Installment payments must be part of the payment | Payments Source
Point of sale systems have been at the heart of retail businesses for the past decade, having radically evolved from simple terminals designed to accept card payments. The modern point of sale system is essential for today’s merchants, providing the software and hardware necessary to run a successful business while meeting needs such as ordering, inventory, personnel management, payments and prevention of fraud.
The development of mobile point-of-sale terminals has ensured continued growth in various industries, from hospitality to restaurants to retail. According to a recent report, the point of sale terminal market is expected to reach 108.46 billion dollars by 2025. Advances in point-of-sale technology have provided merchants with increased flexibility and control, as well as a better understanding of consumer behavior.
The latest evolution of point of sale terminals includes the acceptance of various types of payment including mobile payments, credit card transactions as well as cash. Cloud technology has been a vital extension of point-of-sale capabilities, ensuring that data is accessible from the retailer’s smartphone or tablet, wherever it is. The upgraded SmartPOS is not just a product, but a hub for advanced features beyond the classic POS we’ve known so far.
As point-of-sale systems continually evolve to accommodate these developments, there are still glaring omissions. Point-of-sale financing is currently the payment option of choice for those who prefer to pay over time with the predictability of an installment loan with regular payments in place, compared to a credit card where there is. is more at risk of entering a cycle of debt. Millennials in particular have avoided credit cards in favor of purchasing even low-cost items using an installment loan system, often generating little or no interest.
Square is best known for providing portable credit card processing hardware, allowing small businesses to accept payments without having to invest heavily in an expensive point-of-sale system. This is essential in today’s retail environment, where fewer people carry cash, and has ensured Square’s exponential growth in a relatively short period of time.
Staying at the forefront of the point-of-sale solution revolution, Square added ‘square installments’ to its suite of solutions late last year, whereby the customer can apply for financing on their mobile phone, using the unique code received to make payment at a Square point of sale terminal. Square innovates by integrating a consumer credit service into the POS flow. Providing financing should be a basic value-added service for any point of sale provider.
Square’s integration of value-added services such as financing into its point-of-sale system should make point-of-sale providers recognize that financing directly from the point-of-sale terminal makes a lot of sense. Lenders such as JPMorgan Chase now offer installment loans through their My Chase plan, and two of the largest card issuers have joined the field, with Visa launching its own installment loan solution while Mastercard is very active in installment lending. the consumption. Logically, point-of-sale terminal providers should be the ones offering installment loans as part of the point-of-sale structure so that retailers invest in a comprehensive system that covers all of their point-of-sale needs.