Free Card Reader
POS equipment can get expensive, so here's a list of the best affordable (if not free) card readers available on the market.
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The top 5 free card readers are offered by:
- Square: for new small businesses
- Shopify: for online businesses
- Clover: best all-in-one card reader
- Vagaro: for salons and spas
- SecureGlobalPay: for high-risk businesses
With so many free card readers available, it's easy to assume they're all good deals.
But 'free' often comes with a catch—some processors offset their free device by adding costly transaction fees or restrictive contracts.
If you're a new or small business looking to save on upfront costs, here's a guide to the best free card readers on the market, selected for their transparency and value.
Square Reader: Free Mobile Credit Card Reader
- Pay 2.6% + 10¢ Per Swipe for Visa, Mastercard, Discover, and American Express
- Accept Credit Cards Anywhere
- Fast Setup, No Commitments
Best Free Card Readers for Small Businesses
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To find the best card reader for your business, consider:
- Use case: Do you need it for expos or conventions? Or for your brick-and-mortar store?
- Transaction fees: Do you have a high sales volume? Or do you get sporadic sales?
- Setup process: Are you tech savvy or do you prefer plug-and-play options?
- Business industry: A lot of these processors don't work with high-risk businesses, while others have their expertise.
Here's the best free card reader if your small business is just getting off the ground.
1. Square: for New Small Businesses
Best Supported Industry | Retail and professional services |
---|---|
In-person Transaction Fee | 2.6% + $0.10[1] |
Free Equipment | Free magstripe card reader |
Square offers a free magstripe card reader for small businesses which you can plug into your phone. You can choose from a lightning connector, USB-C, or headphone jack connection.
It's ideal for conventions, expos, markets, and mobile businesses. If you need more, you can buy an additional magstripe reader for $10.
If you also want to accept digital wallet payments, you'll need a contactless chip card reader which costs $59.
You can start right away because Square is easy to set up and there's no approval process. What's more, Square POS is sleek and intuitive to use. Many small businesses and customers find it easy to work with.
- Square Review
- Pros and Cons
- How to Get the Free Square Reader
Square Reader: Free Mobile Credit Card Reader
- Pay 2.6% + 10¢ Per Swipe for Visa, Mastercard, Discover, and American Express
- Accept Credit Cards Anywhere
- Fast Setup, No Commitments
2. Shopify: for Online Stores
Best Supported Industry | Small businesses with online and brick-and-mortar stores |
---|---|
In-person Transaction Fees | 2.4% to 2.9% (+ $0.30)[2] |
Free Equipment | Free card reader |
Shopify is another titan in the payment processing space. But what makes it stand out among the rest is its e-commerce features.
With this processor, you can be sure that your customers' experience online and in-person are seamless.
You can get a free card reader when you select from their POS plans. These would be either Shopify Basic, Shopify, Advanced, or Retail plan.[3]
Shopify's Tap & Chip Card Reader enables you to accept chip and contactless payments for major card brands and payment methods. Read on for the review to understand why it's worth it.
You can connect the reader to your mobile device wirelessly. And if you're using a supported Android device, you can connect the card reader with the wire as well.
- Shopify Review
- Pros and Cons
- How to Get the Free Card Reader
3. Clover: Best All-in-One Card Reader
Best Supported Industry | Service businesses; may not be ideal for retail businesses |
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In-person Transaction Fees | 2.3% to 2.6% (+$0.10) (Clover); may get lower rates from other merchant account providers[5] |
Free Equipment | Free Clover card reader from third-party payment processors |
Clover is a payment processor that offers Clover Go as its card reader. That said, you won't be getting the free card reader from Clover, but rather, from other payment processors that offer them.
Some of these companies include Velocity Merchant Services, POS Pros, and National Bankcard. You'll have to review the point-of-sale features of the processor of your choice since these will vary.
That said, the card reader works great and will let you accept all credit cards, debit cards, and mobile wallet payments.
- Clover Review
- Pros and Cons
- How to Get the Free Clover Card Reader
4. Vagaro: for Salons and Spas
Best Supported Industry | Salon and spa businesses; businesses in the wellness industry |
---|---|
In-person Transaction Fees | 2.75% per transaction (if less than $4,000/mo of sales); 2.2% + $0.19 per transaction (if more than $4,000/mo of sales)[7] |
Free Equipment | Free card reader |
Vagaro is not just a credit card processing company. It's primarily an appointment scheduling software that specializes in the beauty, wellness, and fitness industry.
If you opt for their credit card processing services, you can get yourself a free card reader which lets you accept credit cards, debit cards, and digital wallet payments.
It may be more suited for mid-size to growing businesses because of the processing rates. The starting rate is the most expensive compared to the other processors on the list.
But the discounted rate can be the most affordable as well. You only need to meet the sales volume required.
If you deactivate your account within 12 months of ordering the free card reader, you'll have to pay the reader's price. You also cannot return the card reader.
- Vagaro Review
- Pros and Cons
- How to Get the Free Card Reader
5. SecureGlobalPay: for High-Risk Businesses
Best Supported Industry | Retail and high-risk businesses |
---|---|
In-person Transaction Fees | Need to contact for a quote |
Free Equipment | Free card reader (may be different brands) |
Many small businesses who opt for payment processors like Square and PayPal report issues of frozen funds. It's because these processors have deemed their businesses "risky."
You can avoid this instance with SecureGlobalPay as it is a high-risk payment processor. Your account will be more stable since your business will be evaluated beforehand for approval.
SecureGlobalPay works best with retail businesses (who may still be considered high-risk). The free card reader is PCI-compliant and works with Android and iOS.
With this card reader, you can accept EMV Chip, magstripe, and contactless payments. SecureGlobalPay didn't specify the card reader brand, but your mobile POS will be from Clover.
- SecureGlobalPay Review
- Pros and Cons
- How to Get the Free Card Reader
Alternatives: Cheapest Credit Card Readers
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If you're willing to shell out a little money, here are some card readers from trusted brands. They may be worth the price.
Depending on the provider, card readers can be free or can set you back as much as a couple hundred bucks. The price depends on the type of payments accepted (i.e., swipe, dip, and tap payments) and other point-of-sale features.
PayPal: for Accepting PayPal and Venmo
Best Supported Industry | Low-volume retail businesses |
---|---|
In-person Transaction Fees | 2.29% + $0.09[8] |
Equipment | Paypal Zettle card reader: $29 to $79; Zettle Terminal: starts at $199; Printers, and Accessories available for purchase[9] |
PayPal is one of the biggest names in payment processing. It offers a card reader and smart terminal with competitive pricing. Plus, the in-person transaction rates are affordable compared to others on this list.
Even if you don't purchase a card reader, you can use the free PayPal Zettle app to accept credit cards, debit cards, and contactless payments like Apple Pay and Samsung Pay.
Additionally, you can accept PayPal and Venmo in person, which could come in handy for customers who aren't carrying cards.
The PayPal Zettle Card reader's battery can last up to 8 hours (which is up to 100 transactions). If you'll be using it for longer shifts, you might want to get the dock to keep it charged or have backup equipment ready.
- PayPal Review
- Pros and Cons
Helcim: Free Credit Card Processing
Best Supported Industry | Best for growing service businesses |
---|---|
In-person Transaction Fees | Interchange rate + 0.40% + $0.08 (for processing up to $50,000/mo; discounts for larger volume)[10] |
Equipment | $99 for Helcim Card Reader; $329 for Helcim Smart Terminal |
Helcim is one of the best credit card processors around. You can opt for its card reader or terminal to take in-person payments.
The POS software is free. You'll be able to access the virtual terminal, invoicing features, set up recurring payments, and more from the get-go.
What's more, Helcim helps you surcharge your customers, so you can offset the cost of credit card processing.
Surcharge costs 3% for in-person credit card payments, and about 3% if the payments are made online. This can lead to big savings on your bottom line.
- Helcim Review
- Pros and Cons
There's no credit card reader that won't charge fees. Credit card processors who provide these readers profit from the transaction fees charged to you, the merchant. Additionally, there are fees charged by the card networks.
That said, you can pass on the credit card fees to your customers through surcharging. But you cannot surcharge other payments like debit cards.
Start Accepting Payments Fast
- Interchange Plus Pricing
- No Monthly Fees
- No Contracts
National Processing: for Retail Businesses
Best Supported Industry | Small and growing retail businesses |
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In-person Transaction Fee | 2.5% + $0.10 per transaction (Basic In-person Package), 2.41% + $0.10 per transaction (Advanced Package)[11] |
Equipment | Free terminal; potentially free card reader |
National Processing may offer affordable transaction fees with flat-rate pricing. You can even get lower rates with a higher-tiered plan. That said, monthly fees start at $9.95/mo.
You may get a free terminal (or other promos) depending on your processing volume, credit, and qualifications. You can also choose your POS with an Advanced plan.
Although a free terminal isn't exactly the same as a free card reader, you can still accept credit card payments with it. But National Processing still offers the SwipeSimple B250 card reader regardless of your plan.
National processing offers locked-in rates, so don't worry about increasing transaction fees. The downside, however, is that you also won't get rate discounts with higher sales unlike with other processors.
- National Processing Review
- Pros and Cons
What is a Card Reader?
A card reader is a small point-of-sale device that enables you to accept debit or credit card payments easily. It's used together with your mobile phone or tablet since it needs a point-of-sale app to accept these payments.
The card reader reads the information on your customer's card which is processed through your chosen credit card processing company. This article explains in detail how it works.
How to Choose the Best Card Reader
When it comes to looking for the best card readers for your business, there are a ton of options—both paid and free. Before you settle on one, here are a few things you need to consider:
- Accepted payment methods
Does the card reader take EMV chip payments? Magstripe payments? What about contactless payments? Card readers let you take all or just a few of those types of payments. - Device compatibility
Card readers are typically suitable for both Android and iOS, but some readers are limited to one of the two. Make sure the device you plan on using is compatible.Also, consider how you want your device to be connected. Some are connected via Bluetooth, while others are directly plugged into your smartphone or tablet.
- Battery life
Card readers that are connected wirelessly will rely on batteries. Consider how many hours worth of payment processing you need based on how busy your store is during operating hours. - POS app features
Card readers work hand-in-hand with mobile POS apps. Features typically include digital receipts, inventory tracking, and customer management.When choosing a POS, consider what you need for your daily business operations.
- Processing rates
Since card readers typically come from payment processors, you need to consider processing rates.Take note of their online and in-person transaction fees, monthly charges, PCI compliance fees, chargeback fees, and other miscellaneous fees. Ideally, you'll want a service provider that doesn't take too much away from your profits.
Some mobile POS apps can read credit cards. You can scan the credit card info through your phone camera. But you can also use the app as a virtual terminal where you manually input the customer's details.
Card Reader Breakeven Calculator
If you could get better processing rates from a certain merchant, sometimes, paying for a card reader may be worth it. Use this breakeven calculator to determine how many transactions you'll need to pay off the device.
Here's a summary of the processing rates and card reader cost of the processors on this list:
Payment Processor | Card-Present Transaction Rates | Card Reader Cost |
---|---|---|
Square | 2.6% + $0.10 | Card reader: $0 to $59; Stand, Terminal, and Register available for purchase |
Shopify | 2.4% to 2.9% (+ $0.30)[2] | Card reader: $49; Terminal and POS available for purchase |
Clover | 2.3% to 2.6% (+$0.10) | Card reader: $199; Terminal and POS available for purchase[12] |
Vagaro | 2.75% per transaction (if less than $4,000/mo of sales); 2.2% + $0.19 per transaction (if more than $4,000/mo of sales)[13] | Card reader: $0 to $100; Terminal and POS available for purchase[14] |
PayPal | 2.29% + $0.09 | Paypal Zettle card reader: $29 to $79; Zettle Terminal: starts at $199; Printers, and Accessories available for purchase |
Helcim | Interchange rate + 0.40% + $0.08 (for processing up to $50,000/mo; discounts for larger volume) | $99 for Helcim Card Reader; $329 for Helcim Smart Terminal |
National Processing | 2.5% + $0.10 per transaction (Basic In-person Package), 2.41% + $0.10 per transaction (Advanced Package) | Terminals range from $230 to $585[15] |
How to Use the Calculator:
- Enter the price of your intended card reader.
- Input the average price of your products/services.
- Add the in-person processing rate and flat fee from your payment processor.
- Click "Calculate" to see the number of transactions needed to break even.
If all things considered, the free card readers offer what you need, should you go and grab one?
Pros and Cons of a Free Card Reader
Free card readers have their own set of pros and cons. Be sure to weigh them out before you go out and get one.
Pros:
- Free equipment
The obvious advantage is that you won't need to worry about leasing or buying POS hardware. The mobile POS apps that come with them are usually free as well and are enough to help you start accepting credit card payments. - Plugged and wireless options are available
Depending on the payment processor, the card reader may be plugged into your mobile device. This means you won't need to worry about battery life at all.Wireless options, on the other hand, may come with charging docks. This allows you to put them neatly on your countertops.
- Makes POS systems accessible
You don't need to worry about capital for POS equipment. You can start accepting credit and debit card payments as soon as you get your card reader. The setup is easy too.
Cons:
- Tied to a POS software
The company will likely tie the free card reader to the POS software they offer or work with. For example, a free Square reader will only work with Square's POS app. - Higher transaction fees
If you're choosing a credit card processing company due to the free reader, then you may not be getting the lowest transaction fees you could get. - Tied to long-term contracts
There are payment processing companies that may tie their free card readers to a long-term contract, especially if you're applying for a traditional merchant account.You may also be required to return the free equipment if you end your term. Be sure to read the fine print to know what you're getting yourself into.
Everything comes with a cost. If it's not capital, then it's something else. It could be in the form of transaction fees, long-term contracts, or a sub-par credit card processing service. It's always better to prioritize looking at the best payment processors over those that offer free equipment.
Free vs. Paid Card Reader
Free and paid mobile card readers will often offer similar features. They'll let you accept credit cards, debit cards, and contactless payments. Both will also include POS apps that'll help you grow your business and expand your reach.
The best way to look at it would be to see the free card readers as an added bonus. The main thing you should be looking at is the POS provider and what it can do for your business.
Prioritizing the POS system puts your business first. Don't get caught up with the free stuff that comes along with it.
Can I use my smartphone as a card reader?
You can turn your phone into a card reader through Tap to Pay technology. Just enable "Tap to Pay on iPhone" or "Tap to Pay on Android" on your POS app.
This will allow you to take contactless payments such as Apple Pay, Google Pay, and Samsung Pay.
Additionally, mobile POS apps can also transform your device into a credit card machine. But you'll need to partner it with a card reader to accept swipe, dip, and contactless payments.
Otherwise, you'll have to manually enter the customer's card details which can be more expensive to process.
There is no one-size fits all for a card reader app, whether it's for an Android or iOS device. The best card reader, which will also be from the most suitable payment processor, depends on your business needs.
But Square can be your best bet if you're a small business just starting out.
Methodology
To come up with our list, we looked at several card readers that could help you accept card and contactless payments. We also looked at those that wouldn't cost you anything to get their product.
Additionally, we looked at other POS features that might help your business grow even more. We thought about which ones would help small, medium, and large businesses.
For the paid alternatives, we considered the best affordable options. We thought about their ease of use and pricing transparency, seeing which ones would help a growing business on a budget.
What the Experts Say
CreditDonkey asked a panel of industry experts to answer readers' most pressing questions. Here's what they said:
How does having good POS equipment affect customer experience and satisfaction?

Jack Yoest
Associate Professor of Practice and Management at The Catholic University of America, Busch School of Business
The pain will soon be relieved. The customer has made a decision on a product or service and is ready to leave the bricks or clicks and implement ...
Bottom Line
Some payment processors and POS system providers offer free credit card readers when you apply for an account. But you shouldn't choose their service just for the free reader.
Be very picky. It's always best to consider the features and if your business can work with them in the long run. Free card readers can serve as a bonus instead of a cause for your application.
If the free card readers don't do enough for you, you can always check out other affordable options. You might also consider the cheapest credit card processors when hoping to save some money.
References
- ^ Square. Pricing, Retrieved 11/12/2024
- ^ Shopify. Credit Card Processing Fees, Retrieved 01/06/2025
- ^ Shopify. Terms and Conditions, Retrieved 11/01/2024
- ^ Shopify. Pricing, Retrieved 11/01/2024
- ^ Clover. Pricing, Retrieved 11/12/2024
- ^ Clover. Clover Go, Retrieved 11/13/2024
- ^ Vagaro. Credit Card Processing, Retrieved 11/01/2024
- ^ Paypal. Merchant Fee, Retrieved 11/13/2024
- ^ Paypal. Card Reader, Retrieved 11/13/2024
- ^ Helcim. Pricing, Retrieved 11/13/2024
- ^ National Processing. Pricing, Retrieved 11/13/2024
- ^ Clover. Shop, Retrieved 01/06/2025
- ^ Vagaro. Credit Card Processing, Retrieved 01/06/2025
- ^ Vagaro. EMV Credit Card Reader, Retrieved 01/06/2025
- ^ National Processing. Smart Payment Terminals, Retrieved 01/06/2025
Write to Karen Eloriaga at feedback@creditdonkey.com. Follow us on Twitter and Facebook for our latest posts.
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