Now that we covered what all you can accept, it’s time to decide whether you want to use an integrated POS swipe terminal or a non-integrated system. There are benefits to both sides, lets take a look at the pros and cons of both types:
|Small footprint||If printer breaks; you have|
to send the whole unit back
|Less costly||Takes up more counter space|
|Less cable clutter||More pricey||Customers won’t touch your|
terminal to enter PIN’s
|More cables to hide|
|If the printer breaks,|
since it’s separate you can still process transactions
|Receipt printer needs|
separate electric outlet
Refurbished vs. New POS Swipe Terminals
Just as with other electronic refurbished products, you can save a great deal of money purchasing a used swipe terminal. Refurbished terminals were returned to their manufacturer to be fixed and are then sold at a much lower price. And in many cases, the warranty is the same on refurbished terminals as it is for new terminals. Refurbished terminals may have some slight blemishes, but that can be expected of a previously own POS swipe terminal. If you are on a tight budget, you might want to consider looking into a refurbished terminal instead of a brand new one.
Purchasing vs. Leasing A POS Swipe Terminal
From a quick look, leasing does appear to look a lot better than purchasing a solution outright. However, there is a lot more to leases than meets the eye.
Always remember if you choose to lease, you will end up paying more than if you would just purchase the processing solution from the beginning. Lets say you find a merchant account provider who will charge you $350 to purchase a credit card terminal. Or they will lease you the same terminals for $30 each month for the next 48 months. After figuring that up, in the end you will end up paying $1,440 for that terminal if you chose to lease it for 48 months. That’s $1,090 more than you would have had to pay if you just purchased the solution right at the beginning. Also, be aware the above calculations do not include your state sales tax on the lease or the amount charged for the damage/loss waiver. With these two additional costs you can end up paying as much as $20 more along with the lease charges. Another factor you may not realize is the 48 month lease is not cancelable, so even if you go out of business you may still have to pay on that lease until the 4 years (48 months) is completed.
Unless you have to have a costly terminal with all the bells and whistles (and can’t afford to purchase it outright), avoid a lease and purchase a POS terminal at the beginning. It will save you a lot of money in the long run, as well as the potential headaches in case something unfortunate happens to your business.
Go To Last Page: Popular Credit Card Swipe Terminals; Guide Conclusion
Retail Merchant Accounts & POS Swipe Terminal Guide (page 5 of 6)