Is it better to use a standard credit card machine (a.k.a, point of sale or POS terminal) or a virtual POS terminal (a secure online web site you can use like a credit card terminal)? There are pluses and minuses to both, so which one is right for your business depends on your store or call center setup and your objectives.
What’s a virtual credit card terminal?
A virtual POS terminal is a secure web site you log into to process credit card payments, debit card payments and/or electronic check payments. It works a lot like your traditional credit card terminal, except it uses your computer and a secure Internet connection rather than a separate piece of hardware and a phone line to process the payment.
How can using a virtual terminal benefit my business?
Benefits of a virtual credit card terminal include:
- You can use a virtual terminal from any computer with an internet connection. This works well when you’re on the road — if you want to check on your transactions or run a credit card payment, all you have to do is log in.
- Your computer is your credit card terminal, so if you have a computer there anyway, you don’t have to clutter up your desk with extra equipment.
- Updates are automatic. The rules according to credit card associations change–that means credit card terminal ownders have to update their software and/or hardware. With virtual terminals, it’s updated automatically–no worries!
- Virtual terminals like the Intellivative Merchant Portal let you plug in a card-swipe device, so you can swipe credit cards just like a traditional credit card terminal.
- If you have several people who need to process payments and they all have a computer, it can save significantly on credit card terminal costs because all your employees can log in from their own computer and use it, without incurring additional costs. This is especially handy for mail or telephone order call centers.
- Saves paper because you can view your reports online. Traditional credit card terminals usually have a printed batch report. A virtual terminal has visual reports designed for people to access and read online.
- You can often download the report data right into a database or into Excel (or your favorite spreadsheet) and even import it into your accounting software.
What are the disadvantages of using a virtual terminal?
- If there’s not a computer where you need to process payments, you have to find room for one. Sometimes you don’t have the space for a computer. Credit card terminals are smaller.
- Ease of use may vary. Make sure you see the terminal in action and get a chance to try it out before you decide to go with a virtual terminal.
- For security purposes, you have to log in to a virtual terminal. You may also get logged out if you don’t use it for a while , then you have to log back in before you can process a payment. This can be inconvenient when you’re in a hurry.
ApprovedPayments offers both traditional credit card terminals and an easy to use virtual terminal (in the Intellivative Merchant Portal). Our prices are very competitive, but they vary according to business type, so apply today and see if we can save your business some money and get you the best payment solution for your business.
New! Approvedpayments is pleased to offer a custom virtual terminal just for property managers. Paymentsite custom payment solutions for property management gives property managers convenient ways to manage all their rental payments received via the mail, in person. Add Link2Tenant, a convenient and customizable tenant payment portal, to give tenants the option of paying online by credit card or check.
Whatever you decide, we wish you the best of luck in your business!
