Saturday, November 26, 2022

How To Start Accepting Credit Card Payments

Don't Miss

Be Prepared For A Payment Dispute

Collect Money FAST – Start Accepting Credit Cards ASAP

Most transactions happen smoothly, but sometimes a customer may file a dispute asking to reverse the transaction. Why does it happen? There are a few reasons which usually occur:

  • The buyer did not receive the item he ordered. In order to prevent this, provide realistic delivery dates, use online tracking of goods, and order shipping insurance. Always inform your customers if something is out of stock.
  • The received item is significantly not as described. To prevent such misapprehension, always provide detailed descriptions and good-quality pictures as well as kindly answer item-related questions.
  • A buyer claims that a purchase was made without his / her knowledge or consent and asks for a chargeback. Sometimes this may be a simple mistake, but it also may indicate fraud. If so, try to do as much as possible in order to keep both your customers and your stores data safe. Cardinity helps you to protect card information and be in compliance with security standards.

In any case, think of a dispute as an opportunity for you to provide great customer service which would help to turn a buyer into a returning customer.

Open a merchant account for free and start processing payments with Cardinity!

Whats The Best Way To Accept Credit Cards For Small Business

The best way to accept credit cards depends on the unique aspects of your small business. That said, youll want to consider every factor before making your decision. First, youll need to figure out which method or combination of the below methods is most suited to your needs:

  • In-person swiped transactions This includes POS systems, standard plug-in EMV terminals, and wireless swipers
  • Mobile on-the-gotransactions This includes phone dongles/adapters, apps, and wireless terminals
  • Over the phone MOTO transactions This includes virtual terminals and mobile invoicing methods
  • Online eCommerce transactions This includes shopping cart and payment gateway integrations

This is where your merchant service provider comes into play they can truly assess your needs, budget, and third-party integration compatibility. Your merchant account representative will be able to offer a comprehensive product suite of terminals that will satisfy all of the above requirements and meet your specific needs.

For more details, check out our review of the best-in-class credit card readers and terminals.

What Support Structure Does The Service Provider Offer

Does the service provider offer after-hours support? Weekend support? Are you required to pay for additional support? And lastly, what support platforms are available telephonic, email, in-app. Its critical to identify these points ahead of time, especially if, for example, your business operates in the evening, but the service provider only offers support during standard business hours of 9 am to 5 pm.

Don’t Miss: Valero Gas Card Pre Approval

Set Up A Shopping Cart In Your Online Store

Shopping cart software is what powers an e-commerce website and allows you, as a seller, to easily manage and present your product catalogue. There are many tried and tested solutions to choose from, both free and commercial, such as PrestaShop, WooCommerce or Magento. All of them can be integrated with various Payment Gateway Providers, including Cardinity.

Cardinity provides smooth integration with your e-commerce system. The requirements of every business are unique, and the Cardinity payment system allows you to tailor the card payment processing tool to your specific needs. We provide easy-to-install modules for the most popular e-commerce systems on our website. For other shopping platforms or custom e-commerce solutions Cardinity also provides PHP, Symfony, and Java programming libraries. In addition, we provide a well-documented API integration guide, using which any e-commerce system can be connected with Cardinity. However, this method requires more time and effort than using modules, as some additional programming is required.

Important: Each module has its own installation procedure.

Accepting Online Payments Is No Longer Unnecessarily Difficult

Guide to Starting to Accept Credit Card Payments for Your Small ...

Online sales peaked at around 37% of all retail sales during the christmas period of 2020/2021 according to the Office for National Statistics. More and more small businesses are building an online presencethrough a number of tools including eCommerce stores and social media.

Taking online payments used to be complicated, requiring the business to set-up multiple accounts with payment portal providers and gateways, not to mention the cost with subscription fees and upfront payments.

SumUp looked at the problem of taking card payments, and realised that small businesses were being unnecessarily penalised due to their size and sales volumes, so we went ahead and built online payments into our business ecosystem at no extra cost. Now businesses across the UK can accept payments online, whatever their sales numbers.

Payment links allow businesses to send a link directly from the SumUp app via email, Instagram, WhatsApp or SMS. Customers simply click the link, enter their card information, and pay using the secure website . Taking card payments online has never been easier, with inbuilt functionality allowing you to track and chase any bad payers with a couple of clicks!

Read Also: Cabelasclubvisacom

What Is Credit Card Processing

is the entire sequence of steps involved in accepting credit card payments from your customers.

The process seems pretty simple on the surface: you swipe the card or enter the card details and then you get your money. But theres actually quite a bit of complexity involved in credit card transactions. Heres the gist of how it works:

  • The card or payment information is entered
  • That information is sent to the payment processor for authorization
  • The payment processor sends the information to the customers bank
  • The customers bank either approves or denies the paymentIf the payment is denied, the card is declined
  • If the payment is approved, its sent back to the payment processor
  • The payment processor sends the approval back to you
  • You complete the transaction, and the money is deposited into your merchant account

See? Theres a lot going on under the surfaceand all of this happens in a matter of seconds.

Types Of Credit Card Processing Fees

As you might expect, there are some fees to pay for credit card processing services. Unfortunately, theres no single standard that all credit card processing companies follow.

On average, the fees work out to somewhere between 2.87 percent and 4.35 percent per transaction. Fees tend to include one or more of the following:

  • Transaction Fees Transaction fees are paid on a per-transaction basis. Its usually a percentage that youll pay on every purchase made through your system.
  • Flat Fees Flat fees are charged on a recurring basis, usually on a monthly basis, by your payment gateway or merchant services provider.
  • Incidental Fees There are also some additional incidental fees you may see periodically. For example, most processors charge you a fee for a chargeback, wherein a cardholder requests a return of their money through their bank.

Read Also: Bestbuy Citi Bank

Traditional Vs Integrated Payment Systems

If you use a traditional POS method of credit card processing, then it goes like this:

  • Create a new sale in POS & scan the item
  • Choose the payment method your customer would like to use
  • Grab your terminal or card reader and manually input the sale amount into the terminal
  • Start the process of authorizing and accept credit card payments from the merchant services provider/acquiring bank
  • In case the transaction is approved, retrieve the terminal and print receipts
  • Go back to the POS, manually mark the purchase as paid and close the sale

In an integrated payment, the transaction amount is automatically pushed to the terminal instead of being manually entered. It is also automatically reconciled and marked as paid once payment has been processed.

Thats why most business owners now prefer using integrated payment solutions as opposed to traditional payment systems.

Apart from making the addition of credit card payment processing easier, also bring other benefits to the table.

If you use multi-channel payments, then integrated payment solutions also help you manage your transactions from different avenues. For instance, if you have multiple stores or if you sell your services at a storefront as well as online, then you can see all your transactions in one place.

As Consumers Switch To Credit Cards Over Cash Your Business Must Be Able To Conduct Transactions For Both Debit And Credit Cards

Stripe Alternatives – How To Accept Credit Card Payments With Online Merchant Accounts (Must Watch!)
  • U.S. consumers increasingly prefer credit card payments over cash.
  • Optimize customers’ credit card payment experience takes in-depth research.
  • Card providers, equipment, costs and fees top the list of credit card payment system priorities.
  • This article is for merchants and small business owners looking for a more efficient consumer payment experience.

No matter what type of business you have, it’s important to accept credit card payments from your customers.

Consumers prefer credit cards over cash payments by a significant margin. According to a 2020 study by the Federal Reserve, 27% of U.S. consumers opted to use credit card payments, while 19% preferred paying cash. Every year, the Federal Reserve reports, the use of bank cards over cash expands.

As you adjust to a new digital-based payment marketplace, weaning you off cash payments and pushing payment models to the credit card side of the aisle makes good sense if, that is, you are prepared for the shift to increased plastic payments.

Job one is choosing the right credit card payment service provider.

That choice can be problematic for your business, as there are hundreds of payment processing companies to choose from and several factors to consider before selecting a processor. You want to look for the best credit card processing company for your business, considering factors like low rates, few fees and month-to-month contracts.

Recommended Reading: Best Buy Online Credit Card

Choose Yoco As Your Mpos Payment Option If:

  • You prefer to own the card machine by paying a once-off fee instead of committing to a contract or renting the reader.
  • You would like to be able to accept payments both in-store and on the go.
  • You need additional features which will automatically track your sales, give you business insights and allow you to accept online payments.

Choose Qr Code Payments If:

  • Your customers are young and tech-savvy.
  • You typically sell items in a fast paced environment where customers appreciate self-checkout.
  • Trust that you and your staff can manage self-checkouts in crowded environments, and prevent situations where customers enter the incorrect amount or not actually paying for your products.

Don’t Miss: Best Buy Citi Payment

How Can I Accept Credit Card Payments For My Small Business

If you decide to accept credit card payments, there are a few ways to do so. Youll want to think about how your business operates and is structured. Shopping with a credit card is common these days because there are so many ways to conduct credit card transactionsin recent years, revenue-minded payment processors have been aggressive in making the process as simple as possible. With a little bit of planning and research, you can find a credit card payment system that works for you.

Decide Which Type Of Processor Will Be The Best Fit For Your Business

Why Your Business Needs to Start Accepting Credit Card Payments ...

There are multiple ways to integrate a credit card payment service into your unique business.

For example, you’ll need to choose between a card payment service that works with individuals or opt for a provider that serves only businesses. Additionally, you’ll need to factor in the average monthly volume of credit and debit card payments that you accept.

To get the job done right, start by evaluating the following credit card payment processing solution models.

You May Like: What Gas Stations Can I Use My Discount Tire Credit Card At

How To Accept In

Accepting card payments in person is a bit different because you need some physical hardware. First, theres the POS system, or point-of-sale system. This is the tool you use to process sales and manage inventory .

Next, you need a credit card terminal or credit card reader. This is the device that the customer swipes or taps her card on to pay for her purchase. Some credit card processors are standalone terminals, while others are built into the tablet or computer POS system. Still others are small card swiping tools.

You have two options for accepting credit or debit card payments: one is for the customer to swipe or tap the card at the terminal. The other is for you to type in the credit card information into your POS system, such as when a customer wants to pay by phone and you dont have the physical card in front of you. Be aware that there may be higher credit card processing fees with the second option because its considered less secure.

Maintain Healthy Processing And Avoid Chargebacks

As a final step in your credit card processing journey, its a good idea to set up chargeback prevention and management tools if youre taking payments in an online or card-not-present environment. Because chargebacks can be costly to your business, its a good idea to be proactive about preventing and managing them. To do so, you will want to make sure you invest in effective transaction recordkeeping, quality customer service, and chargeback management solutions.

With effective systems in place to manage all your processing needs, you can set your business up for financial health and credit card processing success in the future.

Also Check: Is It Better To Pay Credit Card Balance In Full

What Are The Most Common Payment Gateway Services In Australia

There is a wide range of payment gateway providers, each with their own benefits, features and pricing options. Itâs a good idea to compare a few options based on your specific business needs.

Some payment gateway providers offer complete packages, including a merchant account. At SecurePay, we offer both a combined package that includes a complete package as well as a simple payment gateway you can use with your existing merchant account.

Subscription Or Membership Pricing

How I Accept Credit Card Payments for my Business

Subscription pricing can best be described as a hybrid between flat-rate and interchange pricing. Businesses pay a monthly fee to merchant account providers for access to lower flat-rates.

For example, a $99 monthly subscription fee could give you access to a $0.07 plus interchange fee per transaction. The processor charges a lower markup but still collects a monthly membership fee.

Also Check: Credit Cards That Use Experian Only 2016

An Introduction To Accepting Payment By Credit Card

Learning how to accept credit card payments can potentially increase your sales potential. To connect with more customers in person and make any financial transactions online, credit card processing is an essential service. This guide covers the basics of accepting credit cards at your small business.

Start Accepting Credit Cards At Your Law Firm Today

Whether youre a lawyer in a solo practice or a large law firm, its impossible to deny the benefits of accepting credit cardsfor both you and your clients. And with the right credit card processing provider, the setup doesnt have to be difficult. Get started with Clio Payments today!

We published this blog post in May 2022. Last updated: May 19, 2022

Categorized in:Business

Read Also: Should You Pay Off Credit Cards In Full

How Do Merchant Service Providers Benefit From Card Payments

Merchant services providers do not offer free services. They charge various fees to enable them to benefit in the process. There are two types of fees for card payments which include transaction fees and the processing fees.

First of all, merchant service providers charge transaction fees if the transaction goes through. A processing fee is a percentage charged for every payment depending on the ventures average transaction amount.

Can You Accept Credit Card Payments Without A Merchant Account

How to Accept Credit Card Payments for Your Small Business

Yes. You can accept credit card payments without a merchant account by using a third-party processor. Third-party processors work through a different business model, which allows you to accept these payments into a standard business account. This can provide an easy way for very small businesses to accept credit card payments.

Also Check: Capital One Cabela’s

Decide How Youll Take Credit Card Payments At Your Law Firm

Credit card payments can be accepted online or in person. The online approach using cloud-based credit card processing software, such as Clio Payments, simplifies bill payment for your clients because they can pay from the comfort of their home, on their laptop, or on-the-go using their smartphone.

Accepting credit card payments online is also much faster and more efficient for your firm. You can add click-to-pay links to your website and in client communications, including invoices, providing greater flexibility and convenience for clientsand improving your collections rate and cash flow.

If you wish to accept credit cards in person, youll need to purchase a credit card reader to process payments. Clients tap or swipe their cards to complete the transaction.

Ways To Process Credit Cards

As far as whats happening behind the scenes, the nuts and bolts of processing credit card payments is the same across the board.

However, there are a number of different ways a customer can get their payment information to you. Maybe theyll insert their card into your card reader. Or perhaps theyll scan a digital wallet. Or maybe you need to take down their information over the phone.

Each of these methods has its own nuances, so lets go into a little more depth on each of them.

Also Check: Best Buy Citi Visa Credit Card

What Do You Need To Accept In

To accept card payments in-person, you need the following:

  • Payment processor.The service that actually initiates and completes the transaction with the card networks and the banks is called a payment processor. Payment processors charge a transaction fee for every payment accepted.

  • Point-of-sale system. This is the software used to ring up sales, track inventory and view your sales history. Hardware can include items like a terminal, card reader, bar code scanner and cash drawer. Free POS software exists, but POS systems with more features charge monthly or annual subscription fees.

  • Card reader. A card reader might come included with the POS system if it isn’t, you may have to shop for one that’s compatible with your setup. Some providers offer free card readers. More elaborate setups can cost over $1,000.

Often, the hardware and services needed to accept credit cards come bundled together from a single provider. For example, Toasts POS system works only with Toasts payment processing. In other cases, you can assemble a system with components from different providers. For example, Vend POS is compatible with various card readers and payment processors.

More articles

Popular Articles