What is wireless credit card machine?

By: Subhash

• A wireless credit card machine comes with advanced technology but also with a much higher price tag when compared to standard POS terminals. The starting price on a wireless credit card machine is around $850.00 for full featured terminals and can go up from there.

• Wireless credit card machines are most often used in mobile and trade show businesses, but are becoming more common in upscale restaurants, taxi, limo, and delivery services.

• The comstar charge anywhere terminal has a much lower price, but does not include an attached printer. One of the benefits of wireless terminals is a feature called store and forward. This service allows cards to be processed when no cellular service is available, by storing the card and transaction information obtained in the swiping of the credit card. The merchant later completes the transaction when service is available. By using store and forward, a merchant will never have to turn down a sale.

• Most wireless terminals have built in pin pads, and are also able to operate with electronic check acceptance services.

Due to federal regulations, both debit and electronic checks must be processed through a land line connection and cannot be processed wireless. This is due to the added security that is required when transactions involve a customers bank account.

How Wireless Network worksWireless credit card machines operate on wireless networks, and thus require additional wireless fees for the cellular service. A wireless credit card machine can be used with a normal phone line if cellular service is not available within a particular area, or can be set up with a store and forward system when no telecommunication method is available at all.

Important Wireless Network Information

1. Mobitex Wireless Processing Network It uses a satellite network, and operates similar to a cellular phone. This network is the standard for wireless processing. The mobitex network is run by Velocita Wireless. This is not the standard cellular phone network, but is designed specifically for business and processing uses.

2. CDPD Wireless Processing Network It is similar to but pre-dates the Motient network is called CDPD. Machines that use the CDPD system will soon be useless on the wireless processing network because the CDPD system is being abandoned. It is important when purchasing a wireless terminal to ensure that the machine does not use the CDPD wireless network but uses the Motient or CDMA networks.

3. Wireless Network Wireless Network is very new for processing is the standard GSM and CDMA cellular phone networks. The GSM network is used by Cingular and T-Mobile. The CDMA network is used by Verizon and Sprint Wireless. These systems are the networks that most cellular phones operate on, allowing for a very large coverage area and reliable service. The coverage area is substantially larger than the Motient Network.

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