How to take card payments without a machine

We live in an increasingly cashless society. In the post-pandemic era, consumers are increasingly likely to eschew the use of cash. Instead, many prefer to use electronic wallets like Google or Apple Pay, or card payments for purchases. In 2010, more than 50% of all transactions were made using cash. By 2020, that number had fallen to just 17%. Debit cards, on the other hand, accounted for 44% of all payments in the UK in 2021.

Accepting card payments without a machine

Accepting payments is more accessible than ever, and for businesses, this includes taking card payments without a machine. Whether running a small business, freelancing, or needing a convenient way to accept payments, various mobile solutions can help process transactions effortlessly.

Taking In-person card payments without a machine

Small businesses could miss out on a high proportion of sales if they don’t have the infrastructure to accept card payments. Traditionally, small businesses need to set up a merchant account to accept such payments. But is there a way to take card payments without a machine?

Many PSPs like Square and SumUp offer card reader machines to their users. However, you can still accept in-person payments without a card machine if you wish.

Some PSPs offer a payment processing app that you can install on your smartphone to take card payments. Users can input a customer’s card details manually or scan a QR code to facilitate fast, secure payments in person.

A merchant account for card payments

A merchant account is a special type of bank account that is used by businesses to accept payments from customers. They hold your money while the credit card network processes the transaction and deposits funds in your account after the process is complete.

Most merchant accounts offer a machine that facilitates the receiving of credit and debit card payments. However, there are often long contracts and monthly fees associated with a merchant account. And these can be detrimental to nascent small businesses.

Fortunately, there are easy ways to accept card payments without a merchant account.

How to accept card payments online

PSPs make it easy to accept card payments online through your website. What’s more, most website building platforms offer easy integrations for major PSPs. If you’re having trouble integrating a PSP, another easy way to accept card payments online is to link out to a hosted payment page. These are highly customisable and can be designed to look and feel like an extension of your website.

Be aware, however, that not all PSPs are equal in terms of speeds and costs. Card-based payment services will always carry a high fee attached, due to their reliance on inflexibly card technology systems.

For fast, easy payments, GoCardless offers Instant Bank Pay, powered by open banking. By not using the major card networks, we offer online payments that are typically 25% cheaper than card transactions. Access faster, cheaper and more secure transactions by signing up today, for free.

Problems with Taking Card Payments

Taking card payments can present several challenges for businesses. High transaction fees, chargebacks, and security concerns often create hurdles for merchants. In addition, reliance on card networks can lead to delays in fund transfers and potential lost sales during network outages.

GoCardless recognises these issues and offers a solution that eliminates the pitfalls of accepting card payments. By providing a direct bank payment system, GoCardless ensures instant transactions, reduced fees, and enhanced security, allowing businesses to focus on growth without the complexities of taking card payments.

Alternatives to Accepting Card Payments

If conventional card payments are complicating your sales process, consider a revolutionary alternative: direct bank payments with GoCardless. This service allows customers to pay directly from their bank accounts, bypassing the need to take card payments altogether. This method not only simplifies transactions but also reduces costs associated with accepting card payments.

Furthermore, direct bank payments provided by GoCardless deliver a seamless experience with instant fund transfers and fewer chargebacks. By adopting this payment method, businesses can enhance transaction security and improve cash flow, setting themselves up for long-term success.

Avoid High Fees from Taking Card Payments

Small businesses often face unique challenges when it comes to accepting card payments. Traditional card payments can mean high fees and administrative burdens.

GoCardless offers simple integration, lower costs, and real-time transactions, making it an ideal choice for small businesses. This specialised direct bank payment service is designed specifically to help businesses accept payments directly from customers' bank accounts, providing a more efficient and effective payment solution.

By choosing GoCardless, businesses empower their customers to pay directly from their bank accounts, streamlining the entire process of accepting card payments and boosting their bottom line.

We can help

If you’re interested in finding out more about how to take card payments without a machine, then get in touch with our financial experts. Discover how GoCardless can help you with ad hoc payments or recurring payments.