Square Virtual Terminal is a free, browser-based tool that turns your laptop or computer into a card terminal, so you can take credit and debit card payments over the phone, by mail, by email or by text with no card reader. There's no monthly fee, and each typed-in card payment costs 3.5% + 15 cents on Square's US page as of October 2026.
Here's the catch. The 2.6% + 15 cents rate you see in Square's headlines is for tap, dip or swipe, and the whole point of a virtual terminal is typing in a card number someone reads out to you. Those keyed-in payments cost 3.5% + 15 cents. Square explains why on its own page: a manually entered card is potentially higher risk than a swiped one, because the cardholder isn't in front of you where you could check an ID and a signature, so the card networks charge Square higher fees. These are Square's US prices and terms; UK, Australian and Canadian readers will see other numbers on their local Square site.
What Square Virtual Terminal does
Square describes Virtual Terminal as a free web-based payment processor. It runs in your browser, which means it works as a Mac or Windows point of sale without installing anything, and you don't need an extra device or any special equipment. A computer and a browser are the whole kit.
It's built for remote billing: a customer rings with an order, posts a form, emails you or replies to a text, and you charge their card from your desk. It isn't limited to remote sales, though. Square points out that you can key in a card while the customer is standing at your counter, still from your computer, which is handy if you only see the odd customer in person and don't want to buy hardware for it.
One naming trap: Virtual Terminal is software, not a device. If you want a physical card machine with a printer, that's the Square Terminal, which is a different product altogether.
Rates by payment method
Square lists four lines of pricing on the Virtual Terminal page, as of October 2026:
| Payment type | Square's rate as of October 2026 |
|---|---|
| Tap, dip or swipe | 2.6% + 15 cents |
| Typed-in, card on file or payment link | 3.5% + 15 cents |
| Afterpay | 6% + 30 cents per transaction |
| Monthly fee | $0, no commitments |
Most of what you'll take through Virtual Terminal falls in the second row. Cards on file and payment links sit at the same 3.5% + 15 cents as a typed-in card, so switching from keying cards to sending links doesn't change Square's rate.
Square also runs its own comparison table on the page. It lists Virtual Terminal at a $0 monthly fee against $30 for other payment processors and $30+ for banks, and it marks sales reports and customer engagement tools as free with Square, where it says other providers fold them into a monthly fee. Treat that as Square's own claim about its rivals. Square also says some businesses that process more than $250K in card sales can ask for custom pricing. The rest of Square's rates are in this Square fees breakdown.
Quick charge or itemized sale
Virtual Terminal gives you two ways to ring something up. A quick charge is just a custom amount: you type the figure and charge it. An itemized sale pulls products or services from your item catalog, so you need to set up an item library first.
Square's case for the itemized route is better sales insight and more detailed receipts. If you sell the same few things over and over, the setup pays you back in cleaner reports. If every job is a one-off quote, the quick charge is fine.
Which payments you can take
- Credit and debit cards, typed in from your computer.
- Square Gift Cards.
- Cash and checks, which you can record so every sale lands in the same reports.
- Afterpay and digital wallets such as Cash App, Google Pay and Apple Pay, through a payment link you send by text.
Payment links work in real time while you're on the phone, which is how Square handles Afterpay through Virtual Terminal. There's a timing quirk to know about: the link expires if you close the window, or if the customer doesn't pay as soon as they open it. So send it while they're still on the line and wait for the payment to go through.
What comes with it at no extra charge
Square bundles a fair amount into the free account:
- Cards on file, so repeat customers don't have to read their number out every time.
- Receipts by email, text or print, plus customer feedback.
- Free real-time reporting, and daily emails summarising the day's transactions, which one reviewer quoted on Square's page singles out.
- A customer directory and an item library.
- Fraud tracking, and a team that handles payment disputes.
It also works alongside Square Invoices and Square Point of Sale, so your Customer Directory, item catalog and reporting stay in one place whichever way a customer pays.
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How to take your first payment
Square's own walkthrough has six steps:
- Sign up for a free Square account.
- Open your Square Dashboard and pick Virtual Terminal in the left-side panel.
- Click Take a Payment.
- Enter an amount, or add items from your catalog.
- Type in the card details: card number, expiry date and CVV.
- Add a note and click Charge, then send the receipt by email or text, or print it.
That's the whole flow. There's nothing to plug in and nothing to pair, which is why it suits a business that mostly sells over the phone or by email.
My verdict
Square Virtual Terminal is the right tool if you take card payments by phone or email and you'd rather not pay a monthly fee for the privilege. It's quick to set up, it runs on the computer you already own, and the free extras (cards on file, reports, dispute handling) are useful. Just don't read the 2.6% headline and assume that's what you'll pay. Nearly every payment you take on it gets keyed in, so 3.5% + 15 cents is the number to plan around. If a lot of your customers are in front of you, a card reader at the in-person rate will cost you less per sale, so do the sums before you move everything onto Virtual Terminal.
Want the full picture? Start with Square Appointments Explained.
Frequently asked questions
Is Square Virtual Terminal free?
There's no monthly fee and no commitment, and you sign up with a free Square account. You pay a fee on each payment you take, as of October 2026.
How much does Square Virtual Terminal charge?
Square lists 3.5% + 15 cents for typed-in, card on file and payment link transactions, 2.6% + 15 cents for tap, dip or swipe, and 6% + 30 cents for Afterpay, as of October 2026.
Do I need a card reader for Square Virtual Terminal?
No. Square says you need no extra device or special equipment, only a computer and a browser.
Does Square Virtual Terminal work on Mac and Windows?
Yes. It's browser based, so Square says it works as a Mac or Windows point of sale.
Can customers pay with Afterpay or Apple Pay?
Yes, through a payment link sent by text. Customers can then pay with Afterpay or wallets such as Cash App, Google Pay and Apple Pay.
Why are keyed-in payments more expensive?
Square says manually entered cards are potentially higher risk because the cardholder isn't in front of the seller to show an ID and signature, so card networks charge Square higher fees.
