A location where card-present credit card transactions are performed. Typically this occurs in a brick and mortar location. The magnetic card is swiped or the EMV chip is dipped and the cardholder’s signature is obtained to help further protect against fraud. Most POS systems will allow the merchant to manually key in the information should the magnetic stripe or EMV card not be readable however this increases the processing cost of the transaction and increases the merchant’s vulnerability to fraud.
POS can also refer to the merchant’s hardware and software system for capturing and processing card-present transactions including but not limited to cash registers.« Back to Glossary Index