Swiping, dipping, and tapping are not the only ways you can accept card payments as a business owner. Virtual terminals allow you to process transactions by manually entering the card details. Virtual terminals are an ideal way for a variety of business owners to accept payments (especially during times of social distancing), including: restaurants, grocery stores, accountants, and more. Virtual terminals from payments technology companies like North allow business owners to take orders on the phone, by mail, even by email. They can even serve as a backup payment device if your primary solution is temporarily unavailable. Virtual terminal payments add a high degree of convenience to the lives of both business owners and consumers.
Understanding virtual terminals.
It can be said that a virtual terminal is a credit card machine that is hosted online. The only difference is that you’ll have to enter the card details manually. Instead of swiping, tapping, or dipping a card, you simply enter the card details into your computer.
A virtual terminal is embedded on a page that you can only access when logged in to the online account of your payment provider. Once the payment is approved, the transaction amount is then credited to your merchant account, minus any fees.
The ways a virtual terminal can benefit your business.
There are a plethora of ways a virtual terminal can help your business, whether you’re a small mom-and-pop operation or a Fortune 500 company. The first advantage of using a virtual terminal is that it makes the process of accepting payments easier. When a person is not physically present on the site, you don’t have to use a countertop card reader to accept payments. They simply enter the card details into the web application and the transaction is approved or denied in seconds.
Another one of the biggest advantages of using virtual terminals is that it can save your business a significant chunk of money. When you’re using a virtual terminal, it doesn’t require an expensive point-of-sale terminal or a traditional credit card machine. Another benefit of virtual terminals is that they give you more flexibility and freedom. As long as you have a laptop or smartphone with you, you can process payments anytime and anywhere!
Disadvantages of using virtual terminals.
The first drawback of using virtual terminals for “card-not-present” transactions is that there is an increased risk of chargebacks. To avoid these fees, you’ll want to partner with a merchant services provider who offers chargeback reduction tools. Even though entering card details manually is an easy process, it requires a bit more effort than swiping, dipping, or tapping a card.
While typing, the chance for human errors is high, so compared to using card readers, virtual terminals do require a bit more effort and concentration.
Finally, while business owners who accept card-not-present payments have to pay higher processing fees, in all likelihood the increase in sales you’ll experience by increasing your ecommerce footprint should more than make up for it.
Virtual terminals are a great way to increase your sales by selling to customers who aren't able to physically visit your store. Make sure you don’t miss out on any potential customers; add this secure, reliable, and savvy payment option to your payment acceptance today.
