Do You Offer Credit Card Payments in Your Restaurant?

Do You Offer Credit Card Payments in Your Restaurant?

Restaurant and credit cards

NY Restaurant

If your restaurant is like 99% of them out there that offer payment via credit card, you must be careful. Cyber theft and credit card theft are pretty prevalent in our society today (sadly). Do You Offer Credit Card Payments in Your Restaurant? Read on….

Every restaurant is a target, just like (no pun intended) Target department store was a few years ago. You say “yeah it happen to them but won’t happen to me” but could you afford even $20,000 to straighten out a credit card theft?

I’ll tell you my story, as this is very real and an inside job. I was at an insurance conference in Chicago and as usual, 8-10 of us go out to dinner to keep the conversations going. When the individual bill was presented, my corporate issued credit card was denied, much to my displeasure.

It turns out the dinner the night before, paid with that same card, got swiped by the server and they posted 10 – $100 charges to that card. And then 10 more $100 charges were posted to the card. I guess the thief thought $100 charges would go through easier than 1- $1,000 charge. Luckily, as I reported it and had my account froze, the credit card company reversed all charges.

Do You Offer Credit Card Payments in Your Restaurant?

But what if I didn’t get satisfied by the credit card company? I’d be going after the restaurant, maybe posting all over social media about this incident. How many other’s has this happened too also? So an inside job or an outside job could cost your restaurant money, time spent to reverse the damage and your reputation. If your restaurant had a cyber liability insurance policy ($200 a year for $100,000 of coverage), you could now boast about your smart business acumen! And it would give you $25,000 of privacy loss mitigation coverage.

And turn to social media to tell your own story about it. People (customers) would look differently about your business since you are proactive, instead of being reactive like “How could this happen to me”? Stories go a long way in telling about your business and a “feel good” story is much better than a “woah is me” story.

Do You Offer Credit Card Payments in Your Restaurant?

So be that smart restaurant owner and get cyber liability coverage, which is never, ever included in a BOP or Restaurant insurance policy unless offered as an additional add on (like Hartford does).

An educated consumer is our best customer.


Tom Larsen, former restaurant owner, restaurant insurance advisor

About The Author


Insurance expert in the restaurant industry. Former restaurant owner has inside knowledge of what it takes to own and run a restaurant.