Merchant Processing Solutions Inc.

New Chip Card Swipe

Traditional Card Swipe

Card Present 

VS 

Card Not Present

Businesses that wish to accept credit cards need to understand the nature of their business or business type to determine whether they need a Card Present payment acceptance program or a Card Not Present payment acceptance program. Do you have a store? Will you be accepting payments over the phone or online? We have seen too many times how a merchant got duped into purchasing/leasing a terminal when more than 50% of their business is Card Not Present, they never see their customer, key-enter cards - pay higher rates!!!

Card Present vs Card Not Present 

1. Understand how you will interact with your customers; in Person, Internet, Over-the-Phone and realize there are different equipment solutions and rates associated with your needs and choice.
2. Once you are set up to accept Card Present processing with a TERMINAL or a POINT OF SALE Software, you will ALWAYS want to swipe transactions via the card reader. 
3. Make sure your equipment is set up to accept the EMV (European MasterCard Visa) chip cards. When you accept cards via the "chip reader" you are helping your business against Chargebacks and Fraud. 
1. If a card is swiped instead of "chipped" and there is a Chargeback, you will NOT even be able to fight that legally. Only businesses that use the Chip Reader on transactions can fight a chargeback. Don't let yourself be vulnerable get and use a EMV Card Reader! 
4. Discount Rates or Percentages - All transactions are classified into one of three categories and is the foundation for each merchant rate charged.  
1. Qualified (Standard Cards) - A qualified discount rate applies to most swiped credit card transactions that have no consumer or corporate rewards on them. These transaction must be approved, pass address verification, and close within the daily batch.
2. Mid-Qualified - A mid-qualified discount rate is an surcharged added to the Standard Cards (Qualified Cards) that offer rewards, was key-entered instead of swiped, NOT filling in any fields on the TERMINAL when requested, or the merchant did not batch within the time required by their merchant agreement. 
3. Non-Qualified - Adds an even higher surcharge on top of Standard Cards (Qualified Cards) for key-entered into a Terminal or Point of Sale, applied to "high risk" merchants, high reward cards, Business and Corporate Cards, not batching daily and not filling in the required fields on the TERMINAL.
5. With Card Present transactions, you see the purchaser, you can check ID if you are questioning their validity, and you get a signature on the receipt. 
6. With Card Not Present, its a whole different game! You have NO IDEA if the card bring given is actually owned by the person purchasing. Due to that reason, mostly, key-entered cards have a higher base rate than a Card Present Rate.
7. Fraud also determines your Discount Rates or Percentages. ITS ALL ABOUT THE RISK! 
8. Other factors that influence rates besides: Points, Percentage back to the cardholder for using said card, not filling in all the fields on the terminal and not batching within the required time.

Moble Card Reader

Does this seem too much to ponder? That's why it is SO important to work with a reputable, local company that you can call, meet with and discuss your particular business situation. Merchant Processing Solutions Inc. prides itself on setting up their merchants on what THEY NEED and not what makes us money! 

CREATING RELATIONSHIPS NOT JUST TRANSACTIONS!

Call Us Today @ 954-938-2420