These days, accepting card payments for small business owners is essential. Taking card payments in-store or online is becoming more common due to the global pandemic, increasing customer convenience and speed. This includes both debit and credit options since fewer people are paying with cash.
Learning about the top online payment processing methods can help you make safer and more cost-effective decisions when it comes to taking card payments over the phone.
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One most popular forms of card payments for business transactions is a debit card. A study by the Federal Reserve Bank of Atlanta showed on average, U.S. consumers made 38% of their monthly purchases via debit card followed by 30% on credit cards.
There are several different ways to accept a debit card payment depending on your business type:
Before accepting physical card payments for business purposes, you’ll need to select a provider and invest in payment terminals for your store.
Business owners have the option of working with a payment service provider or getting a merchant account. A reliable merchant provider allows you to accept payments without going through the bank, providing competitive fees for smaller businesses with a lower volume of transactions.
On the other hand, a merchant account is a type of business bank account that allows you to accept card payments for both high and low-volume transactions.
After you have chosen a provider or set up your merchant account, you will need an effective point of sale system (POS) that can accept card payments. It is a piece of hardware that can process customer information safely and securely. Some common types include card and chip readers, touch screens, self-service kiosks, and terminals.
eCommerce stores, restaurants, and other businesses that take online orders will need an online payment gateway to process a debit card payment online. Some companies that offer online gateways include Square, Stripe, and PayPal. To keep payment processing secure, some useful features include Secure Sockets Layer (SSL), Payment Card Industry (PCI) compliance, and 3D security.
Mobile payments and card payments over the phone are becoming more popular methods of payment. This is most especially for elder folks who prefer talking with product consultants for safe transactions or to finalize any reserved purchases.
Mobile payments such as Apple Pay, Venmo, PayPal, and Samsung Pay allow users to pay businesses digitally through a tablet or mobile phone. Many modern card readers accept mobile card payments that can improve the speed of transactions and boost customer convenience.
To accept over-the-phone payments, you’ll need to ask a customer to read out their credit or debit card details and enter the information into your point of sale system or another device. This includes the card number, expiration date, full name, billing address, and CVV code.
Here are some commonly asked questions when it comes to accepting card payments for small business owners.
One of the safest ways to process card payments for business owners online is to use a secure payment gateway. They usually come with features like encryption and fraud monitoring to keep customer information safe and prevent unauthorized transactions.
Some of the best app options for online payments include PayPal, Samsung Pay, Google Pay, Apple Pay, and Pay Pal.
Ideally, it is best not to accept a debit card payment online since it can present security vulnerabilities when linked to a checking account, causing problems if the card number is stolen.
To accept a debit card payment on your website, you will need to work with a payment gateway that is compatible with your platform. You may need to set up an account, compare transaction fees, and complete other steps necessary.
Some important details needed to accept card payments over the phone include the card number, full cardholder name, expiry date, security code, and billing address.
These days, accepting a variety of debit and credit card payments for business owners can help your business stay competitive and expand its audience reach. A combination of mobile, phone and POS payments for brick-and-mortar and eCommerce stores can provide a more seamless payment experience for users looking for variety.
Read on to learn more about how to accept eCommerce payments for your business on Processing Card today!
