Process debit payments with debit card machines
Debit card machines now account for the majority of transactions processed by retailers and merchants. Debit payments are a quick and easy way for consumers to do business, eliminating the need to carry large amounts of cash.
Debit machines are also beneficial for vendors, as they can draw in more customers and help to create a smooth, efficient purchasing experience.
Depending on your business, there are two basic types of debit card processing methods that you can choose from. Online debit processing is the least common method and is used primarily by businesses that send invoices to their clients instead of conducting a point of sale transaction. If you're not doing a lot of debit transactions in your business, this may be more cost-effective.
Having a debit card processing machine is the more common of the two methods. Retailers, store owners and restaurants typically use this method because they do enough debit transactions in a day to make the associated fees worthwhile. These fees are charged by a bank or supplier company on a per-transaction basis, on top of any initial charge for the purchase of equipment and its installation, or for point of sale debit machine leasing.
There are two basic types of debit machine a person can own—a standard dial-up device, which requires a second phone line, or a wireless debit machine (also known as a cordless debit machine), which operates on a digital network. While both offer secure debit payments and data transmission, wireless machines are often more convenient, particularly for restaurant point of sale transactions, where bringing the debit machine to the table makes for better customer service.
Using a Debit Machine
Like a credit card machine, a debit machine runs off a merchant account that you establish with a bank or a transaction-processing company. The provider verifies at the point of sale that the customer conducting the transaction has enough funds in his or her account to make the purchase. Once this has been established, the processing company transfers money from the customer's bank account to the vendor's merchant account.
Merchant accounts are typically charged a small fee for each debit payment that is made. Often, vendors will absorb this cost themselves, but sometimes they will add on a small charge to be paid by the customer.