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I was just curious as to strategies to unittest payment gateway integration code
Basically you hand off processing to a 3rd party website, who accepts the creditcard details, and then passes back a response.
Do i just setup mock responses to check that my code behaves as expected for the various responses?
Yes, you should definitely mock-up the 3rd party response. With unit tests, you are only interested in the functionality of your code, not in the integration. The integration with the provider is checked in integration tests.