Wireless Credit Card Processing
New credit card
processing options are available to telephone and mail
order merchants that make it easy to do credit card processing
by phone. A wireless credit card reader makes it easier for
mobile merchants to obtain authorizations from remote locations
than ever before. In most cases wireless credit card processing
is even faster than for traditional landline transactions.
Dedicated networks have been developed for wireless credit card
processors of all types, which can transmit and receive data
faster than most cell phone networks. Wireless credit card
processing increases sales, saves time, and reduces operating
expenses.
* Wireless is small, lightweight, and portable. Can carry in
your pocket!
* Can accept cards where it previously was impossible (in a
parking lot, outside a sports event, etc.)
* No second phone line needed and no need to rent phone lines at
tradeshows.
* By swiping credit cards you get lower rates. This one feature
alone can save you hundreds of dollars per month.
* Reduces risk. Swiping reduces chance of fraudulent or stolen
card being used.
* Increased security. Wireless processing reduces the amount of
cash you and your staff handle.
How a wireless credit card processing works?
1. The merchant slides the customer's card through the wireless
credit card machine and enters the sale amount. Using a
technology similar to a cell phone, the terminal will connect to
a radio tower and send the credit card information and amount of
the purchase.
2. The transaction information will be routed to Merchant
account's processor.
3. Merchant account's processor will pass that information onto
the bank that issued the credit card. The issuing bank will
check to see if the card is valid and if the amount requested is
available on the card, and set aside the amount of the purchase
for the merchant.
4. The issuing bank will send back an approval number or a
decline message to Merchant account's processor.
5. The information will be passed back to the mobile credit card
machine, which will print a receipt for the customer to sign if
the card is approved. It will take approximately 8-12 seconds to
complete steps 1-5.
At the end of the day the merchant may manually "settle" their
terminal which will begin the final process of the transaction.
In most cases Merchant account's processor can automatically
settle the transactions at a specified time each day. Once the
settlement process is initiated the funds will be transferred
from the card issuing bank and Merchant account's processor will
electronically deposit them into the merchant's checking
account. It typically takes two business days from the time of
the original transaction for the funds to reach the merchant's
checking account.