Which type of merchant uses only PTS-approved payment terminals with an IP connection?

The type of merchant that uses only PTS-approved payment terminals with an IP connection is identified as SAQ B-IP merchants. This classification is specifically focused on merchants who conduct transactions using point-of-sale devices that are PTS (PIN Transaction Security) approved and connect to the payment processor via the internet.

SAQ B-IP merchants typically handle cardholder data through a direct connection to their payment terminal, facilitating secure transactions while maintaining compliance with PCI DSS requirements. The reliance on PTS-approved devices indicates adherence to security standards aimed at protecting cardholder data during the payment process.

Other merchant classifications either may not specifically utilize IP connections for payment terminals or operate in different capacities, such as imprint-only or e-commerce transactions that may rely on other types of payment acceptance methods not restricted solely to approved IP-connected devices. Therefore, the designation of SAQ B-IP is crucial for recognizing the specific requirements and security measures that apply to these merchants.