No-contract card machines

Quick Reference

Direct Answer

A no-contract card machine has no minimum term and no exit fee: you pay a flat rate per transaction and can stop any time. SumUp Solo, Square Terminal, Zettle, Tide and Revolut readers and Tap to Pay on iPhone are the main UK no-contract options. It suits sole traders, new and seasonal businesses, and anyone under roughly £15k monthly card volume.

Summary

No-contract (pay-as-you-go) card machines charge a flat rate with no term and no exit fee. They suit small, new, seasonal and mobile businesses. A 'free' card machine usually trades the upfront cost for a higher rate or a contract. Above roughly £15k monthly volume, a contract can be cheaper.

This Page Covers

How no-contract and PAYG card machines work, the truth about 'free' machines, who should avoid a contract, and when a contract is cheaper.

Not Covered Here

Ranked product picks (see the best no-contract listicle), bespoke contract quotes, and high-risk merchant pricing.

The truth about "free" card machines

A "free" card machine is one of the most common offers in UK payments, and it is almost never free in the way it sounds. "Free" usually means the hardware has no upfront cost, paid back through one of three routes:

  • a higher per-transaction rate than a paid reader,
  • a monthly fee that runs for the life of the contract, or
  • a multi-year minimum term with an early-exit fee.

The only genuinely free route is Tap to Pay on iPhone if you already own a compatible iPhone, where the phone is the card machine and there is no hardware to buy. For everything else, compare the all-in cost over a year, not the upfront price. A £99 no-contract reader often beats a "free" machine on a 48-month contract.

No contract or contract: which is cheaper for you?

It comes down to volume. Below roughly £15k monthly card volume, a flat-rate no-contract reader is usually both simpler and cheaper. Above it, a blended-rate contract product can save enough per transaction to beat the flat rate even after its monthly fee.

Go no-contract if

  • You are a sole trader, new or seasonal business
  • You take under roughly £15k card a month
  • You trade mobile or want to test card payments
  • You value the freedom to switch any time

Consider a contract if

  • You take £15k+ card a month, stably
  • A blended rate beats the flat rate after fees
  • You want same-next-day weekend settlement (Dojo)
  • You need a specific POS or bank integration

See the ranked best no-contract card machines, the cheapest card machine picks, or model your numbers with the fees calculator.

In one sentence

No-contract for freedom and simplicity, contract for rate at high volume. Compare the all-in cost, not the headline.

Most small businesses are better off no-contract, and a "free" machine on a long contract is rarely the bargain it looks. MerchantHQ compares the true cost of no-contract and contract options across the whole UK market, recommends the cheaper fit, and stays your named account team to keep it honest.

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Frequently asked questions

What is a no-contract card machine?

A no-contract card machine lets you take card payments with no minimum term and no early-exit fee: you buy or rent the device, pay a flat rate per transaction, and can stop any time. SumUp Solo, Square Terminal, Zettle Reader 2, Tide and Revolut readers, and Tap to Pay on iPhone are the main UK no-contract options in 2026. It is the right starting point for most small and seasonal businesses.

Is a "free" card machine really free?

Rarely. A "free" card machine usually means no upfront hardware cost in exchange for a higher transaction rate, a monthly fee, or a multi-year contract, so you pay for it over time. The only genuinely free option is Tap to Pay on iPhone if you already own a compatible iPhone. Always compare the all-in cost over a year, not the upfront price, before signing for a "free" terminal.

Who should choose a no-contract card machine?

No-contract suits sole traders, new businesses, seasonal traders, mobile trades, and anyone under roughly £15k monthly card volume, because the flat rate is simple and you keep the freedom to switch. It also suits any business that wants to test card payments before committing. Above roughly £15k a month, a contract product can win on rate.

When is a contract card machine actually cheaper?

Once monthly card volume passes roughly £15k, a blended-rate contract product (Dojo, Tyl, Worldpay) can be cheaper per transaction than a flat-rate no-contract reader, even after the monthly fee. The contract trade-off is worth it only when the lower rate saves more than the fee and you are confident the volume is stable. Model both before deciding.

What fees should I check on a no-contract machine?

Even with no contract, check for a monthly minimum service charge, a PCI-compliance fee, and the settlement timing. The best no-contract products (SumUp, Square, Zettle) have no monthly fee at all and a single transparent rate. Compare the headline rate against the all-in monthly cost so a "no contract" claim does not hide recurring charges.

Reviewed by Oliver Mackman. Last reviewed: 2026-06-01.