Whether a business operates online or in a brick-and-mortar store, they must be able to accept debit card payments from their customers. As the years have gone by, fewer people are carrying cash with them and instead make their everyday purchases with their debit cards by using fixed terminals.
In a sense, the world is becoming more and more of a cashless society. If a business does not accept debit card payments, it can easily lose over fifty percent of its sales. This can have a drastic and negative impact on their cash flow that can put them out of business.
This is why a business needs to have a debit card merchant account. If a company operates an online business, it will need an ecommerce merchant account. By offering a debit card option, a business will be practicing good business. It will be easier for them to get new customers and most importantly will increase sales.
Debit cards work very similar to paper checks in the sense that they give direct access to the cardholders' bank account. Funds are directly debited from the cardholders' bank account when a transaction is made.
Setting up a debit card merchant account is very simple. The payment processor will set up a business with everything that they need to get started. If a company operates as a brick-and-mortar store, their provider will supply them with a card terminal machine that allows customers to slide their card in when making a payment.
Customers will need to enter their pin code before a transaction is authorized. Although other methods can be used instead of a card terminal, it has become the most trusted and secure method.