EFTPOS

EFTPOS (Electronic Funds Transfer at Point Of Sale) is an electronic payment system used in many countries, particularly Australia and New Zealand, allowing customers to pay for goods and services using a debit or credit card at the point of sale. The system involves transferring funds directly from the customer's bank account to the merchant's bank account electronically.

EFTPOS transactions typically involve a customer presenting their card at a point-of-sale terminal. The card is either swiped, inserted into a chip reader, or tapped for contactless payment. The customer then enters their Personal Identification Number (PIN) or uses contactless technology (such as NFC) to authorize the transaction. The terminal connects to a network that communicates with the customer's bank and the merchant's bank to verify funds and complete the transfer.

The EFTPOS system offers several advantages, including convenience for both customers and merchants, reduced reliance on cash, and increased security compared to traditional payment methods. It contributes to the efficiency of retail transactions and the overall economy. Different countries may use different standards and protocols for EFTPOS systems, but the core principle of electronic funds transfer remains the same.