5 best EFTPOS machines for small businesses

For a small business, choosing the wrong EFTPOS machine can be costly, particularly when margins are tight and it’s unclear where you stand in a couple of years. You don’t want to tie yourself to a longer-than-necessary contract, and transaction fees and monthly costs (if any) should be fair for your sales volume.

Traditionally, an EFTPOS terminal was obtained from banks, but modern card reader providers now provide simplified pricing, pay-as-you-go fees and no commitment.

Let’s compare the best EFTPOS machines that currently lead among small businesses in Australia.

Launched in 2021, Zeller is a new entry on the market. Zeller Terminal has no monthly fees – you just purchase the terminal upfront for $299 (includes GST and a 12-month warranty), and it’s yours to keep and use indefinitely. If you’re not ordering it online, Officeworks sells it in store.

There’s no contract lock-in, only a pay-as-you-go transaction fee of 1.4% for chip and contactless card payments. To avoid this, you can activate the surcharge function for fee-free transactions, as long as your customers are happy to pay this fee.

Zeller includes an online account where you can receive transactions the same day. This is linked to a business Debit Mastercard (in the package), so you can spend the money straight away. Transactions and payouts are shown in your online web portal and complimentary Zeller App.

Alternatively, you can link a business bank account from any Australian bank, if you want transactions settled there within one business day.

The touchscreen card terminal has a built-in receipt printer. Its large display shows a simple checkout where you enter a transaction amount, add a tip or surcharge, then accept the card. Customers can enter their PIN on the on-screen PIN pad. If needed, you can integrate the terminal with a POS system of your choice or Xero for accounting.

For a 1.7% rate, you can accept keyed transactions if your customer is not present. Alternatively, you can send invoices and accept online transactions through those for 1.7% + 25¢ for domestic cards (including Amex).

The online account and card are both free and included for all merchants, and there are no ongoing costs, chargeback fees or setup charge.

The Zeller EFTPOS machine accepts Visa, Mastercard, eftpos, American Express and JCB cards via chip, swipe and tap. You can also accept Apple Pay, Google Pay and Samsung Pay transactions.

Accepted cards

The terminal works independently through WiFi, but a SIM card should be purchased if you want mobile connectivity. The battery can last a whole day from a full charge, but a charging station is available if you keep it on a counter most of the time.

Last but not least, Zeller support is available to phone every day of the week between 9 AM and 1 AM (AET).

Square was the first company in the world to release a card reader for mobile phones. Since its arrival in Australia, the local banks and other payment providers looked old-fashioned in comparison. Why? Because Square champions affordable EFTPOS for small business without contractual lock-in, hidden fees or complicated terms.

You simply pay for a card reader upfront, which you then own forever, and pay only a fixed transaction rate for the card transactions processed. There are no monthly fees or other ongoing costs to worry about, nor do you have to return the hardware if you decide to stop using it.

Square Reader works in conjunction with a free Point of Sale (POS) app on your phone or tablet connected to 3G, 4G or WiFi. It costs $39 including GST and the transaction rate is a fixed 1.9% for all cards incl. foreign, premium and eftpos cards.

The app has a wealth of features for most face-to-face merchants, e.g. product library, tipping, taxes, employee accounts and a customer library. On top of this, you get invoice tools, a virtual terminal for over-the-phone payments and ecommerce options like an online store.

Alternatively, you can subscribe to Square’s specialised POS systems for retail, hospitality or appointments scheduling.

There is also a mobile card machine called Square Terminal, which only works through a secured WiFi connection. It doesn’t need a connected mobile device and has a touchscreen display with almost the same features as Square Reader’s POS app, hard-coded on the terminal.

Card transactions cost 1.6% on Square Terminal, but you buy it for $329 incl. GST.

Accepted cards

With any of the EFTPOS readers, you can split the purchase cost into instalments paid over 3, 6 or 12 months.

Online payments and key-in payments via the free Square app or Virtual Terminal cost 2.2% per transaction.

There is no dedicated surcharging feature, but it is possible to calculate and add surcharges to each transaction individually. Payouts are free and automatically reach your bank account in 1-2 business days.

Previously More Payments, PayNuts offers a range of payment solutions for small businesses, mainly EFTPOS terminals without contractual commitment.

There are no fees for setting up, shipping, contract termination (it is cancellable any time), refunds or payouts. Other fees depend on your chosen plan which is either Pay Nothing or Low Fee EFTPOS.

If you opt for the Pay Nothing EFTPOS plan, you’ll be passing on transaction costs to the customer with a surcharge. Plus, if you make over $10k monthly in card transactions through the specific terminal, there is no cost at all on this plan. No other fees apply, not even for chargebacks or receipt rolls.

The Low Fee plan always charges $29 monthly for EFTPOS rental regardless of turnover, and a mix of extra fees apply for e.g. chargebacks. The exact costs are tailored for your business and on the low side compared with alternatives.

The Low Fee transaction costs are not as simple as a fixed percentage, but they are lower – between 0.8% and 1.5% depending on your type of business and revenue. This includes GST, the card scheme’s (e.g. Visa, eftpos) variable rates and PayNuts’ merchant service charge. Regardless of how little you earn, you generally get good rates, but the sales volume does factor into it.

At the moment, PayNuts mainly offers the mobile and portable Verifone T650p touchscreen terminal. It integrates with a huge choice of POS systems – over 600 software providers – but can be used independently.

Accepted cards

If you want the (potentially) cheapest way to start taking cards in person, Mint Mobile (mPOS) is a good contender. Since you’re not buying the card reader upfront and the monthly cost is $0 as long as you’re making at least $2,000 that month, you can end up paying only transaction fees from the first month.

For the months you are making less than $2,000, however, a $11 (incl. GST) monthly fee applies. And if you don’t accept enough cards to pay $22 in transaction fees during a month, a monthly minimum charge of $22 is added on top.

The Mint mPOS solution comes with a 12-month contract from Fiserv (previously First Data). To cancel, you have to provide at least 60 days’ warning before the end of the contract, meaning if you decide to end the service in the 11th month, the contract will roll into another year’s term.

If you want to cancel before the fixed contract, you pay the equivalent of 80% of the remaining costs you would have paid if staying until the end. A $110 account closure fee applies regardless of when the account is closed.

Visa, Mastercard (from 1.8% incl. GST per transaction) and eftpos cards (30¢ incl. GST per transaction) are accepted. American Express requires a separate contract with additional costs.

The card reader works in conjunction with a mobile app on a phone or tablet, but features are quite basic and the software rarely updated which is a concern. If you want to add a surcharge, you can do that in the app.

Accepted cards

Tyro offers a countertop and portable EFTPOS machine for rental, or an app-based card reader with a pay-as-you-go rate and no monthly fee.

You pay $29 + GST per month for the stationary terminal or $39 + GST monthly for a mobile terminal that works on 3G or WiFi. Either can integrate with most POS systems. The service is cancellable any time, but you have to return the terminal when you leave the contract.

Alternatively, the new Tyro Go card reader can be purchased upfront for $59.95 including GST, and there is then no monthly fee, just a fixed transaction rate of 1.6%.

Whatever the choice, there’s no contractual lock-in or setup fee, meaning you can sign up without too much risk.

If your business transacts for less than $20,000 per month and you rent a terminal, your transaction rates are the following excluding GST: Tyro accepts domestic Visa and Mastercard for 1.1%, with an added 0.4% for international cards and a further 0.4% if using DCC. Eftpos and UnionPay cards cost 1.1%.

It’s absolutely possible to accept American Express, JCB and Diners Club, but you need separate agreements with associated costs, plus Tyro’s additional switching fee of 0.1% per transaction with one of those cards. Alipay can also be accepted for 1.3% per payment.

Tyro EFTPOS fees can be customised if you make more than $20k monthly in card transactions.

The rented Tyro EFTPOS machines, manufactured by Worldline, are hard-wearing and look professional on a countertop or outside, though they look quite outdated compared to most terminals offered today. There have also been technical problems with them in early 2021 , but this has since been fixed.

Accepted cards