How to accept card payments on the move
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Customers in the UK expect the option of paying by debit or
credit card. Not only that, but cash payment volumes look set to
fall here by some 30% over the next ten years. If you work on the
move, it's essential that you can take card payments wherever you
go. If you visit your customers' homes or work places, you need to
get kitted out to accept mobile card payments. This guide shows you
how to go about accepting payments on the move.
Why you need to take payments on the move
- It's simple: the percentage of card transactions
increases annually. At the same time, cash transactions
decline.
- If you want to offer the optimum service to your customers and
compete with larger outfits, you need to give them the option to
pay by card.
- Taking immediate card payments is far better for your
cashflow than invoicing and chasing payments
Taking mobile payments
- To take payments on the move you'll need to invest in mobile
payment terminals, which use wireless technology similar to a smart
phone.
- If you already have a smart phone - like an iPhone - it's also
possible to get applications that allow you to take credit card
payments with or without additional technology such as magnetic
stripe readers
- The bank with which you have your merchant account will be able
to supply mobile payment terminals, which accept all the major
cards.
- A terminal supplied by your bank will be able to carry out
sales, refunds, gratuity, purchase with cash-back and customer
present/not present processing
How much will it cost?
- It won't cost you any more to process a debit or credit card
from a mobile terminal than from your premises provided you
can swipe the cards
- If you opt for taking mobile terminals from your acquiring
bank, you will have to pay rental
- Your bank may require you to pay a security bond to cover
instances of fraud. Prices vary so start by consulting your
bank.
- If you use an iPhone application, you will need to pay a
nominal fee to set up, and also to register with a site such as
Authorize.net
Security
- Mobile payments are safe for you and your customers.
- Terminals are fully secure and use chip and pin technology.
They have a pin log on and a separate pin for refunds
- In addition, taking mobile card payments eliminates the need to
carry large amounts of cash, making your money more secure.
Checklist
- Weigh up the benefits to your business of buying a mobile
credit card terminal, renting one from your bank, or using a smart
phone: there will be differences in processing fees and
long-term/short-term costs
- Ensure you make provision for recording any mobile
transactions: smart phone devices do not keep records for instance,
although you can send email receipts wirelessly
- Speak with your provider about any security concerns you might
have: you will then be able to reassure customers or even refer
them to your provider
FAQ
Will I be charged more for mobile credit card
processing?
You may be charged higher processing fees if you do not use an
magnetic swipe machine, as the transaction becomes more like an
online transaction.
Jargon buster
M-cash: mobile cash
Customer not present processing: non face-to-face
transactions, such as online or telephone credit card payments
Resources
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