(866) 509-7199
(866) 509-7199

Credit Card Machines 101: Understanding Payment Terminals

Credit card machines, widely known as point of sale (POS) terminals, are necessary installations that facilitate merchant transactions. Choosing efficient credit card terminals for your business improves customer experiences, potentially increasing retention and the number of recurring purchases. 

At LOLA POS, we dedicate ourselves to providing the most intuitive and cost-effective merchant solutions, focusing on small and mid-sized businesses. 

We believe that the careful choice of credit card machines goes a long way in shaping customer loyalty and merchant revenue. By selecting credit card terminals with advanced features, your business can gain a competitive edge via personalized payments processing. 

Credit Card Machines—The Fundamentals

Credit card acceptance improves the cash flow of your business by providing your customers with a fuss-free payment option. 

Additionally, most banks offer cardholders fraud protection guarantees—a significant plus for customer experiences. Aside from the security and convenience, your customers might purchase from your business to fulfill a cashback or rewards incentive. Your brick-and-mortar merchant account requires credit card machines and payment terminals to begin the process. 

Essentially, credit card machines serve as devices for collecting customer payments through credit or debit cards. These devices send transaction data to card processors via the internet or phone, transferring funds from customer banks to merchant accounts. 

The most effective credit card terminals offer a wide selection of card acceptance alongside industry-approved safety features that deter fraud and employee theft. Your business should consider multiple factors such as hardware and swipe rates before deciding on a credit card machine.

Also, you should always inform customers of credit surcharges by positioning clear signages at the point of sales and point of entry in your store. Well-placed notifications prevent legal and customer disputes that may arise from obscure credit surcharge practices.

Card Machine Options

There are three main types of credit card machines, each equipped with integrated ordering and purchasing capabilities to keep up with the latest requirements in merchant payment processing. With a robust system in place, you can drive in-store transactions and transform one-time customers into regulars

Payment collection is a crucial juncture in the transaction, where customers will evaluate the value proposition of your business—including the professionalism, trustworthiness and efficiency of your practices. At this time, buyers may decide between remaining a loyal customer or approaching a competitor. And in a competitive market, this choice may come down to a more seamless payment process. 

Wired Terminals

Wired credit card terminals are some of the earliest models, undergoing significant improvements in recent years. The Verifone V200c Plus is a modern wired terminal that offers quick downloads, invoice printing and efficient operations. 

Additionally, the Verifone V200c comes with end-to-end encryption and tokenization, offering extra protection for sensitive bank information. 

Recent years saw the rise of EMV (Europay, Mastercard, Visa) chips as a replacement for magnetic stripe cards. While magnetic stripe cards have remained an effective storage method for credit/debit credentials since the 1960s, modern hackers have discovered ways to duplicate the technology easily, resulting in mass fraud cases. 

On the other hand, EMV chips offer encrypted data protection based on the ever-evolving EMV standards. VISA’s market insights show that chip technology reduces counterfeit fraud by as much as 76 percent. Therefore, when selecting a terminal, it is best to prioritize the acceptance of cards fitted with chip technology for improved user security when choosing a terminal. 

Wireless Terminals

A wireless terminal functions seamlessly, where customers may swipe their cards across a reader or key in their PIN to instantly connect with a payment processor. Unlike wired terminals stationed at a cashier or till station, wireless models provide merchants with the freedom to move around a brick-and-mortar store—serving customers on the spot (e.g., booths at a restaurant). 

Additionally, wireless terminals enable mobile businesses to diversify their transactions beyond cash acceptance. Examples may include ice-cream truck services or professional cleaning companies that visit multiple sites. These terminals work effectively even in locations lacking wired connections or power sockets, providing businesses with undisrupted transactions. 

Wireless models, such as the Ingenico Move/5000, operate with convenient connectivity options like Wi-Fi, Bluetooth and 4G/LTE. The Ingenico Move/5000 offers customers alternative payment methods (i.e., QR codes and swipe and sign) that simplify payment processing.  

The latest wireless terminals often feature wide and ultra-responsive touch screens that optimize the overall customer experience. 

Mobile Swipers

Mobile swipers are contactless credit card machines that have recently gained widespread interest due to pandemic social distancing practices. These devices include pre-installed SIM cards that connect to a mobile network and process a customer’s mobile network to authorize and finalize merchant transactions with card-issuing institutions. 

With mobile swipers, your business can reduce queue times with swifter payment processing and maintain a highly professional image by offering multiple transaction options. The latest mobile swiper models may include features such as expedited soft refunds and 

Swipe Simple Swift B-250 is a leading mobile swiper model that supports popular e-wallet payments such as Google and Apple Pay. The device connects mobile devices via Bluetooth technology and accepts EMV and magnetic stripe cards. 

LOLA POS—Matching You With the Right Processing Technology

The National Merchant Association (LOLA POS) provides comprehensive payment solutions and recommendations for modern merchants, helping avoid or reduce the excessive fees charged by some card processors. Ultimately, customers and merchants should not face a demerit for expanding card acceptances that improve business operations. 

We dedicate ourselves to advocating the best practices in merchant transactions, such as selecting the most effective credit card machines that optimize customer experiences and data security. 

At LOLA POS, . Join us as a partner to gain the latest insights in credit card processing and discover effective ways to personalized payments for a positive impact. 


LOLA POS. (LOLA POS) is a merchant advocacy group dedicated to reducing or eliminating the unnecessary fees associated with accepting credit card payments. Since 2004, LOLA POS’s payment processing solutions have been delivering tailored solutions, best-in-class customer service, and high-quality service offerings for businesses across multiple industries. Whether it’s high-risk or low-risk, brick-and-mortar or eCommerce, LOLA POS will create the best processing experience for your company. For more information, visit us at our website, www.lolapos.com, or call (866) 509-7206.

I'd like to be a: