What Are the Best Apps for Credit Card Processing?

Every modern business needs the ability to accept credit cards as payment. If you can’t process this payment method, you will significantly limit your customer base. After all, credit cards are easily among the most commonly used payment methods. 

But what are the best apps for credit card processing? And why does it matter which one you choose?

We’ve got you covered. 

Why Is Choosing the Right Payment Processor Important?

First things first, let’s talk about why choosing the right payment processor is so crucial. Here are a few of the biggest reasons you shouldn’t take this decision lightly.

Safety and Security of Customers

Credit card payments require the processing of very sensitive information. You need a system that is PCI compliant and will protect the sensitive data transmitted during the process. If you use a less secure system, your customers’ credit card information may be hacked. That, in turn, would damage your company’s reputation.

Collect Payments with Peace of Mind

Simply put, having a reliable credit card processor lets you collect payments with peace of mind. You will know that your chosen app has excellent uptime, so it will always be working when you need it to. And you will know that your customers’ information is secure, giving you one less thing to worry about.

Proper Processing of Credit Card Payments

You can’t accept credit card payments without an app for credit card processing. But it goes beyond just ensuring that you offer an incredibly popular payment method. Accepting credit cards can also increase the average customer purchase and encourage impulse buys. One study from MIT even found that customers spend a whopping 83% more when paying with a credit card compared to cash.

6 Credit Card Processing Apps for Small Businesses

When choosing among apps for credit card processing, you want to consider the following factors:

• Cost (including the monthly fee and credit card processing fees)
• Features
• Ease of use
• Contract
• Reviews

With that in mind, take a look at some of the most popular credit card processing apps for small businesses.

Podium

Podium’s payment processing easily integrates with all of the other Podium services. This means that when you interact with customers later on, you can easily see their past purchases. In addition to credit card processing, Podium is one of the few apps to offer text-to-pay, a feature that is quickly growing in popularity. 

You also get high-quality hardware, such as card readers. Aside from payments, these card readers can also help you gain reviews and marketing opt-ins.

Square

As an app for credit card processing, Square can work with a magstripe reader you attach to your smartphone or tablet. You also have the option to get a separate POS system. It is especially popular for pop-up locations and temporary businesses. Just be aware of the various add-ons, such as payroll and loyalty, when comparing prices. The processing rates can also add up very quickly.

Shopify Lite

Shopify has some affordable mobile card readers, and you get the convenience of integration with Shopify’s various eCommerce features. However, there are more affordable options, and you won’t find any extra features for food service.

PayPal (Zettle)

Zettle by PayPal comes from one of the big names in online payments, but you should be aware that it doesn’t accept offline payments. One highlight is that there is no contract nor a hidden fee to process credit card payments. You will only pay for sales made in addition to the hardware costs. The caveat is that the battery doesn’t last as long as most other card readers on the list.

Clover

Clover is one of the most popular apps for credit card processing. One highlight of choosing this processor is that it accepts offline payments. It also has a range of terminals available and offers the option of immediate access to deposits for a fee. This may be worth it if your business needs more cash flow, but you will have to weigh the cost. 

It’s also worth noting that Clover is a bit more expensive than some other options, especially for small businesses with low volumes of credit card payments. 

Stripe

Stripe is another big-name credit card payment app with offline payment abilities. It also has a convenient card reader that you can use with the system. Just be aware of somewhat high processing fees.

Bonus: Tips for Improving the Payment Experience

Remember that choosing the right credit card processing app is just one part of delivering a good payment experience. You should also take other steps to improve the payment experience, as this will help you gain new customers and retain existing ones.

Offer Contactless Payments

One of the best ways to improve the payment experience for your customers is to offer contactless payments. Contactless payments became incredibly popular during the pandemic as a way to reduce health risks to shoppers and cashiers alike. But people also realized how convenient this payment method is.

At the very least, you should accept contactless credit card payments. But that’s not necessarily enough anymore. Savvy businesses are also accepting payments from mobile wallets like Google Pay and Apple Pay. Some terminals with NFC technology or credit card payment apps make it incredibly easy to accept these payments.

Offer Text-to-Pay

Of the various contactless payment methods, text-to-pay is quickly growing in popularity. It is popular among younger generations, and customers under age 55 are more likely to try this payment method (and other new forms of payment).

Keep a Card on File

Keeping credit and debit cards on file is somewhat common with online retailers. Customers appreciate the convenience of not having to reenter their card information every time they buy. But you can also add convenience to in-store customers by keeping a card on file. It saves customers the hassle of having to pull out their card and saves your team the hassle of having to scan the card. 

The important caveat is that you need to ensure you have a secure payment system if you are storing this type of sensitive information.

Offer Multiple Payment Methods

We mentioned a few specific payment methods, but a general rule of thumb is to offer multiple methods, including those that your customers want. The more methods you offer, the more likely you are to accept payments via the form your customers prefer. That helps you attract and retain customers.

Of course, you will have to evaluate your customer preferences and the cost of various payment methods before deciding to offer them. If only one or two customers out of thousands want a given method, it may not be worth offering it.

Send Alerts and Updates

Improving the payment experience isn’t just about offering the right payment methods. You also need to keep your customers updated on those offerings. So, send out updates when you add a new payment method or change how you accept a certain method.

Let Customers Know About Your Security Practices

No matter the type of payment methods you offer, make sure customers know how secure they are. This will give them peace of mind, increasing the chances that they will take advantage of different payment methods.

You can even go beyond this and educate your customers about how to avoid fraud when shopping online.

Get Started with Podium

When you are ready to upgrade your payment processing, turn to Podium. Try Podium for free and get integration between payments and other tools, such as converting more leads via Webchat, communicating easily with customers, and collecting more reviews.