Understanding your credit card machine options

Payment processing technology options now include: 

• Standalone credit card terminals
• Wireless credit card machines
• Virtual credit card terminals
• Mobile point-of-sale terminals

Some credit card readers are better suited for professional services, while others offer a suite of tools for busy retailers. 

In this guide, we’ll outline the key features of these payment processing options. Whichever credit card machine you choose, make sure it is equipped to accept all payment types and payment card industry (PCI) compliant to help protect your customers and your business from credit card fraud.

Standalone credit card terminals

These credit card machines are the traditional payment terminals familiar to any merchant. They’re ideal for face-to-face, card-present transactions at restaurants and retail stores. Basic features of these credit card machines include the chip card or magnetic stripe reader, a keypad, a display screen, a PIN pad, and a printer. They require a phone line or an internet connection to send data for processing and authorization. Most equipment technology features near-field communication (NFC) for contactless payments.

Wireless credit card machines

These credit card readers function in much the same way as standalone machines but can be used away from your brick-and-mortar storefront. They can process transactions via a Wi-Fi or cellular data connection. Mobile payments and wireless payment processing technology are ideal for drivers, delivery workers, service industries, and other merchants who are constantly on the go.

Virtual credit card terminals

An optimal solution for card-not-present processing, a virtual terminal enables you to manually enter, swipe, or dip credit card transactions wherever you have Internet access. Use an online credit card machine to:

• Process transactions for online, MOTO, and retail purchases
• Accept credit and debit card payments directly on a computer, tablet, or smartphone
• Perform safe and efficient authorizations with no upfront costs

Virtual terminals are a good replacement for slow, out-of-date processing solutions. A virtual terminal is also ideal for small merchants looking for a simple solution at an affordable price. With a virtual terminal, there is no need to invest in hardware, dedicated phone lines, or costly maintenance packages. A virtual credit card machine for online processing requires none of that. What’s more, it’s easy to access wherever your business takes you.

Mobile point-of-sale terminals

Say goodbye to the traditional credit card machine and hello to accepting credit cards on iPhones, iPads, Android devices, and other mobile platforms. With today’s mobile encrypted card readers, you can process payments on a smartphone or tablet in your store or on the road. Your point of sale terminal is now in the palm of your hand.

Which type of credit card machine is right for your business?

With so many types of POS terminals from which to choose, knowing which one is right for your business can be challenging. This is especially true since each of the above solutions offers unique pros and cons.

These tips can help guide your decision-making process.

When to use a standalone credit card terminal

Standalone credit card terminals like the Clover Station or the Clover Compact are fully capable of handling almost every payment method–from traditional credit and debit cards to contactless payments. The main drawback is that these stationary systems aren’t portable. While you can use a standalone machine as your primary credit card terminal, it shouldn’t be your only means of accepting payments. They won’t accommodate delivery or curbside pickup, for instance.

When to use a wireless credit card machine

Because of their wireless connectivity, these credit card terminals offer a little more latitude than their counterpart equivalents. Clover’s devices range in size, from the Go to the  Flex and Flex Pocket that fit in the palm of your hand or in your pocket. You don’t need to plug into an ethernet port to process sales securely. And, even if your Wi-Fi or cellular service is spotty, you can take payments offline and authorize the transactions once you’re connected again.

When to use a virtual credit card terminal

Setting up a virtual POS terminal is easy, since no additional hardware is involved. All you need is a computer or other internet-connected device to input credit card details by hand. This payment processing technology is often necessary for merchants who take orders over the phone or by mail. Virtual terminals are also ideal for startups that don’t require a complete POS system or aren’t ready to invest in a physical credit card machine.

When to use a mobile point of sales terminal

Mobile payment processing is increasingly becoming the preferred standard for retailers, restaurant owners, and other businesses worldwide. These handheld credit card terminals often have the same core functionality as their countertop equivalents. However, with wireless capabilities and easy portability, they can be a practical solution for just about any merchant. You can also easily convert your business’s existing smart devices into mobile POS terminals just by pairing them with a small credit card reader.

Don’t feel pressured to choose one POS payment technology over another. Many businesses use a combination of payment acceptance methods, depending on their location and situation. Just make sure that whatever credit card machines you use, you offer the following:

• PCI-compliant data security to help protect customers’ payment information
• Advanced fraud management protection, such as point-to-point encryption (P2PE) and credit card tokenization.

Most customers also prefer to patronize businesses that let them pay however they choose. As such, you need a POS solution that can accept payments from EMV chip cards and those made using NFC-enabled plastic, smart devices, and smartwatches. Clover’s devices even accept the newer tap-to-pay options, such as Tap to Pay on iPhone. These technologies allow customers to shop more flexibly and confidently.

Credit card readers can improve the payment process

Ultimately, the goal is to find a payment processing option that can complete transactions quickly and efficiently, and help secure payment data with business credit card machines. Look for a credit card reader that can accept payments in all forms and makes it easier to run your business. 

Schedule a free consultation with our merchant services team today to learn more.

Editorial Team

Insights, Payments & processing, Run your business, SMB

Related Posts

Biz ops

How top food trucks pick the best spots

Few businesses depend on location for their success as much as food trucks do. Competition, parking regulations, and customer loyalty all play... Read more

Clover partner solutions

Building Your Team? Here’s What You Need to Know About Payroll

How to set up payroll As you build your team, you’ll need a payroll system in place to ensure everyone gets paid... Read more