paymentcredit-cardpayment-processingpoint-of-saleemv

In person recurring payments with POS terminal or card reader


Context

Me and my team are developing solutions to allow merchants with an online store to more easily deal with in store payments. At the moment we are also considering the option to develop our own POS terminal integration (based on off-the-shelf EMV L1&L2 Certified rebranded terminals) to give a more coherent user experience to our customers.

On our online solution we support recurring payments using Stripe as our payment gateway therefore we would like to extend this option to physical stores as well.
Of course we could make it possible in the same way we do for online customers but we would like to make the payment experience as similar as possible to the one customers have when purchasing a one time payment product.

Questions

Can a POS terminal setup recurring payments?
Maybe through some trickery that allows to authorize a payment on the spot but capture it in a second moment?

End if it isn't possible and we have to rely on Stripe for this:
Is it legal to capture from an ordinary reader (without special specifications) information as Card Number, Card Holder end expiration date from a card magnetic stripe or other medium to prefill those fields?
I'm not talking about storing those information of course, just reading them to more easily add this card to Stripe.

Thank you in advance and any quality material or alternative suggestion is welcome.


Solution

  • A general answer is that it is possible to initiate original transaction over POS channel and issue subsequent transactions in another (like recurring ecom). The original transaction needs to perform strong cardholder authentication and its details (Transaction ID / TraceID from authorization response) have to be indicated in subsequent authorizations.

    What you are describing is referring to features and services offered by one of the companies. You should refer to their support for answer if they support it and what are conditions to do it.