Third-party payment has three advantages:
Cost advantage: The payment platform reduces the cost for banks to directly connect with the government, enterprises and institutions, and meets the payment needs of enterprises focusing on developing online business.
Competitive advantage: the third-party payment platform is interest-neutral, avoiding business competition with the served enterprises.
Innovative advantages: The personalized service of the third-party payment platform enables it to simultaneously customize personalized payment and settlement services according to the innovative business model of the serviced enterprise's market competition and business development.
The third-party platform settlement payment mode has the following advantages:
(1) is relatively safe. Credit card information or account information only needs to be informed to the payment intermediary, without informing every payee, which greatly reduces the risk of credit card information and account information being leaked;
(2) the payment cost is low, and the payment intermediary concentrates a large number of electronic small transactions, forming a scale effect, so the payment cost is low;
(3) Easy to use. For the payer, it is a friendly interface, without considering the complicated technical operation process behind it;
(4) Payment guarantee business can protect the interests of the payer to a great extent.
The third-party platform settlement payment mode has the following disadvantages:
(1) This is a payment method of the virtual payment layer, and other "actual payment methods" are needed to complete the operation of the actual payment layer;
(2) The payer's bank card information will be exposed to the third-party payment platform. If the third-party payment platform has poor credit or confidentiality, it will bring related risks to the payer;
(3) The legal status of the third-party settlement payment intermediary is not stipulated. Once the bankruptcy is over, the "electronic money" purchased by consumers may become bankruptcy claims and cannot be guaranteed;