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Many of these newer models can not only act as a Credit Card Reader, they are also used for deciphering information on debit cards, and also handle gift checks, gift cards, and so on. The majority of card terminals transmit data over a standard telephone line, or a wired or a wireless internet connection. The Credit Card Reader of present day also has the ability to cache transactional data that is transmitted to the gateway processor when the connection is made available, and a major drawback in this is that immediate authorization is not possible, at the time the card is processed, resulting sometimes in failed payments. The use of remote wireless terminals help in transmission of card data that makes use of either cellular or satellite networks. A merchant is given the right of replacing the functionality of a dedicated Credit Card Reader hardware using a terminal application that runs on a PC or on a mobile device, such as a smartphone. These usually make use of dedicated hardware readers, that are capable of transferring magnetic stripe data to the application, while there are variants that also work with smartcards, using an application called FMV, even though it is rarely done on Smartphone readers.
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