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Amazon Takes on Square with New Credit Card Reader

Posted on 8.14.2014

Many small and local businesses simply cannot afford the large transaction fees that can be associated with traditional credit card purchases.

Fortunately for them, alternative payment methods have taken ahold of the market with perhaps the most popular being the credit card reader from Square.

However, in a move to overthrow Square as the credit card reader of choice for small businesses, Amazon has released their own credit card reader, called Amazon Local Register.

The new card reader comes with a promotional rate of just 1.75 percent transaction until Jan. 1, 2016 for those who sign up before Oct. 31 of this year. Businesses that sign up after the deadline will pay a flat fee of 2.5 percent per transaction, lower than Square’s 2.75 percent fee per transaction.

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To start using Amazon Local Register, businesses need to create an account on their website, purchase the $10 card reader and download the app. Businesses can download the app on devices running iOS 7, select Android smartphones and Kindle Fire tablets. Oddly enough, the app is not yet available on Amazon’s new Fire phone.

“From clothing stores to contractors, food trucks to accountants, businesses and organizations using Amazon Local Register will enjoy industry-leading low rates, trusted and secure payment processing, and access to award-winning customer support,” said Matt Swann, Vice President of Amazon Local Commerce.

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