EFTPOS is an acronym that stands for Electronic Funds Transfer at the Point of Sale. It has become a retail payment method that scans debit and credit cards & connects with financial institutions to validate and execute individual transactions. From its very introduction in Australia in 1984, EFTPOS gift card technology has changed the way people shop. EFTPOS systems have transformed the way shops and companies use the general process of financial transactions. They have made them easier and much more secure.
What is the distinction between EFTPOS and debit cards?
Any debit card, as well as any EFTPOS card, are quite similar in certain ways. The most striking resemblance is that they both often utilise cash from your bank account, rather than borrowing money. Both sorts of cards can now conduct cashless transactions in past years.
But, to make an informed conclusion about which approach is best for your wallet, it’s arguably more vital to understand what distinguishes EFTPOS from a debit card. These were some of the significant distinctions: EFTPOS is indeed an Australian payment system. Though you may use your MasterCard or Visa bank card even outside Australia, customers could only use an EFTPOS card within a few areas. Online purchases cannot be made using EFTPOS cards, although debit cards may. Rumour has it that EFTPOS is working on permitting their cards to be utilised for online purchasing, nevertheless, with the cards swiftly tumbling out of endorsement, only time would tell if this arises. In most circumstances, banks do not charge you for using Visa or MasterCard to make purchases. Some would charge for EFTPOS transactions or limit the number of small transactions each month, however, this is less frequent than it used to be.
There are four primary advantages to using EFTPOS technology, particularly EFTPOS cards.
1. They’re safer than cash.
When opposed to cash, EFTPOS systems (such as credit cards) provide significantly higher security. If a recipient’s wallet or purse is taken, all they have to do is contact the card bank’s emergency hotline, and the account will be revoked instantly. PIN numbers add an added degree of security to EFTPOS cards. This means criminals will face a new challenge when attempting to access the cash on a stolen card.
2. The cash balance is immediately available for usage.
Although bank transfers are sometimes quick, it usually takes 2-three days for the payments to settle. EFTPOS preloaded cards, on the other hand, provide the receiver with immediate access to any cash amount as soon as users activate the account.
As a result, prepaid cards become popular within Australian businesses that have staff reward programmes. Some businesses even utilise them to disperse pay on a weekly, biweekly, or monthly basis.
3. They’re ideal for presents and business incentive programmes.
Giving cash to employees who win awards isn’t the most spectacular option, and it might represent a security risk for your firm and the individuals in question. Furthermore, currency makes it more difficult for the receiver to view their award as a personal present to be utilized on whatever they like. Preloaded EFTPOS cards, but on the other hand, are ideal for staff presents and awards. The amount they win will be kept separate from their usual wages because it will not be deposited into their savings account. Furthermore, neither they nor your accounting staff will have to be concerned about your workers strolling about with huge quantities of money. The best part? The winner can spend their reward money at any retailer in Australia. They aren’t restricted in their options as they would be with such a standard gift card provided by a local business.
4. All purchases are handled as soon as possible.
Payments are processed in a couple of seconds using EFTPOS gift card technologies. It approves transactions immediately, providing debit and credit cards with the same ease as cash. EFTPOS payments are exceedingly unusual to be delayed, so your beneficiaries may buy with confidence.