|
CREDIT CARD PROCESSING
Credit
card processing has today become a very quick,
easy and efficient process, thanks to the advent
of technology and electronic capabilities.
Majority credit card processing is
electronically sent across to the banks for
further authorization and deposits, for which
there are a variety of methods. The information
from a card may be read on a magnetic strip by
swiping the card or by simply entering in the
key codes on the website, a computer point or a
credit card terminal.
In the
initial era when technology was just being born,
processing of these transactions used to happen
by sending across the credit card slip to the
processing bank via mail, or by a telephone on
the automated response unit. However, the
electronic age has taken over these so called
primitive methods, with devices that are less
expensive and time saving. The older methods
have become prone to theft and fraud as they
involved using a manual equipment to enter the
card numbers. New age equipment involves only
swiping of the cards, which is proven to be much
safer and efficient.
Processing of credit cards by the merchant
processing banks is done through various means,
some of which are: -
-
Credit card terminal: this equipment enables
merchants to simply swipe their cards across
the machine or enter the key numbers into
the keypad along with any other necessary
details. These machines are mainly used for
credit cards, but at times are also used for
verifications and gift card processing etc.
the terminal has to be plugged into a
telephone line as well as connected to a
source of power, though some terminals may
run on battery as well. The communication in
such devices can also be through cellular
networks or the internet. The credit card,
once swiped, will make contact with its
specific networks to ensure that it is
authentic and verifiable. Credit card
terminals generally contain a keypad, a
modem, a magnetic reader, a memory card, a
printer and a power unit.
-
Payment gateway: this is an application run
by e-commerce, the most advanced service
providers in today’s times. It acts as an
authoriser for online retailer’s payments,
e-businesses, brick & mortar etc. These
devices function by encrypting information
like credit card numbers which ensures the
safe passage from the customer to the
merchant and bank.
Other
processing units for credit cards include ARU or
automated response unit, level 2 and level 3
processing, merchant account marketing etc. to
figure out which credit card processing will be
best suited for your business, there are various
criteria that one must consider. Some of them
are – average approval rating: which is the
processing speed and fee to apply for it;
start-up cost: which is the charge for setting
up a merchant account; cost per month: should be
low enough to avoid overheads; account set-up
time: the best processor will ensure that your
account and processing is done in minimum time,
sometimes within days; customer service;
internet features; and POS or swipers features.
A credit card processing feature helps
businesses to improve their sales count by
helping the business to accept payments in any
form, through any card, and from any place, thus
giving you freedom to handle clients from
anywhere at anytime, and ensuring that they bank
with you always due to the ease of service you
provided them.
Setup a
credit card processing
merchant accounts to
accept credit cards today! |
