Credit Card Terminal

What is a credit card terminal?

A credit card terminal is a piece of electronic equipment that is used in conjunction with a credit card merchant account. Both are used by businesses who want to accept credit card payments from their customers. A credit card terminal is an integral part of the credit card payment accepting process, because it enables businesses to simply swipe credit cards or key in their information, and the credit card terminal takes care of the rest.

How does a credit card terminal work?

A credit card terminal is like a miniature computer. It comes loaded with software that runs automatically. The credit card terminal, which is rarely larger than a small shoe box, is set up near or connected to a cash register, or sometimes on its own, depending on the setup of the store. A power cord ensures that the credit card terminal is powered on at all times, and a phone line or ethernet cable ensures that there is a method of communication. When a customer hands a credit card to the business owner or operator, it is then swiped through a swiping area on the credit card terminal. The credit card terminal reads the electronic information that is stored on the magnetic strip of the card, and sends it through a series of networks to the issuing bank for verification and the transfer of funds. A credit card terminal may do other things as well, but this description is accurate in describing the basic process of a credit card terminal.

How much does a credit card terminal cost?

A basic model credit card terminal, whose features are limited to those described above, can cost under a hundred dollars. The type of credit card terminal you're looking for determines how much it will cost. While the base models are cheap, more expensive models of credit card terminals, which may print receipts, handle debit cards (where pin numbers must be entered), and even handle gift cards and personal checks, can cost several hundred dollars apiece.

Where can I buy a credit card terminal?

You can purchase a credit card terminal from your merchant account provider, from a wholesale store or website, or from an office supply store. You may be able to find a refurbished credit card terminal from auction websites, or even from the manufacturers directly. Your best choice is to start first with your merchant account provider. They will be able to offer you the best discounts and specials on a credit card terminal.