WHAT
What is iDEAL?
iDEAL is a standard payment method for making secure online payments directly between bank accounts. When you offer iDEAL as a payment method in your online store, a direct link is established with the systems of your bank. In other words, this one connection to iDEAL enables any visitor to your site who has access to online banking with one of the participating banks to make payments in this way. No other payment product offers this facility!
iDEAL is steadily gaining a reputation as a trusted online payment method. Already more than 70% of all online shoppers use iDEAL.
How does iDEAL work?
A few simple steps is all it takes for the consumer to pay using iDEAL.
- At the checkout, your customers simply have to click on the special iDEAL payment button on your website.
- From a drop-down list, customers then select their own bank, which opens the online banking environment they are familiar with, where they authorise the payment.
- Within seconds, after the consumer has authorised the payment, the successful payment status will be available to you.
- As soon as the payment has been authorised, the amount due is debited from the consumer’s account and transferred to your bank account.
- Since you know that the funds are on their way, you can proceed with shipping immediately. This does not involve any risk for you because your customer cannot reverse the payment.
- Depending on which bank your customer uses, you will have the payment credited to your account within 1–2 working days.
Advantages for you as online merchant
iDEAL is suitable for all merchants selling products and services on the Internet. iDEAL allows both business-to-business and retail transactions to be settled in a way which is both secure and simple. Using iDEAL, your customers make their payments in their familiar online banking environment.
iDEAL offers you a number of advantages compared with other payment methods:
- Anyone with access to online banking with one of the participating banks can use iDEAL straightaway and without charge. There is no need for them to register, download any files or open a special account.
- Some 10 million consumers already use online banking with either ABN AMRO, ABN AMRO (previously Fortis Bank NL), ASN Bank, Friesland Bank, ING, Rabobank, SNS Bank, SNS Regio Bank or Triodos Bank. That’s 10 million potential customers with immediate, free access to iDEAL!
- iDEAL gives your customers a familiar, secure and simple method of payment, just like making any other online banking payment.
- Payments made with iDEAL are guaranteed and cannot be reversed.
- There is immediate confirmation of successful payment, enabling the shipping process to start immediately.
- iDEAL can be used for both business-to-business and retail transactions.
Success stories
Many Internet stores have already successfully implemented iDEAL on their website. Businesses large and small benefit from the convenience of iDEAL. And the same goes for their customers. They know that they can make online payments in the secure and familiar environment of their own online banking application.
Key figures
iDEAL is now accepted at more than 13,000 online stores in the Netherlands, making it by far the most widely accepted payment method for online payments.
The number of iDEAL transactions and the number of consumers using iDEAL continue to rise. In 2006 there were more than 4.5 million iDEAL transactions. In 2007 nearly 15 million iDEAL transactions were made. Again in 2008 a sharp rise in the number of transactions was achieved (28 million), an increase of 87%.The number of iDEAL transactions rose sharply again in 2009, with 63%. This year more than 45 million transactions were made.
Click here for the monthly figures for iDEAL transactions processed.
Click here for the graph showing iDEAL transactions processed.
iDEAL availability
iDEAL is a typical payment method that should be available 24 hours a day. Systems however have to be maintained. This applies to iDEAL and online banking systems too. At scheduled times these systems are being maintained in order to be always up-to-date, and unplanned unavailability can be avoided. Maintenance is conducted at a time when, statistically, as few people as possible are using their internet banking system. This is generally at night. Unfortunately an unexpected failure can occur at a time when many people use the system. Therefore standards with regard to the availability of iDEAL have been established by Currence, the brand and product owner of iDEAL. Banks have to be in compliance with these standards.
Stated standards regarding availability
Standard prime time from 07.00 hrs to 01.00 hrs: 99,0%
Standard non-prime time from 01.00 hrs to 07.00 hrs: 93,5%
The published availability percentages are weighted by market share of all iDEAL parties and therefore represent the average availability of:
- The availability percentages of all issuing banks* during prime time
- The availability percentages of all issuing banks* during non-prime time
- The availability percentages of all acquiring banks** during prime time
- The availability percentages of all acquiring banks** during non-primetime
** The bank of the web merchant or Payment Service Provider.
Download the availability figures (PDF 8 kB)