Virtual Terminal Payment Processing

Virtual terminal payment processing lets merchants accept credit and debit card payments as well as ACH (eCheck) transfers over the phone or via email, mail, or website. These CNP transactions typically cost more than those done in person or on a physical point-of-sale device. A virtual terminal can also help merchants avoid potentially costly PCI violations by eliminating the need to physically store customer card information on premise.

The virtual terminal is an internet browser-based payment portal that enables users to key in transaction details on any computer or mobile device. Merchants log into the interface, select their preferred payment type, and either send a digital invoice link to the customer or manually enter in their transaction information. Once the transaction is processed, funds are usually deposited into a merchant’s account within 24-48 hours.

Some virtual terminals include security features such as end-to-end encryption, which masks sensitive credit card data during transmission and makes the information unreadable to hackers. Some also offer tokenization, which replaces a customer’s real card number with a unique code, or “token,” that is used in future transactions without revealing the actual account numbers.

Some providers charge monthly fees, while others have a per-transaction fee or a flat rate that depends on the amount of potential transactions and added services. When comparing options, businesses should carefully review the entire fee structure so they can make an informed decision. For example, a provider with low transaction costs might have hidden costs like a high monthly fee or charges for advanced security features. virtual terminal payment processing