Virtual Terminals UK: Take Card Payments Over the Phone (2026)

Some customers still like to pick up the phone. A regular ordering a hamper for their mum, a hotel guest booking a room, a company paying for a training course. If they want to pay there and then, you need a way to take their card without a card machine in front of them. That's what a virtual terminal does.

This guide explains how virtual terminals work, what the main UK options cost, the security rules you have to follow and when a payment link is the better choice. Fees come from providers' official UK pages, checked October 2026.

How it works

A virtual terminal is a secure web page, or a screen in your provider's app, where you type in a customer's card details yourself.

1. The customer calls, or sends an order by post.
2. You log into your virtual terminal on a computer, tablet or phone.
3. You enter the amount, card number, expiry date, security code and usually the billing address.
4. The payment is authorised, and you can send an email receipt.

These are known as MOTO payments, short for mail order and telephone order. They're "card not present" payments, because neither the card nor the customer is with you.

Providers compared

Square

Square's virtual terminal is part of its free toolkit. Keyed in payments cost 2.5%, with an extra 1.5% on non UK cards. There's no monthly fee and no contract. It's a sensible starting point if you take a few phone payments a week. Our Square payment gateway review covers its online tools.

Dojo

Dojo includes a virtual terminal with its card machine accounts at no monthly fee. Each remote payment costs your in person rate plus 0.5%, plus 5p. For businesses on Dojo's 1.2% blended rate (under £100,000 a year), that's 1.7% + 5p. You may need to ask Dojo to enable card not present payments.

Stripe

Stripe lets you manually enter card details in its Dashboard, but describes this as a backup rather than a main way to take payments. MOTO payments can also be taken on certain Stripe readers once Stripe enables it. Card not present pricing applies. Check Stripe's UK pricing page for current rates.

Fees on real amounts

Assumes UK cards. Dojo's figure applies to its blended rate for businesses taking under £100,000 a year.

Security and compliance

Taking card details by phone puts more responsibility on you than any other method.

PCI DSS. The card industry's security standard applies to anyone who handles card data. In practice:

• Type card details straight into the virtual terminal. Never write them down.
• Never store card numbers or security codes in emails, spreadsheets or notebooks.
• Don't ask for card details by email, text or social media.
• Take calls somewhere private, where others can't overhear.
• Limit who has virtual terminal access, and give each person their own login.

Fraud and chargebacks. Without chip and PIN or Strong Customer Authentication in the customer's banking app, you carry more of the risk if a payment turns out to be fraudulent. Watch for:

• New customers placing large orders and asking for fast delivery
• Delivery addresses different from the billing address
• Several cards tried one after another
• Pressure to rush

Keep notes of each call, and get proof of delivery for goods. Our guide to chargebacks explains how disputes work.

A simple phone payment script

Giving staff a short script makes calls quicker and safer. Something like:

1. "Can I take the name on the card, please?"
2. "And the billing address and postcode?" Check this against the order.
3. "Can you read me the long card number?" Type it straight into the terminal as they speak.
4. "The expiry date, please?"
5. "And the three digit security code on the back?" Never repeat it out loud.
6. Read back the amount and what it's for, then submit.
7. "That's gone through. Would you like the receipt by email?"

Then close the screen. Nothing should be left written down.

What to do if a phone payment goes wrong

Declined. Ask the customer to check with their bank, or offer a payment link instead. Don't try the same card over and over.

Wrong amount. Refund the payment from the transaction list and take it again. Refunds on most virtual terminals don't need the card details re entered.

Suspected fraud. If something feels off after the payment, hold the goods and contact your provider before dispatching. It's better to cancel an order than lose the goods and the money in a chargeback.

Customer disputes it later. Gather your call notes, order details and proof of delivery, and respond to your provider within the deadline.

Pros and cons

Pros

• Take payment while the customer is on the phone
• No hardware needed
• Great for older customers who prefer phoning
• Works for mail orders and corporate bookings

Cons

• Higher fees than in person payments
• More fraud and chargeback risk
• PCI responsibilities fall on you and your staff
• Typing errors cause declines

Virtual terminal or payment link?

For most businesses, a payment link is safer and often cheaper. You text or email the link while the customer is on the phone, and they enter their own details on a secure page, usually with an approval step in their banking app. You never hear the card number.

A virtual terminal still makes sense when the customer can't use a link, for example if they don't have a smartphone, or they're paying with a company card held by someone else in their office. Our pay by link guide compares link providers.

Who it suits

• Hotels and B&Bs taking phone bookings
• Florists and gift shops taking phone orders
• Trades and services with older customers
• B2B suppliers taking card payments from accounts teams
• Charities taking phone donations

Next steps

1. Check whether your current card provider includes a virtual terminal.
2. Ask what it costs per payment and whether there's a monthly fee.
3. Write a short phone payment script for staff, covering security.
4. Offer payment links as the default, and keep the virtual terminal as a backup.

For other remote options, see our guides to online payment systems and payment gateways.

FAQs

What is a virtual terminal?

A secure online screen where you type a customer's card details to take a payment, usually over the phone or for a mail order.

Do I need a merchant account for a virtual terminal?

You need an account that allows card not present payments. Pay as you go providers such as Square include this. Traditional providers often need separate approval.

Is it legal to take card payments over the phone?

Yes. You must handle card details securely, follow PCI DSS rules and never store full card numbers or security codes.

Can I write card details down and process them later?

No. That breaks PCI DSS rules and creates a big fraud risk. Enter details straight into the virtual terminal while on the call.

Why are virtual terminal fees higher?

Because the card isn't present and the customer often isn't authenticated by their bank, so fraud risk is higher.

Can I take Amex through a virtual terminal?

Usually yes. Square and Dojo both accept Amex through their virtual terminals, though Amex can cost more with some providers.

Can I use a virtual terminal on my phone?

Often, yes. Square and Dojo both let you take virtual terminal payments from their apps as well as on a computer.