How Much Does It Cost To Take Card Payments Over The Phone
Its worth noting that manually entered card transactions carry a higher risk than those when the cardholder is present to complete the information themselves. As a result, credit card networks put protection measures in place, resulting in slightly higher fees from your payment provider.
At Square, we charge 2.5% per transaction for payments made through our Virtual Terminal or digitally via invoicing. Your customers wont pay any extra.
Faster payments, on-the-go flexibility and quicker deliveries for your customers are all great reasons to accept over-the-phone payments from your customers. Though it may feel a little unnatural when youre so used to one-click ordering online, the more flexible you can be as a business, the better. Rest assured, that with Square Virtual Terminal you can provide that flexibility safely and securely.
And remember, if your customers prefer not to pay over the phone, Square Invoices is a great alternative, allowing them to pay the invoice via card from their own device.
Square for Restaurants
How Secure Are Credit Card Payments
Customers paying with credit cards expect a high level of security with their transactions. To accept credit cards businesses must go through PCI compliance.
The Payment Card Industry Data Security Standard is a set of requirements designed to ensure that ALL companies that process, store, or transmit credit card information maintain a secure environment.
Reasons Not To Consider Clover
- Potential for a bad merchant account: Because Clover does not police its resellers, there are payment providers that charge annual fees and hidden fees or have bad reputations for how they treat customers. Add termination fees and the fact that Clover hardware cannot be reprogrammed to a new merchant account, and Clover can be an expensive gamble. Do your researcha bad provider is not worth free hardware.
- Microbusiness capability: The price and merchant account types make it more expensive and difficult than a solopreneur, hobbyist, or microbusiness may want to bother with. If all you want is a simple app, go to Square or SumUp.
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What Are Credit Card Transaction Fees
To receive a credit card payment at your business, you will need to understand what credit card fees in Canada are attached to payment processing. Meaning, every time a customer pays you with a credit card, your business will be charged a transaction fee to process these electronic payments and receive the money in your business account for your goods or services.
As they are called, these pre-transaction fees or merchant fees will vary depending on the service provider you use to accept payments. Typically, merchants will pay fees from 0.5% to 5% of the total transaction per customer. Additionally, certain fixed fees will also need to be paid periodically, whether monthly or yearly.
Further processing fees could apply when dealing with chargebacks on a card. This is when a customer purchases something from your store and then seeks to return it, having the original charge rescinded on their card. Learn more about payment processing for chargebacks.
Can I Add Credit Card To Wechat Pay
The company has partnered with Visa, MasterCard, American Express, Discover Global Network, and JCB to allow foreign visitors to pay with their credit cards. The newly expanded WeChat Pay service allows users to add international credit cards directly to their digital wallets on the app, so they can sign up for the service.
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How To Accept Credit Card Payments Without A Merchant Account
Payment service providers like PayPal, Square, Stripe and the like make this process a lot easier and, in many cases, cheaper than it used to be.
PSPs work similarly to merchant accounts because they accept and hold your money from credit card transactions, but you can sign up and manage the account entirely online. Plus, they dont typically charge monthly fees just to have an account, and they process transactions in addition to holding your money.
Who Accepts Credit Cards Using A Mobile Phone
Thousands of companies have started using mobile phone payment solutions to help streamline their payment systems. With the ability to take credit card payments in the field, workers can carry less cash making their jobs safer. Providing more payment options to customers also makes their experience more friendly and you seem more professional. Below is a list of companies and professionals accepting credit cards using a mobile phone:
- Field Sales Reps
- Outside Sales Reps
- Collection Companies
Charge.com offers advanced mobile payment hardware for its merchants and provides the best possible customer service to resolve any issues with your hardware. To start accepting credit cards using a mobile phone, you will need a merchant services account that can be set up in less than 24 hours. To get started, fill out the form to the right and you will be accepting credit card orders on your mobile phone in a matter of days!
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How Much Does It Cost To Accept Credit Cards Using Your Smartphone
There are three main pricing models you’ll likely encounter. The model that is best suited for your business often depends on the type of business you run, and the volume and value of your credit card transactions.
If you work with a payment facilitator like Square, SumUp or PayPal to accept credit cards using your phone, you will pay flat-rate pricing. If you work with a full-service credit card processor, you often are given a choice of interchange-plus or tiered pricing.
Here’s how each pricing model works.
Ultimately, the rates you pay will be influenced by your monthly processing volume, your average transaction value and the industry your business operates in. Processors may consider your history, as well as your business and personal credit, when determining your rates. With these factors in mind, you can expect most processors’ rates to range from 2-4% for each transaction.
If you choose to work with a full-service payment processor, there are additional fees, and in many cases, you’ll be asked to sign a service contract .
Here’s a sampling of some of the fees full-service credit card processors charge:
- Monthly fee: This covers the processor’s cost for preparing monthly statements and customer service. It is also known as a statement fee and typically ranges between $5 and $15.
Is Mobile Payment Processing Safe
Every type of transaction comes with risk. However, it is safe to accept credit card payments on the phone via a secure gateway provided by your merchant services provider. Whether youre using a virtual terminal to accept payments over the phone or a mobile credit card reader, heres what type of security features you can expect to protect your customers card information and ensure a safe online shopping experience.
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Reasons Not To Consider Payanywhere
- Inactivity fee: Payanywhere charges $3.95 per month for accounts that are not active for 12 months. Thus, occasional sellers will do better with Square, Zettle, or SumUp.
- Potential surprise fees: While Payanywhere says it has no hidden fees, there have been complaints of fees showing up on bills or being taken from accounts without notice. It has a second plan for $12.95 a month, and it could be that some users are put on this plan instead. Watch your transactions.
Go Wherever Business Takes You
Your business takes you beyond the office. Whether youre on the road, in a clients home, or traveling, you need flexible payment technology that goes with you.
With mobile credit card processing, you make it easy to do business, which could even help you generate more customers and clients. People enjoy flexibility, its really that simple.
Merchant Account With A Bank
This is the most professional solution, but also the hardest to achieve.
A merchant gateway means you have a bank account, called a merchant account, with an actual bank . This allows you to accept credit and debit cards.
This allows you to have your own online merchant gateway instead of using PayPal. This means you can log into a website, enter someones credit card number, expiry date and CCV , and debit the money from their credit card like magic!
It also means you can pay fewer merchant fees .
It also means you can get a physical credit card machine that accepts EFTPOS payments when the client doesnt have a credit or debit card, just their normal ATM card.
A merchant account can be difficult to get though, especially when starting a business. Try contacting a smaller bank or a bank you have an existing history with. The banks main concern is the risk of credit card fraud and customer complaints.
An example of low risk to them is having a physical store, where the goods are delivered when payment is made.
An example of high risk is someone that does not have a physical store, and the service is delivered months after the payment is made.
Establish A Payment Gateway For Online Payments
If you select an all-in-one merchant account provider, this means the company provides the merchant account, payment gateway, and hardware all in one. If you plan on conducting business online, a payment gateway is necessary in lieu of a terminal, which is used when the credit card is present at the time of sale.
A gateway transfers the data between the payment processor and the point of entry like the checkout form on your website or mobile app to continue the payment lifecycle. It is the virtual equivalent of a physical POS terminal. Payment gateways encrypt private data, such as credit card numbers, to ensure the information passes securely between the customer and the merchant.
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Scale Your Business By Accepting Payments Using Your Phone
The ability to accept credit cards on the phone is a relatively new concept but is quickly sweeping the market. With the help of payment options such as virtual terminals, mobile card readers, and contactless options, growing your sales and customer base is at the tip of your fingers.
To start accepting payments on your phone, get in touch with a reliable merchant services provider. Working with a provider will set you up with all the credit card processing tools you will need to succeed.
How Does A Merchant Account Work
Traditionally, a business needed to open a merchant account to accept credit card payments from customers. A merchant account is a special kind of bank account that holds your money after a credit card transaction is run and while the credit card network processes the transaction. After that, the money is deposited into your business bank account.
With the traditional model, you had to work with a merchant services provider or directly with a bank to open a merchant account and negotiate ausually yearslongcontract to pay monthly fees. Then youd get the necessary hardware to process payments in store or set up the software you needed to process payments online.
This is all as complex and unnecessarily expensive as it sounds, so most new businesses skip this step and use an all-in-one payment service provider instead.
Is It Safe To Accept Credit Card Payments Over The Phone
Short answer: yes.
Long answer: yes, with the right payment processing systems. PCI Compliance standards are in place to protect clients information, and when those are followed, you can ensure the safety of the information.
Schedulicity is one of the companies that promises to stay up to date with the PCI Compliance standards, so with our payment processors, you can feel confident that all information is safely processed.
Recurring Bills And Payments
If you need to be paid the same amount on an ongoing basis, you may want to consider setting up a direct debit.
How does it work?
- Your customer completes a form to give you permission to deduct funds from their account
- You submit the completed form to your direct debit facility provider
- Youll automatically receive the funds to your linked business account at the end of each billing period.
- This may be tricky for a new business to set up as youll typically need to demonstrate financial stability and adequate fraud controls
- Make sure you understand all the fees so there are no nasty surprises when your bill arrives.
Things you should know
This article is intended to provide general information of an educational nature only. It does not have regard to the financial situation or needs of any reader and must not be relied upon as financial product advice. As this information has been prepared without considering your objectives, financial situation or needs, you should, before acting on this, consider the appropriateness to your circumstances.
1The Reserve Bank, How Australians Pay: New Survey Evidence, 2017,
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Why Accept Credit Card Payments
Canada has a very high credit card issuance rate, meaning nearly nine out of ten Canadians possess one. Many of these Canadians will use their credit cards to pay for over 50%of their monthly bills and payments. With so many people using credit cards, you appeal to a wide-ranging customer base while providing a sought after service when you accept and receive these payment types.
How To Accept Credit Card Payments On My Phone Or Tablet
First things first, youll need to download the SumUp credit card payment app. Its that simple. Theres no need for a traditional fixed-line, and therell be no wires taking up space on your countertop. If you choose to go for our SumUp Air Card Reader, your smartphone will become the base of your business.
All you need to do is to enter the cardholder’s details into the app and the credit card payment is processed for you. Their card issuer will then release the necessary money to you, just like a conventional payment terminal.
While our SumUp Air can go anywhere, we also offer a standalone device
The SumUp 3G Card Reader runs on free mobile data or, like the Air you can simply connect it to your Wifi.
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Online Credit Card Payments
Online payment portals offer customers a quick and convenient way to pay for a service or product through the internet. Your business will first need to create or possess a website to accept credit cards online. Take the first steps to building a website, then learn how to create a digital strategy and design a small business website.
Once you have your companys website up and running, youll need to consider how your customers can pay for your goods and services, and how to process their credit card payments. Your business will need to sign up for a payment gateway service to process card payments online.
This gateway service will allow you to accept credit cards, but will also charge you the merchant transaction fees discussed earlier in this article.
What Is The Cheapest Way To Receive Credit Card Payments
The cheapest way to accept credit card payments for your company depends on the kind of business you run and how your customers pay. Payment processing companies use various pricing structures for their services. For most small businesses, a payment service provider is your simplest and cheapest option. Youll pay a small fee per transaction but wont have to worry about subscription fees or working with multiple service providers. Higher-volume businesses will probably benefit from a more complex payment processing system.
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Best Credit Card Payment Apps 2021
Meaghan has provided content and guidance for indie retailers as the editor for a number of retail publications and a speaker at trade shows. She is Fit Small Businesss authority on retail and ecommerce.
This article is part of a larger series on Payments.
Not every business needs a complex point-of-sale system. Credit card payment apps download to your smartphone or tablet and let you take credit card payments on the go or in-store. Most include checkout with taxes and receipts, inventory tracking, and a card reader. However, the best credit card payment apps can grow with you with add-ons and payments hardware.
We looked at over a dozen options to find the seven best credit card payment apps for 2021:
- Square: Best overall credit card payment app
- PayPal Zettle: Best for businesses that sell on social and across borders
- Shopify: Best for online stores needing an integrated app for in-person sales
- Payanywhere: Best for restaurants, bars, and food trucks
- QuickBooks GoPayment: Best for freelancers and QuickBooks users
- Clover: Best for liquor stores and other high-risk businesses that want to choose their own payment provider
- SumUp: Best for solopreneurs and low-volume merchants
What Is A Merchant Account
Merchant accounts are like bank accounts. They hold funds that move from a customers account before they enter a business bank account, making sure the payment is legitimate and that theres enough money in the customers account. The merchant account then authorises payment so that the transaction completes successfully.
Once the transaction has been processed, the money is paid into your merchant account and can be transferred to your business bank account . This usually takes two to three days.
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