It’s exactly what it sounds like when it comes to virtual terminal solutions. Through virtual terminal solutions, merchants can accept credit card payments on their internet-connected computers using a web-based application. Transactions can be swiped or keyed on virtual terminals, just like they are on traditional retail credit card terminals. To accept swiped transactions, merchants need a virtual terminal with a card reader that plugs into the USB port of their computer.
In other words, a ‘virtual terminal‘ is any web-based application that facilitates electronic payments to businesses. By installing it on a laptop, desktop computer, smartphone, or tablet, you turn it into a remote POS system. Businesses such as takeaway restaurants and delivery services that accept phone payments benefit from virtual terminals. Additionally, they can process payments by fax, email, and mail order.
Virtual terminals are very similar to physical terminals, but they use software instead of physical hardware. Card machine for business requires customers to tap or insert their cards and enter their PINs to verify their payment. After that, the transaction is automatically processed.
A virtual terminal, on the other hand, allows you to:
- Log in to the virtual terminal of your payment provider.
- Enter the customer’s credit card information on the secure web page (you can do this while they are on the phone).
- Your order will be processed once you click submit.
From any device, such as a computer, laptop, tablet, or phone, you can access your virtual terminal if you are connected to the internet. Access can also be granted to other people (staff members) by different levels of authority. With virtual terminal technology, payment processing is secure, and all data is processed in compliance with PCI standards.
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Benefits & Advantages of virtual terminal solutions
Reduce the rate of payment processing
Payments can be processed with ease by a virtual credit card terminal whether you receive information by phone, email, or mail. A qualified rate will be applied to “card not present” transactions entered into your merchant account with this solution. This can save you hundreds (or thousands) of pounds every month, depending on your payment volume, compared to non-qualified rates on a card reader.
Logging into your account and entering your credit card information is all it takes to process a payment on a virtual terminal. Payments are deposited into your bank account within a few business days after submission. Having an online virtual terminal is essential if your business accepts and processes payments remotely.
It is possible to set up recurring payments for card payments.
A major advantage of online virtual terminals over physical card terminals is that they support recurring payments. Let the virtual terminal handle the rest by entering credit card information and setting a recurring payment date. Getting payment information from clients and members each month can be a challenge for businesses that rely on recurring payments. This issue may be familiar to you if you process payments with a card machine for business. Using a virtual terminal allows you to benefit from improved and more reliable cash flow while providing your customers with a convenient service.
Ensure that customer data is stored securely for future transactions.
Managing your customers’ financial information is an important issue that needs to be prioritized by all business owners. You may be violating PCI DSS compliance rules if you physically store customer credit card information.
You can comply with PCI DSS regulations by using a secure online virtual terminal provider to handle and store credit card data. Customer data is stored securely so that future purchases can be made without putting your business at risk. Losing sensitive credit card information is the last thing you want to worry about. Securely storing your customer’s payment information with a trusted provider will give you peace of mind.
You can access your records anywhere, anytime
From start to finish, you control the payment process with a virtual terminal. As a result, you have access to your records 24 hours a day, 7 days a week. It is not an easy task to own and operate a small business. Weekends are busy and late nights are common. There’s a good chance that you’re tying up loose ends outside of typical work hours. It is easy to balance your budget when you have a virtual payment terminal, regardless of where you are or when you are doing it. Payment records and important customer data can be accessed using computers, tablets, and smartphones. You can gain peace of mind and boost your efficiency with this type of access.
Reducing costs and improving cash flow
It is cost-effective and flexible enough to keep your business running smoothly with virtual terminal credit card processing. A late payment chase is one of the most frustrating things in the world. The process of processing checks can result in insufficient funds, late payments, and a lack of clarity regarding cash flow. Business owners who still use paper invoices have this headache, especially when invoicing costs are considered. Keeping your business running smoothly is easier and faster with a virtual credit card terminal.
A more secure environment
The use of virtual terminals can offer merchants a more secure and responsive way to accept credit card payments. Some customers don’t feel comfortable giving their payment details over the phone, so a secure website may be a better option.
If your computer is equipped with updated cybersecurity features, storing transaction records digitally rather than on paper is an effective security measure. To prevent fraud, virtual terminals can also store electronic signatures to prevent chargebacks and store card-not-present payment information for future transactions.
For credit card transactions, virtual terminals use AVS and CVV information, which can be set to limit fraud risk and control access rights. In addition to protecting card data, a good payment processor should provide the latest financial security tools and follow PCI compliance guidelines.
What types of businesses are suited for virtual terminals?
Merchants have many benefits when it comes to processing credit cards through virtual terminals. Besides being convenient, they are also extremely secure, the payments go through a PCI-compliant payment gateway and are either encrypted or tokenised.
Even though it is beneficial for all businesses, some businesses like Auto Repair Shops, Restaurants, Professional Services, New Businesses, and Freelancers can provide more satisfying service to their customers with the virtual terminal compared to others. It happens all the time: a person drops off their car for a service but is only able to pick it up after work when it is closed. You can let the customer pay over the phone and pick up the car after hours if you have a virtual terminal.
A virtual terminal simplifies the process of processing orders over the phone and streamlines delivery for restaurants. This is especially important if you are offering curb side pick-up. A virtual terminal makes it possible for new businesses and freelancers to get instant payments. Professional services such as law firms, medical clinics, and accountants can provide online payment solutions using virtual terminals and set up recurring billing. For monthly invoiced businesses, virtual terminal solutions are ideal.
