Using Iphone to take credit card payments?

[hazzard a guess]

I personally would be in two minds of using my iphone or pad to take payments – I use a terminal from commidea – and even with this purpose built terminal some customers are wary of putting there card into it- would customers really think that using a phone is safe?
We know it is
But the public are a different matter
lee

 

[SuffolkDesigns]

Received my free card reader today
I am sure they will be charging for this when they are out of beta.

 

[Robs]

Received my free card reader today
I am sure they will be charging for this when they are out of beta.

If you read their blog, they say people in sweeden buy them in the shops.

 

[crphillips]

I've recently been looking into this In some detail and there are several options. All of which have varying costs and depending on your type of business one will be far cheaper over the other.

The main contenders are Adelante, Cash Flows and now iZettle.

iZettle is very very very expensive unless you do lots of low value transactions. For example if youra window cleaner, milk man, gardener.......etc iZettle is aimed at you. But with card charges at nearly 3% it's very expensive if taking decent sized payments. I've spoken to iZettle and when they have Visa on board they're going to charge 2.75% of the transaction. They will have no monthly or annual fees.

Adelante recently quoted me 1.5% on credit cards and business debit cards and 23p per transaction on personal debit cards.

Our average transaction is approx £1200. With Adelante this would cost us 23p to take this payment plus the monthly/annual fees (which are small). The same transaction with iZettle would cost us £33!

So.....if you turnover is biggish money with largish transactions then iZettle is mega expensive. If you do many small transactions with a low annual turnover then iZettle may work out better than the others.

When I spoke to iZettle they said they were aiming their product at very small businesses who would usually be forced to take cash.

The good thing about iZettle is the card reader. With Adelante and Cash Flows you have to punch the details into your phone which looks a bit amateur. Although I do know that Adelante have a card reader in development. I'm holding out for Adelante to bring a card reader out and then I'm going to go for it.

Cash Flows would match Adelantes charges. Plus with Adelante you get a virtual terminal as well as the phone app which means you can take card payments anywhere there's a computer,phone, iPad with Internet connection as its web based and simply accessed from a browser.

 

[Psl]

I have followed this thread with interest.

I decided to ask a very good friend of mine, based in Jersey, who is in the business of credit/debit card processing.

I asked him this question;

"On the smart phone app that take credit card payments can you run through why these aren't good things to use, the reasons etc?"

He replied;
"Couple of major reasons:

a) CardHolder confidence – allowing your card details to be put on someone’s mobile phone is not a great boost to the cardholders confidence. With Chip and Pin, no one sees your card details.

b) EMV security. EMV (Eurocard, Mastercard and Visa) and the Credit Card Associations do not recognise the use of a mobile phone as a valid payment terminal for CardHolder Present transactions. True CHP transactions mean protection against Chargebacks, no reserves withheld by banks and swifter settlement. Only with the Chip and Pin do we get the true CHP service.


Hope this helps mate?"

 

[crphillips]

I think customer confidence could be a problem with the manual entry type apps. It's changing fast though. Another few years and it will be standard to receive payments via your phone. Theres a lovely card reader case made by Mophie. It looks far more legitimate but isn't available in the uk.

As for charge backs - no different to the millions if online transactions done every day. Or receiving a cheque as payment so don't really see the problem. At least it's likely you'll be at the customers house

 

[bertstare_101]

I think customer confidence could be a problem with the manual entry type apps. It's changing fast though. Another few years and it will be standard to receive payments via your phone. Theres a lovely card reader case made by Mophie. It looks far more legitimate but isn't available in the uk.

As for charge backs - no different to the millions if online transactions done every day. Or receiving a cheque as payment so don't really see the problem. At least it's likely you'll be at the customers house

ive been using syspay for a few weeks now and its really good so far. They have manual entry of card numbers via a secure page like i zettle that the card owner completes and confirms via text and they are also getting the card reader soon too i think i was told when i called the other day. I work in france and uk and in france people dont have a prob entering their card details but the uk guys are not as keen so i usually show then a quick demo of syspay from the website they have so they can understand what they are doing. So far, nobody has refused it but ive had to explain it to around 10% of my customers (about 1000 sales). I would much prefer the card reader though, it makes the process easier if you ask me, less questions about why they are entering a card number on your phone but im lucky that my clients are generally young and up to date with tech.

 

[PSFDivision]

We applied for the SysPay card reader but had not previously used the iPhone app due to the concerns mentioned by others

After 4 weeks of supplying them with huge amounts of intimate/confidential details including a signed auto-filled Elavon application and a direct debit, they just came back saying the application was rejected by their "financial partner" saying this was "due to a lack of evidence of a sustainable business model" !

Note they charge UK applicants £200 for the card reader (in Europe they seem to charge Euro 200) and VISA flagged the transaction as fraudulent .. it set off all the triggers and I had to phone the, to clear the payment. Very worried they won't now give that back !