Credit Card Tipping is the term given to the process whereby a cardholder can provide their credit card to a merchant to pay for a meal or drinks. The merchant would then take the card and process the card through their Eftpos device for the amount of the bill. The receipt will then be returned to the cardholder for signature, and the option of adding a tip or gratuity to the transaction. If the cardholder adds a tip to the transaction, the merchant will then add the tip to the transaction through the Eftpos device.
This process has been around for many years, however, recent changes to the rules in New Zealand mandating PIN Entry on NZ issued credit cards has meant that this method of tipping is being phased out of the hospitality industry by the 1st October, 2015.
Credit card tipping is being replaced by Instant Tipping.