Site Loader
Mastering Merchant Finances



Welcome, fellow merchants, to a guide that could potentially revolutionize the way you handle transactions and, most importantly, save you a substantial amount on costs and fees. In the ever-evolving landscape of payment options, Electronic Funds Transfer at Point of Sale (EFTPOS) machines have become indispensable for businesses. In this blog post, we’ll explore strategies for reducing transaction costs, accepting all types of payment, and making the most of your EFTPOS machine.

Section 1: Understanding EFTPOS Machines

Before we delve into cost-saving strategies, let’s ensure we’re on the same page about EFTPOS machines. These devices allow businesses to accept various forms of payment, including credit cards, debit cards, and even contactless transactions. They connect directly to your business bank account, providing a quick and efficient means of processing payments.

Section 2: The True Cost of Transactions

To save money, you must first understand where your money is going. Transaction costs consist of interchange fees, processing fees, and other associated charges. By comprehending the breakdown of these costs, you can develop effective strategies to minimize them.

Interchange Fees:

Interchange fees are charges set by card networks (Visa, Mastercard, etc.) and are a non-negotiable aspect of card transactions.

Consider negotiating with your bank for lower interchange fees based on your transaction volume.

Processing Fees:

Payment processors charge fees for facilitating transactions. Compare different processors to find the most cost-effective solution for your business.

Negotiate transaction fees with your processor based on your transaction volume and business type.

Incidental Fees:

Be aware of additional fees, such as chargeback fees and statement fees. Monitor chargebacks closely and address customer disputes promptly to avoid unnecessary costs.

Section 3: Choosing the Right EFTPOS Machine

Not all EFTPOS machines are created equal. Selecting the right one for your business is crucial for maximizing cost savings. Consider the following factors:

Cost of the Machine:

Evaluate upfront costs and ongoing rental fees. Sometimes investing in a machine upfront can be more cost-effective in the long run.


Ensure your EFTPOS machine supports a wide range of payment types, including contactless payments, mobile wallets, and chip cards.


Opt for EFTPOS solutions that seamlessly integrate with your existing POS system. This can enhance efficiency and reduce the likelihood of errors.

Section 4: Negotiating with Payment Processors

Once you’ve chosen the right EFTPOS machine, the next step is negotiating with payment processors. Don’t be afraid to shop around and leverage competition to your advantage.

Compare Processor Offers:

Obtain quotes from multiple payment processors and carefully compare their fees and services. Look for transparent pricing models with no hidden charges.

Negotiate Transaction Fees:

Use your transaction volume as leverage to negotiate lower fees. Processors may be willing to offer discounts to gain or retain your business.

Review Contracts Thoroughly:

Before signing any agreements, scrutinize the contract terms. Ensure there are no hidden fees, and be wary of long-term contracts that may limit your flexibility.

Section 5: Embracing Contactless Payments

The rise of contactless payments has changed the game for merchants. Embracing this trend not only enhances customer experience but can also lead to cost savings.

Speed and Efficiency:

Contactless payments are faster than traditional card transactions, reducing waiting times and improving overall efficiency.

Lower Interchange Fees:

Some card networks offer lower interchange fees for contactless transactions, providing a financial incentive for businesses to adopt this technology.

Customer Satisfaction:

Customers appreciate the convenience of contactless payments, leading to increased satisfaction and potentially higher sales.

Section 6: Implementing Cost-Efficient Practices

In addition to selecting the right EFTPOS machine and negotiating with payment processors, implementing day-to-day practices can further optimize your financial performance.

Batch Processing:

Settle your transactions in batches rather than one by one. This can reduce processing costs and simplify reconciliation.

Stay PCI Compliant:

Adhering to Payment Card Industry Data Security Standard (PCI DSS) requirements is not only a security measure but can also help you avoid non-compliance fees.

Monitor and Analyze Transactions:

Regularly review your transaction data to identify any anomalies or potential areas for improvement. This proactive approach can prevent costly issues from escalating.


Congratulations, savvy merchant! By understanding the intricacies of EFTPOS transactions, selecting the right machine, negotiating effectively with payment processors, embracing contactless payments, and implementing cost-efficient practices, you are well on your way to saving significantly on costs and fees.

Remember, the financial landscape is dynamic, and staying informed about industry trends and advancements will continue to benefit your business. Here’s to efficient transactions, satisfied customers, and a healthier bottom line!


Leave a Reply

Your email address will not be published. Required fields are marked *