How to Select the Right Credit Card Processing Service: Understanding products and payment security

In a previous post, we started with features to look for in selecting a merchant account provider. This covers payment processing and credit card security options for growing businesses.

Credit Card
Photo from sxc.hu user stelogic

After selecting your merchant account provider, it’s time to review which credit card processing options and products fit your business, and how these services will prevent credit card fraud. When comparing products, consider the following:

  • What are your specific business goals and needs?
  • Does your industry demand specialized services or products?
  • How can you improve convenience for customers and employees?
  • Is your payment process compliant with PCI security standards?

Processing Service Options

To figure out the right processing products for your business, look at your business needs and customer demands. Are you interested in expanding into the e-commerce space? Does your on-the-go schedule require a mobile processing capability? Do you deal mainly with mail order and telephone order transactions? A merchant processing solution can be customized for every business for the greatest return on investment.

Electronic invoicing

Capabilities used in addition to or instead of traditional paper billing, helping cut down on waste and mailing costs through online invoices and bill payment. Merchants can reduce late payments and offer more convenient, flexible account management and payment options for customers.

Mobile processing

The growing use of iPhones, Blackberries, Droids and other mobile devices brings a greater need for mobile processing. With mobile processing capabilities, you can process credit cards and debit cards from your cell phone – often with little or no additional hardware required.

Wireless processing

This service supports business on the go, so that you can accept credit cards without a brick-and-mortar facility or direct hookup. Hotels use wireless terminals to accept credit cards for room service, and drivers can accept credit cards for transportation services right from their vehicles.

Mail order/telephone order (MOTO) merchant account

Streamlines the transaction process for businesses that deal primarily with catalog, telemarketing and other card-not-present sales. Products include a virtual terminal, which allows merchants to manually enter credit card information securely from any computer, and process them in batches for faster service.

E-commerce merchant account

Allows merchants to accept credit cards for products sold online, integrating with major online shopping carts for efficient, convenient checkouts.

Retail merchant account

Ideal for merchants with point-of-sale processing needs, such as more efficient card-present transactions. Retail customers expect speedy checkouts that are as quick and easy as swiping a credit card. Retail merchant accounts provide access to updated credit card terminals and software.

Restaurant merchant account

Allows merchants to accept credit cards at fast food, short order, casual or fine dining establishments. Features may include tab transfers and easy gratuity, among many other options that help wait staff focus more on foodservice and less on bills.
These examples should give you an idea of the basic types of processing services available. A provider can work with you to customize an account to meet your needs.

How to Ensure Secure Credit Card Transactions

Credit card fraud becomes more complex as technology advances. Compromised data leads to devastating consequences, including a loss of credibility and money.

To cut the risk of security breaches and protect businesses and consumers, credit card merchants are required to run processing systems that comply with the Payment Card Industry Data Security Standard (PCI DSS). PCI compliance ensures your business takes the proper precautions and undergoes regular system maintenance for the highest levels of security.

Common PCI requirements include changing default settings and passwords after system installation, installing and maintaining point-of-sale equipment correctly and preventing the storage of unnecessary data. These issues involve simple fixes, and yet violating them can result in millions of dollars lost.

Make security a priority as you search for a merchant account provider and select credit card processing services. Learn about PCI compliance and verify your credit card processor’s payment gateway, data storage facilities and processing systems comply with PCI standards.

End-to-end encryption is a PCI compliant security feature that encrypts credit card data from the point of credit card swipe to authorization, so that sensitive information remains protected throughout the entire transaction process.

Tokenization is another powerful security measure that protects stored data. This replaces credit card information with tokens that are rendered useless should a security breach occur. Ask your merchant account provider how its services meet PCI requirements and help you minimize your liability.

Offer More Payment Options

If you’re new to credit card processing, read this post on selecting a merchant account provider, and start by doing homework on effective payment processing technology for your industry. Once you’ve signed up for a merchant account, prepare to work closely with your credit card processor as your business and customer demands continue to grow.

About the Author: Jacqui MacKenzie is a writer for Straight North, a Chicago Internet marketing agency that works with BluePay, a company offering credit card processing products.