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Cell Phone Credit Card Processing

admin — Mon, 30 Apr 2012 23:57:22 +0000

Cell Phone Credit Card Processing

There are several ways of accepting credit cards but probably one of the oldest is using a land line telephone. Today we have the ability to use even a cell phone to run the transactions which gives us the mobile without any large upfront expense.

There are three types of phones that you can use to accept credit cards. The land line phone the Smartphone and the regular cell phone which is what you are here to talk about. The regular cell phone is your non smart phone without any internet access and a majority of phones people have are just that. So your cell phone needs only to be able to dial into a toll-free number to run the credit cards and get the approvals. No equipment ever needed and you can make a manually imprinted receipt. These type of phone merchant accounts have low monthly fees with no application are setup or annual fees, and no monthly minimums.

Why you need a PCI compliant credit card machine

admin — Wed, 14 Oct 2009 21:34:24 +0000

Because we live in an insecure world

In January 2009, Heartland Payment Systems announced a data breach that may have compromised tens of millions of credit and debit card transactions. This breach was one of the largest in history, and came on the heels of another large breach in December 2008 of RBS Worldplay (a susidiary of Citizens Financial Group Inc.) which compromised 1.5 million credit card numbers. Other large breaches include Hannaford Brothers Co. in March 2008 (4.2 million credit card numbers), and TJX Companies, Inc. (Marshalls and TJ Maxx) in 2007, who reported 45 million credit card numbers had been compromised over a 3-year period.

Closer to home, I received new Discover Cards in the mail last week with a short explanation that our account had been compromised.

What are PCI standards?

PCI (Payment Card Industry) standards are provided by the PCI Security Standards Council, an organization founded by American Express, Discover Financial Services, JCB International, MasterCard Worldwide, and Visa, Inc. to promote security through strict guidelines and education. In order for a credit card machine to be deemed “PCI compliant”, it must meet the high security standards of the Council which have been put in place to prevent cardholder information from being stolen or tampered with. For instance, a PCI compliant credit card machine will not retain credit card information after a daily batch has been submitted to a payment processor.

Will your credit card machine become a dinosaur?

In 2008, Visa/Mastercard began a 5-phase process that would phase out insecure credit card processing equipment by requiring that payment processors only offer PCI compliant credit card terminals to NEW merchant account customers. The fifth phase will be implemented in July, 2010. At that point payment processors will require ALL merchants to use PCI compliant terminal.

What will it cost to replace my credit card machine with a PCI compliant terminal?

Many merchants are finding that the cost to replace their current credit card processing equipment can be quite expensive. A recent post at the Small Business Ideas Forum stated:

I recently received a letter from my merchant services provider saying that the device I have been using to accept credit cards for the last eight years needs to be replaced because of new regulations that are being put into place by Visa and MasterCard. They say I could be fined if i don’t replace it with a new state of the art terminal! I looked into it, and it is true that they are implementing new security standards that are phasing out a lot of the older credit card terminals effective on 7/1/2010.

In my opinion it’s just a scam by Visa and MasterCard to sell credit card terminals! But what do I know? The bad part is that the credit card terminal my provider is offering to replace my old one costs $600!!!

While this poster is definitely wrong about the new guidelines being used as a means for Visa/MasterCard to increase their profits, I’m sure the cost of replacing his equipment was a shock. Thankfully, there is cost-effective solution.

What can you offer me as a merchant to help with the expense of replacing my terminal?

Money Tree Merchant Services offers a free credit card machine or wireless terminal to all of our new retail customers. By becoming a customer, your equipment will automatically be upgraded to a PCI compliant terminal at no additional cost.

PCI compliance is a matter of security and safety not just for you as a merchant, but for your customers as well. Security should be viewed as a benefit, a benefit that your company can promote. In the end it will bring in more income and the cost does not have to be prohibitive.

Is the recession driving you home? Options for accepting credit cards for your home based business.

admin — Wed, 20 May 2009 18:39:46 +0000

Accept credit cards using your home or cell phone

With the recession digging deep into the pockets of families throughout the United States, many individuals have begun researching the possibility of starting a home based business. The idea is made even more attractive because individuals can continue to work their normal job during the day, while investing time in their home business in the evening hours.

With any home based business, the ability to accept credit card payments is very important. I am providing information regarding some of the most popular credit card processing options to help you decide which system is best for you and your budget.

Wireless credit card machines (sometimes referred to as a handheld credit card machine)

If you are involved in a business that moves from location to location, i.e., a landscaper, limousine driver, flea market vendor, crafter, carpet cleaner, or promoting your product at tradeshows, a wireless credit card machine may be the solution for you.

Similar to a cell phone, a wireless credit card machine provides you with the ability to accept credit cards even when no phone line or Internet connection is available.

Two of the most popular wireless terminals made by Nurit™ (the fourth largest POS terminal manufacturer in the world) are the Nurit 8000 and Nurit 3010. Both models are small enough to hold in your hand, yet known for their flexibility, reliability and secure transactions. Merchant Services offer a free Nurit 8000 wireless terminal to new retail customers!

Dialpay

Dialpay is a service that allows merchants to process credit cards using any telephone or cell phone. This is a unique mobile credit card processing solution that allows merchants to obtain credit card approvals and authorization numbers by dialing a toll free number. This solution is very economical and good for small businesses with a low volume of sales. It also works well for mobile businesses that need to obtain credit card approvals on the spot.

Online Merchant Accounts (sometimes referred to as internet merchant accounts)

When setting up an online business, it is necessary to obtain a merchant account as well as a gateway to process online payments. A gateway is used to transfer payment information securely between your eCommerce website and your processing bank. Merchant Services uses the most prominent and reliable gateway service in the industry, Authorize.net.

No matter which system works best for you, it is clear that the ability to accept credit cards is no longer an option for any business, large or small. Accepting credit cards allows your customers the flexibility they are accustom to in today’s culture and without that option, you will find your sales to be limited.

Are you singing the chargeback blues?

admin — Wed, 21 Jan 2009 18:03:28 +0000

Tired of chargebacks?

Any consumer in the United States can request a “chargeback” – a reversal of a charge to their credit card account after discovering a fraudulent or improper charge to the account. U.S. credit card holders and debit card users are guaranteed this right under several acts/laws including: Federal Reserve Regulation Z, Truth in Lending Act, Federal Reserve Regulation E and the Electronic Funds Transfer Act. The laws are enforced by credit card company’s rules and regulations.

The chargeback procedure begins with the filing of a “dispute” by a consumer with their bank or credit/debit card company. The bank that issued the credit/debit card will then charge the disputed amount back from the merchant and give the consumer a provisional credit. Next an investigation will begin in an attempt to determine if the dispute is valid and also to recover the chargeback amount from the merchant. A merchant is held responsible for the chargeback unless they can prove that the transaction was legitimate, and is also responsible for any processing fees incurred by the bank.

Sounds fair, but what happens in the case where a consumer’s dispute is not valid and is denied by the bank? Not only does the merchant lose the time involved in proving the charge was valid, but many times the merchant is still held responsible for the processing fees as well.

So what can a merchant do to help prevent chargebacks?

1. When signing up for a merchant account, make sure that your DBA is the prominent company name that you want people to recognize. This helps to avoid confusion when a consumer’s credit card statement arrives and they do not recognize your company’s name. If for some reason this is not possible, make sure that you add a note to your company’s receipts.

2. If operating an online store, always use an Address Verification System (AVS) and Creditcard Validation System (CVV). This will greatly diminish if not stop fraudulent transactions.

3. If you notice that a charge has been declined several times, do not process the order.

4. When possible, take the customer’s card and examine it to verify the expiration date and compare the signature on the card to the signature on the receipt.

5. Settle your transactions in a timely fashion to avoid consumer’s seeing a charge on their statement that cleared long after the purchase was actually made.