Having a debit or credit card in your wallet or handbag is considered safer than carrying cash. There are security concerns that give you an advantage. That is as far as it gets. However, there are some people who believe, falsely of course, that such a card is a license to spend. But wait until the bank starts demanding for payment. That is the time you realize the holiday has come to an end. You need to be careful with the way you spend your money whether you pay your bills and expenses via cash or card. At the end of the day, it is your money that is at stake.
You might have come across a square card. Probably, you are using one right now. As a client, there is not much that is expected to be done. The user simply needs to make his purchases, have the card swiped and get a receipt for it all as well. For the merchant, however, that is where the matter deepens. You need to have a merchant account in order to transact card business. What happens is that the card issuer collects payment on your behalf. At the end of the period, the same is credited to your bank account less fees and commission. Most of these cards are offered by banks.
Getting a merchant account for square card reader is not really necessary unless you want to. This is because the service provider, Square, does things differently. The cards can be read through a mobile device like a phone. This is possible as the provider uses an application that runs on the mobile platform. However, you will still be provided with a card reader. The good thing about this service is that you don't pay a dime. At the same time, this service is directly connected to your account. The service provider will request for your bank details before setting up the link.
The main component of square card service is the card reader. With it you are ready to start accepting card payments. It is actually a card swipe whose thickness is less than half an inch. It requires a jack pin in order to connect to a device. There is also a touchscreen where you can capture your customers' signatures albeit digitally. Apart from being user friendly, the merchant account for square card reader allows customers to receive receipts via email or SMS. In case you want to further analyze your sales, you can download reports and export them to spreadsheet format.
Square gives you the option of having a merchant account or operating from the plug in device. However, it is advisable to apply for a merchant account for square card reader. As is the case with other credit card service providers, you can be able to follow up on any payment that was not uploaded to your bank account. On the other hand, merchant accounts help in detecting card fraud. Before you swipe a card, merchant services have to confirm its validity and availability of funds. In case there is a discrepancy, you will be notified in real time. You can then tell a customer that there is problem.
At that point, the customer can give you another card or pay in cash. With such an account, it is very easy to make follow up. Your accountant will have an easy time doing bank reconciliations and other related reports. Get the card reader fine, but ask the provider to open for you a merchant account. In the end, you will be glad that you opted to follow this route. Your staff will also find it easy to use.