Credit cards run on the same terminal and the same account as debit cards, so there is nothing extra to buy. What is different is the cost underneath: UK interchange is capped higher on consumer credit cards than on debit cards, and most providers blend the two into a single advertised percentage.
Taking credit card payments: the same machine, a different underlying cost
Every terminal in this index accepts credit, debit and phone wallets on one device. The provider's rate is what differs, and blending hides it. A business whose customers pay overwhelmingly by debit card is subsidising credit users on a blended rate, and can often do better with a provider that prices the categories separately.
Card payment options and card payment methods for a UK business
There are four routes and most businesses use two of them. A card reader paired with a phone or tablet, a standalone terminal on wifi or a SIM, tap to pay on a supported phone with no hardware at all, and for sales not made face to face a payment link or an invoice. Each takes the same credit card payment methods, chip and PIN, contactless and phone wallets, except tap to pay, which is contactless only. Published card terminals on this index run from 11 pounds to 179 pounds bought outright, and Lopay prints payment links as a separately priced add-on, so check which routes your provider includes before comparing headline rates.
How to take credit card payments on phone hardware you already own
Tap to pay accepts contactless credit cards on a supported phone with no hardware. It cannot take a chip and PIN card, so a credit card presented for a large sale, which is exactly when credit cards are used, will often fail. For businesses whose credit card sales are the big ones, a reader is not optional.
Commercial credit cards are the expensive ones
Business credit cards sit outside the UK interchange caps that cover consumer cards, so they cost more to accept. Lopay states an additional percentage point for corporate cards. If you invoice businesses or sit near an office park, model that share before choosing on a headline rate.
Questions people ask about take credit card payments
Is a credit debit card payment system one machine or two?
One. A single terminal and one account cover debit, credit and phone wallets. Only the underlying cost differs, and most providers blend it into one rate.
Can I take credit card payments on a phone?
Contactless credit cards, yes, through tap to pay on a supported phone. Chip and PIN credit card payments need a reader, which matters because credit cards are typically used for larger sales.
Why do credit cards cost more to accept?
Interchange on a UK consumer credit card is capped higher than on a debit card, and commercial credit cards fall outside the caps altogether.
Can I take debit card payments on the same account?
Yes. To take debit card payments you need nothing beyond what takes credit cards: the same terminal and the same account. Debit is usually the cheaper card to accept, because UK interchange is capped lower on consumer debit cards than on credit cards, which is worth knowing if most of your customers pay by debit.
What is involved in setting up credit card payments?
An account with a provider, which checks your business before it lets you take payments, and a device or a payment link. App based providers sell the hardware outright with no minimum term; bank owned acquirers underwrite you more fully and usually attach a term. Ask for the rate by card type, the fixed fees and the exit terms in writing before you sign.