How to Select the Best Credit Card Machine for Your Business

In 2024, if your eCommerce or brick-and-mortar store doesn’t offer credit card payments, you might as well be living in the Stone Age. With Americans making an average of 186 credit card transactions a year, and credit card payments being the most popular in-store payment method, it’s a given that you have a point of sales system that accepts card. But with seemingly endless payment solutions to choose from, it’s easy to get overwhelmed and uncertain.

Before you choose a credit card reader or POS system, you need to have a good understanding of your own business, to see if your potential payment solutions provider offers features that meet your needs. Some questions to consider include:

• What type of transactions do you mostly carry out? Are they in-person, online, or mobile? If they’re mostly online, you might want a provider that focuses on eCommerce, while if they’re mobile, you would want a strong contactless payment solution.

• How many payments do you average per year? For example, some credit card processing companies may charge you based on your annual sales volume, so it’s good to know.

• What’s your typical transaction size? Again, since a (variable) percentage of your sales will go to the payment processor, it’s good to be upfront to see if you can negotiate more competitive fees.

Types of Credit Card Machines

Not sure what’s available when looking for a credit card reader? Here’s a quick breakdown.

• Traditional countertop terminal: This is the traditional EMV terminal with a pin pad, used for in-person payments. You can tap, swipe, or insert your credit or debit card at the checkout counter to make a purchase. Newer models use near field communication (NFC) for contactless payments like Apple Pay or Google Pay.

• Mobile card readers: These payment terminals are designed to be taken on-the-go (like Square terminals) and can, for example, be used by food trucks, or be brought to the customers’ table in a restaurant. Meanwhile, wireless terminals can complete payments without needing a separate mobile device.

• Virtual terminal: These card readers use software to accept card-not-present transactions: in other words, online payments or payments made over the phone (like if you’re ordering takeout). It’s a great option to have to ensure flexibility and convenience, especially in a pinch.

Key Features to Look Out For

As you start narrowing down the potential credit card machine providers, here are a few important factors you should be aware of and research before signing on the dotted line.

Security features

You’ll be handling a lot of money, so you want to make sure you have the payment security fundamentals down to protect your business and customers. First, ensure you have an EMV card reader, as most cards today are EMV chip cards, which are the more secure option.

Then, make sure your provider is PCI compliant (these are standards set in place by card associations to ensure payment data is properly processed, stored, and transmitted.) 

Connectivity options

How will your card reader go online? If you’re operating in a small space, just Bluetooth might be fine, but if you, it’s always good to have WiFi connectivity just in case. Meanwhile, if you have a whole POS terminal setup or process a lot of payments, you might want to have Ethernet as an option to ensure minimal connectivity issues.

Integration with existing systems

Make sure your new provider adapts and streamlines your current workflow. That way, you’ll be set up for success. To do that, find out what software and services can be integrated with your future payment processor, and if they have publicly-accessible APIs in case you have manpower to create custom integrations. Make sure the sky’s the limit!

Fees structures

Another important element to take into account is the pricing for using a credit card processor: are there hidden costs like start-up, early cancellation, or monthly minimum fees? How competitive are the transaction fees and processing rates? 

Customer support

How easy is the payment processor to use and set up? Is it easy to reach a real human and get support? If something goes wrong, how fast is it to solve? See what real customers have said on independent sites to determine how committed your potential payment processing provider is to taking care of its clients.

While this might feel like a lot of info, remember: finding the perfect credit card reader for your small business doesn’t have to be a labyrinth to navigate. By understanding your business needs and the key factors you should look out for, you’re well on your way to making an informed choice to help grow your brand.  Source