When POS devices given to merchants for use are replaced or taken back for any reason, the devices must be returned to the relevant institution (bank or company) in working order.
If the POS device is returned faulty, it must be sent to the vendor (the company that sold the POS) to determine the fault. After determining the cause of the fault, the vendor creates a report for the device. This report is shared with the institution (bank or company).
The report includes a lot of information, such as:
- The date the device was delivered to the vendor,
- The cause and description of the fault,
- Whether there was user error,
- Details of the replaced parts,
- The cost of the replaced parts,
- Whether the device is still under warranty.
If the vendor decides that the device cannot be repaired, or that repairing it would be very costly, the device is classified as a SCRAP POS.
The most common examples of devices classified as scrap POS are:
- Liquid spills,
- The device suffering a heavy impact,
- A burned-out main board,
- The entire device being burned.
If it is determined that the issues above were caused by the user, the cost of the device must be charged to the merchant.
If the merchant objects even though user error has been established, the process may need to be reviewed in detail.
It should not be forgotten that the goal is to track the POS devices belonging to the bank or institution and thereby prevent losses. In this process, it is important to minimize merchant dissatisfaction and not create any additional grievance.
