What is a MOTO (Mail Order, Telephone Order) Transaction?

Put simply, a MOTO transaction is any transaction you place through your EFTPOS machine where a card isn’t present. The most common example is a time where you might have provided your card details over the phone, like to pay a deposit for something. If you have, then you were part of a MOTO payment! The most common MOTO payments are payments made over the phone. 

What does MOTO stand for and how does it work?

MOTO stands for “Mail Order Telephone Order.” A MOTO payment is a payment made without a physical card present where the card details are entered into an EFTPOS machine. One example of this is a payment taken over the phone. 

Here’s how to take a MOTO payment on a Smartpay EFTPOS machine (don’t worry, it’s simple!)

Step 1 – Ensure you’re enabled to accept MOTO payments on your Smartpay EFTPOS machine. Give us a call on 1800 433 876 (we’re here to help 24/7, 365 days!) if you have any issues. 

Step 2 – Click the “MOTO” button on the home screen of your terminal (pictured below, bottom left). 

Then, press “Purchase.” The terminal will prompt you to enter an amount, card number, expiry date and CVV. Once you’ve entered these and pressed “Purchase,” you’re all done! 

Review the section “best practices for MOTO transactions” to make sure you’re mitigating risk when taking MOTO payments. 

What Businesses Accept MOTO Transactions?

Lots of businesses in different types of industries accept MOTO transactions. However, businesses where face-to-face or online transactions are uncommon more commonly accept MOTO payments. For example, a cleaner might clean during the day while no one is at home and therefore need to take payments over the phone. 

Benefits of Accepting MOTO Payments

MOTO payments can provide another (potentially easier) way for your customers to pay. For example, you’re a mechanic and a customer wants to pick-up their car after hours. However, they need to pay you before they pick up their car. Enter MOTO payments! Take their payment over the phone to avoid the need of an in person payment. Certain businesses and industries where face-to-face payments are impractical or require more effort often benefit from MOTO payments. MOTO payments can provide expanded ways your customers can pay, improve convenience, potentially lead to higher sales and more!

If you’re unsure whether you need MOTO payments you can either add MOTO payments on when you sign up with Smartpay (for no extra cost). Or, add MOTO payments as an option later on when you decide it’s needed. No fuss!  

Challenges and Risks Associated with MOTO Payments

MOTO payments have a higher risk of fraud. This is because you don’t need a physical card to make a payment. This means criminals only need someone’s card details and not the physical card to make a fraudulent payment. 

Given the higher risk of fraud it’s important to take precautions when accepting MOTO payments (read on)!

Best Practices for MOTO Transactions

Some important best practices when taking MOTO transactions:

• Don’t manually record or store card details. It’s best to only enter a customer’s card details into the EFTPOS machine and not write down or store their card details. If you are storing card data, you need to be compliant with the Payment Card Industry Data Security Standard (PCI DSS). This is a security checklist that you must follow if your company processes, transmits, saves or has access to card payment data. It includes things such as: installing and maintaining a firewall configuration to protect cardholder data, tracking and monitoring all access to network resources and cardholder data, etc. Smartpay and your terminal are PCI DSS compliant! 
• Look out for red flags to minimise probable risks of fraud or chargebacks. Red flags can include:
  • The order is placed by someone other than the cardholder.
  • Multiple orders from the same card, increasing in value.
  • An email using a name belonging to someone different from the cardholder’s is used as a point of contact.
  • Customer provides unusual/odd delivery instructions.
  • Orders come from the same delivery address across multiple cards, particularly when only the last 4 card digits are changed.
  • The supposed cardholder cannot be contacted.
  • It is an overseas order, especially if the country is uncommon or has the goods/services available locally.

We have a Chargeback and Fraud Prevention Guide that helps flag the risks of MOTO and ways to mitigate that risk.

How to Set up MOTO Payments with Smartpay 

Setting up MOTO payments with Smartpay is simple. 

Here’s how it works:

1. When you sign up with Smartpay we’ll check your business eligibility and ask you if you need MOTO payments. If you do, we’ll get MOTO payments set up for you during the sign-up process. 

OR

2. If you’re a current Smartpay customer and don’t have MOTO set up, contact our friendly customer support team (available 24/7, 7 days a week) on 1800 433 876 for help.

Still Not Sure? Get in Touch with a Payment Specialist

We’re here for anything you need! Click the sign up button top right, enter your details and a friendly Payment Specialist will be able to help you with any questions you might have. So, let’s chat!