Accept credit card by phone
There are many businesses that feel the need of accepting credit cards by phone.When credit cards can be accepted online then why not by phone .There are a number of companies who do this and are successful in expanding their business because of giving convenience of payment to their customers .
Accepting credit cards by phone has proved to be beneficial for companies that have these services. But even to set a system that can help you accept credit cards by phone is not an easy task . Let us see the details of what are the requirements of accepting credit cards by phone .
How to accept credit cards by phone
The first requirement to accept credit card by phone is to have a merchant account. This merchant account would provide you with a financial underwriter who would take care of coordinating the payments made by the customer.The underwriter would make sure that the payment is authentic and once this payment is cleared then he would deposit the money into your account .
For this service the merchant account provider charges fee which is minimal and can be easily afforded. You can apply for these merchant accounts with a bank or a financial lender that provides these services .Apart from this there are many companies that offer merchant accounts to help people accept credit cards by phone .
Once that you merchant account is approved then you should look out for a digital phone service that can help you accept credit cards by phone along with a selection of customer services (like you might want the service to be available all round the clock or you might just want it available for a few hours) .However before taking this digital phone service you are required to ensure that the phone connection is secure and decide on key option or voice option that the customer would use to enter their credit card details .
Another aspect that you need to decide is that once the transaction is over then you would be providing a confirmation number over the phone itself or would you have the receipts emailed or mailed to the customer .
How does the process work?
When you accept credit cards by phone there are certain accounting and technical aspects that you need to consider .This is important as it can help you understand about the process and what possible things can go wrong during the transaction . Apart from this you can also understand as to when should you expect to get the money.
The process starts when a customer calls you to place an order.The staff enters the credit card information of the customer using a credit card processing software or even a credit card terminal can be used to accept credit cards by phone . The only difference would be that instead of swiping the card you would be entering the information manually .
So the first point is that you should first decide whether you would be processing the credit card through software or a terminal .After you have entered the information the computer or the terminal dials a toll free number and connects you to the merchant account service provider .The terminal or the computer would send the credit card information and the purchase amount to the merchant account processor . Then the merchant account service would send the customers information to the bank that has issued the credit card .
The bank then informs about the validity of the credit card and makes sure that there is enough credit to make the transaction possible . If everything is suitable then the banks would set aside the requested amount and would give an approval number to the merchant account service provider .The processor would then send the information with the approval number to your computer or terminal . This will allow you to print a receipt for your records.
The entire process takes only a few seconds, which allows you to process a number of credit card transactions within a short duration of time.The only way in which the credit card processing by phone can delay the process is if your printer fails to print out a receipt quickly .
When you accept credit cards by phone then another main question that arises is when will the processed money be deposited in your account.When you close your business day then you can manually select to settle your terminal, and this starts the final step for processing the day's credit card transactions or else you can opt to have your accounts settled with the help of your merchant account service provider . The second option is mostly preferable, as it would settle your account on the same day.
Usually to get the money into your account it takes two business days however the availability of the funds depends on the policies of your bank also.
Reasons why business opt to accept credit cards by phone
The three main reasons as to why businesses opt to accept credit cards by phone is that it provides convenience to the customers as well as the businesses to process the payments. This also gives the business a boost in its performance and increases the customer base .
This also helps you to close the sales faster and easily and would help you develop new tolls for your business and products .Accepting credit cards by phone makes your business readily available to the customers regardless of where you are located .
Some of the merchant accounts that help you accept credit cards by phone are mentioned below:
Ensight Merchant Services:
Contact them at Court Plaza South  West Wing, Third Floor, 21 Main Street, Hackensack, NJ 07601 , Ph: 201.288.1234, Fax: 201.288.1224,
1st National Merchant Services:
Contact: 501 W. Weber Ave. Suite 200, Stockton, CA 95203 ; Phone: (800) 396-5660, Fax: (209) 320-2108.
FDIS Paradise:
Contact: 6310 E. Thomas Road Suite 120, Scottsdale, AZ 85251 ; phone: (866) 922-0724, fax: (480) 970-6560.
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