a response. 👉 This entire request–response cycle happens because of an API. Now, consider another case: If a callback function gets triggered automatically when a certain event occurs (without us sending a new request), that is a Webhook. Example: Suppose a payment fails on the client side due to internet issues, page reload, or some other error. Our app might show “Payment Failed.” But on Razorpay’s side, the payment may actually get completed successfully after processing. If we rely only on the initial API response, our app will still think the payment failed — even though the money was received. This is where Webhooks are useful. -> Why and When We Use Webhooks ? We configure a Webhook URL in our application (like /razorpay/payment-status). Razorpay will call this webhook automatically whenever an event happens on their side — for example: Payment successful Payment failed Refund issued Subscription expired As soon as Razorpay sends this webhook request, our application executes a function mapped to that webhook. In that function, we can update our database and UI to reflect the actual status (e.g., mark payment as successful even if the app had shown failure earlier). -> Key Point: APIs: Request–response initiated by us. Webhooks: Event-driven callbacks initiated by the third-party service (like Razorpay), without us sending a request. That’s why webhooks are crucial for things like payments — the status might arrive minutes or even hours later, but as soon as Razorpay processes it, the webhook ensures our app stays in sync. ✨ Refined Summary: Webhooks are like event-driven notifications sent from a service (Razorpay) to our app whenever something important happens, so that our app stays updated even if we didn’t request it at that moment.

Fintech founders - your users don’t want buttons, they want trust, ease, and smart experiences⏳ Here’s what’s shaping the future of UX: 1️⃣ Invisible finance – auto-savings like Groww, auto-bills like Paytm 2️⃣ Emotion-centric design – calming alerts for failed transactions, risk insights like ET Money 3️⃣ Voice & AI – check balances or pay via conversation like PhonePe prototypes 4️⃣ Hyper-personalization – dashboards that coach, like CRED ’s credit tips 5️⃣ Trust by design – transparent loan & investment explanations like Zerodha Stop building apps. Start building experiences💳 Rethink your #Fintech UX today! #FintechUX #UXDesign #DigitalBanking #UserExperience #Founders

Have you ever hovered over that "Pay Now" button and paused for a moment, contemplating, "Do I really need this?" It may seem like a small hesitation, but it's often where decisions are made. However, that pause might soon become a thing of the past. NPCI, Razorpay, and OpenAI have recently tested UPI payments within ChatGPT. Imagine telling the AI, "Order milk from BigBasket," and it’s done - no app, no QR code, no checkout flow. This represents a shift towards convenience, but it also signifies a quiet power shift in commerce. In the coming year or two, we could see scenarios such as: * Paying your electricity bill while chatting with your voice assistant. * Ordering dinner directly from a WhatsApp reply. * Booking cabs, tickets, and groceries without opening a single app. The platform where you think becomes the platform where you buy. The entity that owns that moment effectively owns your decision. This is not just about faster payments; it's the beginning of invisible commerce, where convenience subtly rewrites control. #UPI #IndiaStack #ProductStrategy #BehaviorDesign #Razorpay

💡 Exploring PhonePe Payment Integration (API-first approach) . I’ve been working on integrating PhonePe payments into my e-book e-commerce platform (built with Express + TypeScript). Now, I know PhonePe offers an SDK — but I chose to go API-first instead. Why? Because I wanted to understand the process at a system level — how the payloads work, how headers and signatures come together, and what really happens under the hood. But honestly? The official API documentation isn’t the easiest to follow. The structure, headers, and checksum generation process can feel… cryptic at times. So right now, I’m manually piecing it together — one request, one callback at a time. It’s a mix of curiosity, frustration, and fun. 😅 If anyone here has integrated PhonePe via the raw API (not the SDK), I’d love your insights — 👉 How did you handle signature generation? 👉 What’s the cleanest way to manage callbacks & error handling? Once I get this fully working, I’ll share a step-by-step guide so the next dev doesn’t have to go through the same confusion. Let’s make this a helpful thread for anyone building payment systems 👇 TL;DR: Trying to integrate PhonePe using the API route (not SDK) for full control and learning. Docs are tricky — looking for insights on best practices & pitfalls. #TypeScript #ExpressJS #PhonePe #BackendDevelopment #WebDevelopment #PaymentGateway #DeveloperCommunity #BuildInPublic

Project Deep Dive (5/15): Different Plans For Different Users Not every user is the same. So why should their subscription be? When I designed the payment system for my platform, EduNova, I knew a single "one-size-fits-all" plan wouldn't work. A brand new user just exploring is different from a power user who needs every single feature. So, I built a value ladder. A clear journey for the user to follow: Free Plan: A no-risk entry point to try the core features. Standard Plan: The perfect upgrade for active, engaged learners. Premium Plan: The complete, all-access pass for those who want it all. To add even more flexibility, I included monthly and yearly billing options. The user is always in control. The whole system is powered by Razorpay. The logic is a bit more complex this time. When a user chooses a plan, my Node.js server tells Razorpay, "Create a subscription for this specific plan_id." My React frontend then launches the secure Razorpay checkout. As always, the user's sensitive card details never touch my server. After payment, my backend instantly updates the user's permissions in the database. What's next? Now that the payment logic is solid, I'm building the access control layer. This is what will dynamically enable or disable features based on your active subscription. The lesson: Empowering users with clear, flexible choices isn't just good for them; it's a smarter way to build a sustainable business. What's your preference in SaaS apps? A single all-in-one price, or tiered plans so you only pay for what you need? checkout website:-https://lnkd.in/gfPFM4Fr #SaaS #Subscriptions #Freemium #Razorpay #NodeJS #ReactJS #Payments #Elearning #Fintech