Routing is a feature that helps businesses smartly send payments to the right place. It does this by using rules and taking into account things like fees, location, transaction value, and risks to make sure payments go where they should.

Routing benefits for digital platforms:

  • Diversified Providers: It reduces reliance on a single payment provider by spreading transaction processing across multiple providers. This ensures continued payment processing even in the face of network or technical issues with the primary provider, maintaining business operations and minimizing potential revenue loss .

  • Lower Costs: Smart payment routing reduces transaction expenses by selecting the most cost-effective processing route.

  • Higher Conversions: A well-optimized routing system speeds up transaction processing, reducing cart abandonment and potentially increasing conversion rates.

  • Retry Failed Payments: Payment routing allows merchants to retry failed payments through an alternative provider, improving the chances of successful transactions and enhancing the overall customer experience.

  • Fraud Mitigation and Flexibility: It helps reduce exposure to chargeback fraud by offering flexibility on the payment page. Merchants can choose when to implement additional security measures, like 3D Secure or anti fraud motors, based on transaction risk and customer behavior, enhancing security and reducing fraud-related losses.


Static routing operates in a cascade or waterfall fashion by predefining fixed paths for data packets to follow.

In the event of a soft decline, the system routes the transaction to the subsequent provider in the processing sequence. However, if the transaction results in a hard decline, no further routing of transactions takes place.


Dynamic routing is a sophisticated method that intelligently directs payment transactions to the most appropriate payment service provider or acquiring bank. This selection process takes into account multiple factors, including the type of card BIN, the transaction amount, currency, origin of the payment, additional fields such as order ID and more.

By analyzing this diverse set of criteria in real-time, dynamic payment routing ensures that each transaction follows an optimized path, enhancing transaction success rates and minimizing processing costs for businesses while providing a tailored payment experience for customers.