Different Businesses Demand Different Machines
There are really three types of credit card processing machines when it comes to carrying out in-person transactions. Determining which credit card reader is right for you is crucial.
For a small business such as a barber shop that is only processing a payment every 15 to 30 minutes, a card reader that requires connection to a smart phone could potentially be enough. However, for a liquor store that is processing dozens of transactions during a busy weekend rush, a fast machine compatible with Apple and Android Pay probably makes much more sense.
Furthermore, what you need to start your business might not be the same as what you need as you expand and grow. Hence, there are a variety of different types of credit card machines to suit different companies’ needs and compatibility with payment processors and POS systems.
Here are the three main types of credit card terminals:
1. Credit Card Readers
The cheapest type of credit card processors on the market are called credit card readers. These readers require connection via an app to a smartphone or tablet to function, and are best for new small businesses with small inventories, few transactions, and mobile operations. While they are cheaper and convenient, they come with a slower, less seamless transaction experience, and lack features such as touchscreen, contactless (NFC) payments, and enhanced security.
2. Credit Card Terminals
These countertop terminals can be wired or wireless and perform the function of processing payments. They vary greatly in price, size and features such as touchscreen, built-in printer, QR code scanning, contactless payments, signature capture, and more.
3. All-in-One Credit Card Machines
Finally there are credit card processing machines that are built into POS systems. These often feature EMV credit card readers that are built into the actual POS hardware terminals.
Many such built-in terminals have non-negotiable credit card processing and subscription fees that come as part of the contract with the POS/merchant service provider. These fees are often higher than what you would find if you independently shopped around for the best available transaction rates through a third-party provider.
Built-In POS vs Agnostic Processing
To be sure, POS systems with built-in credit card machines, such as Square or Clover, are a great option for companies such as mom-and-pops stores and food trucks. Such a system is all that’s needed for simple operations with fewer transactions and small retail spaces. However, if you use Square, for instance, then you use Square’s processing. These processing fees can add up to substantial amounts by the end of the year, especially for higher-volume retailers.
Other point of sale systems such as KORONA POS are credit card agnostic, meaning that they will work with any credit card processor. This ability to shop on the open market gives business owners the opportunity to negotiate and drive down the final price, potentially saving a company thousands of dollars throughout the course of the year.
KORONA POS also offers preconfigured credit card machines and the best customer service support in the industry in case you run into any problems with your credit card processing operations.