Mobile credit card processing is a service that allows businesses to accept credit card payments using a mobile device, such as a smartphone or tablet. This can be done either through an app or by using a physical credit card reader that attaches to the mobile device.
Mobile credit card processing is convenient for businesses that need to take payments on the go, such as businesses that do home delivery or those that have pop-up shops. It’s also useful for businesses that want to offer their customers the option to pay by credit card, but don’t want to invest in a traditional point-of-sale system.
How Does Mobile Credit Card Processing Work?
There are two main ways to process credit cards on a mobile device: through an app or by using a physical card reader.
Apps: There are a number of different apps that businesses can use to accept credit card payments. The most popular option is Square, which offers a free app and card reader that businesses can use to take payments. Other options include Paypal Here, Intuit GoPayment, and Flint.
Card Readers: For businesses that don’t want to use an app, there are a number of different physical credit card readers that can be used with a mobile device. The most popular option is the Square Reader, which plugs into the headphone jack of a smartphone or tablet. Other options include the Paypal Here card reader, the Intuit GoPayment card reader, and the Flint card reader.
To use a credit card reader, businesses will need to sign up for a merchant account with a payment processor, such as Square, Paypal, or Intuit. Once they have a merchant account, businesses can begin accepting credit card payments.
To accept payments, businesses will need to enter the customer’s credit card information into the app or card reader. Once the payment is processed, the funds will be deposited into the business’s bank account.
Fees: Mobile credit card processing companies typically charge a per-transaction fee, as well as a percentage of the total sale. For example, Square charges a 2.75% per-transaction fee, as well as a $0.30 fee for each credit card transaction.
Payment processors will also typically charge a monthly fee for businesses that use their service. For example, Paypal charges a $30 monthly fee for businesses that use their credit card processing service.
Mobile credit card processing is a convenient way for businesses to accept credit card payments. It’s also a cost-effective solution for businesses that don’t want to invest in a traditional point of sale system.
