Finding credit card solutions that work for a unique business is crucial to maintaining a healthy profit margin. But, before a business owner can decide on a system and equipment, they’ve got to know the fundamental differences between different types of payment terminals.
Here’s a breakdown of the differences, and similarities, between wireless and wired credit card processing:
Free to be Wireless
A wireless credit card and debit machine involves very different equipment and processing than a wired terminal. First, wireless terminals do not require a direct link to a phone jack or Internet connection. Instead, a wireless terminal transmits card information to a radio tower, which then transmits the information to a credit card processor.
The benefit of wireless credit card processing services is obvious; business owners can take payments anywhere, which gives them more freedom and flexibility to grow their business.
Similar to wired terminals, wireless processors have features including a magnetic stripe reader, display screen, and keypad. However, wireless terminals are typically more expensive than wired options and may suffer connectivity issues should the device be out-of-range of a radio tower.
Wired to do Business
Wired credit card processing relies on phone or Internet connectivity to transmit data. More importantly, these terminals are not designed to work outside a store.
Wired devices that connect via phone line are typically less expensive and slower than devices that connect to the Internet. Depending on the nature of the business, this may be something important to consider.
For example, a credit card machine hooked up on a phone line may have to share the line with other equipment. This congestion could slow payment processing and discourage customers from returning.
Terminals connected to the Internet process faster and may be more reliable if the business has peak periods for customer transactions.
Now that you understand the basic differences between wired and wireless credit card processing, it will be easier to pick an option that works best for your business.
