If your URL doesn’t have a support area, then a phone number is the best option for your descriptor. This allows people to call the number if they see the charge but don’t recognize it. A phone number allows people to call or search with Google, which most customers do when they see a charge they don’t notice.

All of the features/benefits of POS technology together help businesses increase efficiency as well as profitability. Today’s point of sale systems are business management platforms that can help you monitor and manage nearly every aspect of your business. Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity.

Descriptors assist customers in managing their finances by providing information about the types of transactions, such as purchases, refunds, or fees. With clear descriptors, customers can track their spending, reconcile their bank statements, and understand their financial records pos decl fee meaning better. No-card debit payments offer convenience and security, as customers can leave their physical debit cards at home and rely on their smartphones or other devices for transactions.

ATM Card vs. Debit Card

Unfortunately, this can confuse customers as they may not recognize a charge if the descriptor is incomplete during the pending period. It’s worth noting that premium cards often incur higher costs, depending on the benefits offered by the card. Now that you know the definition of a POS system, how much it costs, how to use one, and the ways POS can benefit your small business, you’re ready to begin shopping. You have products to sell, so it’s time to put them into your POS system. If you are transferring from one system to another, you can usually upload your existing inventory via a CSV file. But some of the best POS systems for inventory management also make it easy to upload items in bulk and sort them in a number of ways.

Can businesses pass on the POS machine charges to customers?

Soft descriptors are sometimes not accurate with aggregate payment processors because they don’t issue individual merchant accounts to their merchants. There is a higher risk of fraud for these transactions, and they generally come with higher processing fees because of that. The system will not assign the POS debit descriptor to these transactions, as card-not-present transactions use their own descriptors. These examples for a POS charge and POS debit seem simple, but they are both PIN-verified transactions. When payments are not PIN verified, the descriptors can change, which is where a lot of the confusion occurs for merchants and customers. In retail, you will find these systems at the checkout area used to accept payments.

POS Machine Charges and Fees in 2024

As a result, the amount your business will pay in POS fees depends on the size of your operations, your sales volume and the features you want in your POS system. If you’re a retailer with several locations, your POS system is no doubt costing more than it would a business owner operating a one-person shop. But merchants sometimes charge consumers more than they’re allowed to, and they may set minimums when they’re not supposed to. Even when merchants aren’t breaking the law, they might break the rules established by their payment processor. A POS charge can also be an additional fee that your bank charges when you use your debit card.

Paid POS systems deliver more features with no added costs, or you can add paid features to free systems to expand functionality. One area of payment processing terminology that often confuses is descriptors. The two most common descriptors are a point of sale (POS) charge and a POS debit. While these may seem the same, credit card companies and issuing banks view them differently.

If you see something you don’t recognize, do a web search for the exact name you see in your transaction history. In many cases, you’ll find a more helpful description because others have wondered the same thing. If you’re still stumped, look back through your calendar and think back to all of the spending you’ve done. If you’re trying to figure out what a transaction in your account history means, it probably refers to a purchase you made in-person at a retailer. By providing feedback on how we can improve, you can earn gift cards and get early access to new features.

1. Below, we’ll explain the difference between a POS debit and a POS charge.
2. Typically, merchants or businesses are responsible for paying the swipe charges incurred when customers use credit cards for transactions at POS machines.
3. It’s not uncommon for customer monthly statements to have hundreds of items listed.
4. These mobile POS solutions can provide a more cost-effective option for businesses.
5. Card-not-present transactions are usually for online transactions or recurring purchases.
6. Debit cards pull funds directly from your checking account, so fraud and mistakes can instantly drain the account.

A merchant can determine these descriptors, however, ultimately, the cardholder’s bank has the final say on how payment descriptors are displayed on cardholder statements. Some merchants may not even know their descriptors for various purchases or what their customers see on their statements. They also may not be fully aware of what they can modify about their descriptors to help prevent friendly fraud and confused customers. To forward the information to the issuing bank, the merchant’s payment processor must support this function.