Key functionality of a Credit Card Terminal.

The credit card terminal of today has multiple facets. Depending on the needs of the merchant and the type of transactions processed by the card issuing bank, key operations and functions include:

  1. Acceptance of credit, debit and charge cards (both domestic and international)
    • Visa and MasterCard
    • EFTPOS
    • American Express
    • Diners Club
    • China UnionPay CUP
  2. Key Entry (mail and telephone order)
    • Process transactions using card details given over the phone, by mail or email.
  3. Tips
    • Tipping the staff is a widely accepted practice in European and American countries although is far less commonplace in Australia. A terminal has functionaity to make this easier for customers paying via card.
  4. Refunds and Adjustments
    • Situations will arise where the ability to reverse or refund a transaction is vital. Without this functionality, the refund would need to requested from the bank, meaning the customer could potentially wait weeks for the funds to be redeposited into their account. Being able to swiftly handle a refund or make an adjustment to the transaction will give your customers peace of mind and avoid a potentially negative experience.
  5. Settlement (including Automatic)
    • Settling accounts at the end of the day need not be an arduous process with automatic settlement, or in depth and easy to read settlement reports.
  6. Pre-Authorisation
    • Sometimes there is a need to verify that the customer has the credit to pay for a transaction but the full amount isn't known. Pre-authorisation protects businesses against theft or bad credit by making sure the card has the required amount available.
  7. Remote Initialisation and Software update
    •  The terminal's firmware can be updated remotely with latest software and features from the bank.
  8. POS Integration
    • Most modern point of sale cash register can communicate transaction status and totals directly with your terminal, eliminating human error and speeding up transactions.
  9. Multi-merchant Capabilities
    • Process transactions for multiple businesses through one terminal.
  10. Pen or PIN
    • The identity of the credit card holder used to be verified only by signature. This opened the door to fraud by means of forged signatures being used with stolen credit cards. It is good practice for retailers to educate their employees to this danger and, when in doubt, request additional forms of identification, such as a driver's licence or other form of photo ID, although this depends largely on the vigilence of the cashier at the point of sale. Having the option to verify a credit card payment with an unique PIN (Personal Identification Number) provides a more robust layer of protection against such fraudulent activities.
  11. Surcharge Function
    • The ability to pass a set cost of processing payments on to customers.
  12. Secure Password Operation
    • Make sure only authorised employees use the terminal by securing it with a password.