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Advantages And Disadvantages Of Payment Systems

Good Essays
Louis Wynn D2
Comparing different payment systems
I’m going to write a report on different payment systems used. This will include the advantages, disadvantages, comparison and I will conclude which payment system I would recommend for cuckoo.
Payment systems are used by customers and businesses to transfers funds from one account to another account.
Advantages of a payment system
The advantage of cuckoo having a payment system would be that you easily send funds in a matter of seconds via an internet payment service. This means that cuckoo gets the money straight away to their bank account and then within that same day they can ship the item out.
Another advantage of having a payment would be convenience as online trading provides a 24/7 business .Having electronic payments means that cuckoo will be open 24/7 so they can receive payments at any time from customers
A major advantage of electronic payments (online payments) would be efficiency. They are efficient because they provide a good trail of where money has been spend and received. This provides good accountability meaning cuckoo can refer to payment trails when looking at what money that they have received.
Disadvantages of payment systems
When using electronic payments there is always a risk that you online account could be hacked and funds diverted into another account. Online banking means that online banks contain you personal details. If that bank were to be hacked your personal details could be stolen which include such things as your iden...

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...heaper than PayPal’s costs. When sellers use Nochex they can get their money relatively quick and within a day.
The disadvantages of Nochex is that no many people use it when compared to PayPal and there still is a security risk of personal details being hacked meaning your Nochex account could get drained of its balance.
Recommendation to Cuckoo
I would recommend that cuckoo make use of PayPal and credit cards. These are the two most widely used methods of payment meaning the majority of people will be able to buy of cuckoo’s site. They do come with security risks like hackers for example but no payment system online is completely 100% guaranteed not to get hacked. Hacking is also rare and likely wouldn’t happen to a clock selling company. I suggest implementing PayPal and credits card because these are both a convenient way of people to make online payments.
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