Features of a Credit Card Reader

A credit card reader is essential at the point of sale in receiving payments made via a credit card. The device is capable of reading different types of cards including customer cards, employee cards, and gift certificates, among others. During a transaction, a credit card reader performs a couple of actions within a very short time to make the sale possible. These include verification, checking the balance on a credit card, and giving a go-ahead for a pre-fed amount to be deducted from the holder's account to the merchant's account.


Credit cards are different and that's why you'll hear the merchants ask whether it is Visa, American Express, or MasterCard. All the information regarding the type of card and information in it is stored on the black stripe at the back of the card. During a swipe, a card reader reads the information on the stripe and conveys it to the central tracking and billing system to send the relevant information to the credit card company.


Once the information reaches the credit card company, it is analyzed electronically to determine if it is legitimate. The available balance is also checked to find whether it is below the spending limit. A transaction can only be allowed if the card has sufficient funds and the spending limit hasn't been exceeded.


The card reader contains a magnetic stripe reader that is used to decode the information on the black stripe at the back of the card. It also contains a keypad used to enter information and a tiny display unit. It can also have a built-in printer or an external one attached separately via USB. The screens normally have a backlight to show information even during the night.


Since credit card readers do vary in size and mode of operation, you have to consider a couple of factors before buying one. First, it should be capable of attaching to your computer via a USB port or any other port that your computer has. It should also be able to customize the key functions as well as download the data to your personal computer or any other electronic device.


Newer models are bi-directional hence save you a lot of time. Another useful feature is the tamper-evident design that features an extra-sturdy keyboard that comes in handy in places where the device is used frequently. You should also determine any licenses or insurance that you need before putting the device in operation. It is only when you have determined this that you can confidently purchase a credit card reader. Take a look at this link  http://www.ehow.com/how_5755949_accept-cards-through-cell-phone.html for more information.