Everything you need to know about Giropay: what is it and how does it work?

Everything you need to know about Giropay: what is it and how does it work?

Everything you need to know about Giropay: what is it and how does it work?

Giropay is a popular payment system in Germany that is supported by many online retailers. It allows customers to make their purchases directly through their online banking account without having to use credit cards or other payment methods. In this article we will explain everything you need to know about Giropay, including how it works, security and benefits of this payment method.

What is Giropay?

Giropay was developed in 2006 by Postbank, the Sparkassen-Finanzgruppe and the Volksbanken-Raiffeisenbanken-Group. It is an online payment method that allows customers to make their purchases directly through their online banking account.

Giropay is based on the proven online banking process and uses the security standards of German banks. It is widely used in Germany and is supported by over 1,500 German banks.

How does Giropay work?

In order to use Giropay, you need an online banking account with one of the participating banks. When you make a purchase from an online merchant that supports Giropay, select Giropay as your payment method.

After you have selected Giropay, you will be redirected to the login page of your online banking account. You have to log in there with your usual online banking access data. This includes your account number or your customer ID and your PIN.

Once you are logged in, you will be shown all relevant payment information, such as the amount to be transferred to the merchant and the merchant's bank details. All you have to do is confirm the payment and, if necessary, enter a TAN (transaction number) to complete the payment.

After you have completed the payment, the merchant will immediately be informed of the successful payment and can process your order.

Security with Giropay

One of the most important questions regarding online payment systems concerns the security of transactions. With Giropay you can be sure that your data is protected.

Giropay uses the security standards of the German online banking system. This means that all transactions are transmitted encrypted and only you have access to your online banking account.

In addition, your login details are never shared with the retailer. The merchant only receives confirmation of successful payment without revealing sensitive information from your account.

Advantages of Giropay

There are several advantages that make Giropay a popular payment method in Germany:

1.Fast payment processing: Since payment is processed directly through your online banking account, Giropay is a quick way to pay for your purchases online. Once you confirm payment, the merchant will be notified immediately and can process your order.

2.No additional fees: The use of Giropay is generally free of charge for customers. There are no additional fees for using this payment method. You only pay the amount you owe on your order.

3.Security and privacy: Giropay uses the proven security standards of the German online banking system to ensure that your personal data is protected. Your login details are not shared with the merchant and all transactions are transmitted encrypted.

4.Broad support: Giropay is supported by over 1,500 German banks, including Postbank, Sparkassen and Volksbanken-Raiffeisenbanken. This means that most customers in Germany have the opportunity to use Giropay.

Frequently asked questions

Can I also use Giropay on my smartphone?
Yes, many banks now also provide mobile apps that allow you to use Giropay on your smartphone. Check your bank's website to find out if such an app is available.

What data is transmitted to the merchant when using Giropay?
The merchant only receives confirmation of successful payment and does not have any access to your personal account information. Your data is securely protected.

Can I also use Giropay abroad?
Giropay is a German payment system and is supported by German banks. At the moment, using Giropay is only possible in Germany.

Are chargebacks possible with Giropay?
Yes, you have the right to file a chargeback if there are problems with your order or if you disagree with a payment. To do this, contact your bank and clarify the matter.

Conclusion

Giropay is a popular payment system in Germany that allows customers to make purchases directly through their online banking account. It's safe, quick and easy to use. With Giropay, customers in Germany can conveniently shop online without having to provide sensitive credit card details or other payment methods. If you are looking for a trustworthy and widely used payment method, Giropay is an excellent option.