CREDIT CARD PROCESSING & POINT OF SALE (POS)

Business owners have experienced a shift from customers using cash to now preferring credit card payments - 
which have become the
primary form of payment for most businesses. 

As a result, the high expense of accepting credit cards and rising cost of processing fees are now unavoidable.

Titanium Payments is an Austin-based private company is part of a cooperative buying network that offers “processor direct” wholesale pricing in the electronic payment industry.

ELIMINATE 3-5% MONTHLY PAYMENT PROCESSING FEES

These zero cost credit card processing programs allow pretty much anyone to reduce or eliminate the expense of credit card processing fees - even if customers are making credit or debit card transactions.

These new devices calculate "Cash Discounting" or "Dual Pricing" which allows businesses to accept credit cards without having to pay the 3-4% for payment processing and/or merchant service fees.

Everything you need to be successful from credit and debit card guidelines - including PCI compliance 
to protect you and your customers from the bad guys.


Offers a 5% Cash Discount

Most businesses are under agreement to prohibits them from giving customers a discount for using cash by the credit card companies. 

The rules changed a few years ago so companies like Spec's started offering a "Cash Discount" to reward customers for paying cash with a discount applied to the total amount when a customer pays with cash. 

CREDIT CARD ACCEPTANCE GUIDELINES


Understanding the Durbin Amendment and Its Impact on Payment Networks

The Durbin Amendment, enacted as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, introduced significant changes to the way debit card transactions are processed and regulated in the United States.

Below is an overview of its key provisions and the resulting effects on payment networks, banks, merchants, and consumers:

1. What is the Durbin Amendment?
The Durbin Amendment primarily addresses debit interchange fees, which are fees that banks charge merchants for processing debit card transactions.

Prior to the amendment, these fees could be as high as 2% of the transaction amount. The amendment capped these fees at 21 cents per transaction, plus an additional 0.05% of the transaction value for fraud prevention costs. This cap has significantly reduced the revenue banks generate from debit card transactions, especially for larger transactions.

2. How has the Durbin Amendment impacted payment networks?
The Durbin Amendment has had notable effects on payment networks that rely heavily on debit card processing:

Revenue shifts: Payment networks like Visa and Mastercard, which had relied on debit card fees, have responded by increasing fees on credit card transactions to compensate for the loss in revenue from debit card processing fees.

Increased competition: Smaller payment networks, such as Discover and American Express, have gained ground in the debit space by offering lower interchange fees to attract merchants.

Impact on innovation: With reduced fees from debit transactions, some payment networks have focused on finding new sources of revenue, potentially leading to innovations in the broader payments industry.

3. What are the pros and cons of the Durbin Amendment?

Pros

Lower costs for merchants: By capping interchange fees, the amendment helped reduce the cost burden on merchants, who could pass those savings to consumers in the form of lower prices.

Increased competition: The amendment fostered competition among payment networks, which has led to potential improvements in services and offerings for merchants. 

Potential benefits for consumers: With lower merchant fees, there is an argument that consumers may benefit from lower prices and better services.

Cons

Higher fees for consumers: Some critics argue that banks, in response to reduced revenue from debit card processing, may raise other fees, such as monthly account fees or overdraft fees, which ultimately burden consumers.

Challenges for small banks and credit unions: Smaller financial institutions, especially smaller banks and credit unions, are particularly affected by the cap, as they have less ability to offset lost revenue through other channels. This could limit their capacity to offer competitive products or invest in new services.

Potential for reduced cardholder benefits: As banks may adjust their fee structures to recoup lost revenue, customers could face reduced rewards programs or higher fees associated with debit and credit cards.

4. What are the alternatives to the Durbin Amendment? Market-driven approach: One alternative would be to eliminate government regulation of interchange fees, allowing payment networks to set fees freely. While this could encourage competition among networks, there is concern that it could lead to higher fees for merchants and consumers, particularly if networks engage in anti-competitive behavior.

Comprehensive regulation: Another alternative could involve regulating both debit and credit card interchange fees. Such regulation would ensure that neither debit nor credit card processing results in unfairly high fees for merchants.

However, this would require a more balanced approach and could involve additional complexities for regulators and industry stakeholders.

The Durbin Amendment has had a significant impact on the payments industry by lowering interchange fees for debit card transactions, resulting in cost savings for merchants. However, it has also led to higher fees in other areas for consumers and presented challenges for smaller banks.

While the amendment has increased competition among payment networks, further considerations regarding alternatives for regulating interchange fees may be necessary to balance the interests of merchants, consumers, and financial institutions.

The Benefits of the Durbin Amendment The Durbin Amendment has several benefits, including lower transaction fees for merchants, which can lead to lower prices for consumers. It has also increased competition among payment networks, which has led to innovation and better services for customers. The Durbin Amendment has also helped to level the playing field for smaller payment networks, allowing them to compete with larger networks.

The Drawbacks of the Durbin Amendment While the Durbin Amendment has had many benefits, it has also faced criticism from some quarters. Some argue that the regulation has led to higher costs for banks, which have been passed on to customers in the form of higher fees. Others argue that the regulation has stifled innovation in the debit card market, as payment networks have been forced to focus on reducing transaction fees rather than developing new products and services.

Conclusion Payment networks and the Durbin Amendment are essential components of the financial landscape. Payment networks provide the infrastructure for secure and efficient transactions, while the Durbin Amendment has helped to promote competition and fairness in the debit card market.

While the regulation has faced criticism, its benefits far outweigh its drawbacks. Overall, payment networks and the Durbin Amendment have played a critical role in the growth and development of the global economy.  

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Point of Sale (POS) Solutions

Start with software. Pick a plan with features to fit your business – payments, inventory and everything in between.

Hand-pick your hardware. Select a POS device for your business – countertop, portable or no device at all!

Add accessories and apps. Get Clover-approved accessories and third-party apps from our App Market to maximize your system.

Get paid in more ways ‑ ’cause we all like options. In partnership with our parent company, Fiserv, we provide even more solutions and resources for businesses of all types and sizes. There’s something for everyone!

Talk to a Subject Matter Expert

Take payments anywhere, anytime with your computer, tablet, or smartphone using Virtual Terminal on your Clover Web Dashboard.



Point of Sales (POS) Solutions

Union drives unprecedented revenue growth for high-volume bars and restaurants like yours by combining the industry’s smartest POS system and an innovative, guest-led ordering and payments solution.

Union's state-of-the-art point-of-sale system offers a unique, customer-focused experience by allowing guests to place their orders directly from their table.

This innovative solution is specifically designed for bars and restaurants that experience high levels of customer traffic and demand.

You are able to gain important insights and stay up-to-date on the top-performing items with a single, all-encompassing bar reporting dashboard.

This powerful tool allows you to make informed decisions based on real-time data, giving you a clear picture of the performance of your business. 


#1 POS System for Quick Service Restaurants

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MYR POS processes orders faster than other POS Systems ma1ing it the fastest POS for quick service restaurants in North America.

Run multiple cash register, customer facing display, 1itchen display, line busting/table side ordering apps on iPads.

Fast receipts & Works in offline mode.

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Why Master Your Rush?

POS Hardware and Software Components

A modern POS system is a combination of hardware and software that work together seamlessly to process transactions, manage inventory, and generate reports.

 The hardware components of a typical POS system include:
 -  A touchscreen monitor or tablet
 -  A cash drawer
 -  A receipt printer
 -  A credit card reader
 - A barcode scanner (optional)

Here are some key concepts to keep in mind when considering the software component of a POS system:

Cloud-based: Many modern POS systems are cloud-based, meaning that the software is hosted remotely and can be accessed from anywhere with an internet connection.

User-friendly interface: A good POS system should have a user-friendly interface that allows employees to quickly and easily navigate the system, reducing the potential for errors and increasing efficiency.

Integration with other software: As mentioned earlier, a POS system can integrate with other software and services, such as accounting software, online ordering platforms, and loyalty programs.

Security features: A modern POS system should have robust security features to protect your business and customer data from potential security breaches.

When choosing a POS system, it’s important to consider both the hardware and software components to ensure that they are compatible with each other and meet your business requirements.

Additionally, it’s essential to choose a POS provider that offers reliable hardware and software support, including installation, training, and troubleshooting, to ensure that your POS system is up and running smoothly at all times.

It’s important to understand why a POS system is an essential tool for fast-casual and quick-serve businesses, offering benefits such as streamlined sales processing, efficient inventory management, robust reporting and analytics, integration with other software, and enhanced security.

From multi-location owners to major franchises, streamline your business and every location with our complete POS system.

Control your menu and access all sales of every location in real-time from your phone. Calculate and invoice royalties/fees automatically with QuickBooks, Wave, Sage or Acumatica.

Run multiple cash register, customer facing display, kitchen display, line busting/table side ordering apps on iPads.

Fast receipt & works in offline mode.

MYR offers a comprehensive and user-friendly POS system that caters to the unique needs of fast-casual and quick-serve businesses, providing features like real-time inventory tracking, automated reordering, and seamless integrations.

By investing in a user-friendly POS system, you can optimize your business operations, improve customer satisfaction, and drive overall success for your fast-casual or quick-serve business.

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