PCI Compliance and Data Security
Retailers that fully-integrate their payment system at POS understand the risks associated with data breaches, the requirement for PCI compliance and that there are significant costs. However, even with frequent PCI assessments and an unlimited IT budget there is no guarantee against data breaches. Just ask any of the big banners dominating the data breach headlines today. All passed PCI audits and believed they were immune to data breaches.
The traditional fully-integrated paradigm utilizes software in the POS register through which credit and debit card data is transmitted, authorized and settled with a payment processor. Using a card acceptance device, such as a PIN PAD, the process involves many 3rd parties, certifications and resources. Although not without complexity and significant costs, the old paradigm had met the integrated payment system needs of retailers for decades. With the scope of PCI compliance costs and data security concerns today retailers are now at a tipping point. Many retailers are abandoning the old paradigm and returning to stand-alone payment terminals.