Ninety-one Eftpos terminals were upgraded by retailers to meet the new specifications yesterday - saving them from being shut down by network provider Paymark.

Chief executive Simon Tong said 429 of about 4000 non-compliant terminals were disconnected yesterday. Originally, 520 were earmarked for disconnection but 91 machines were upgraded just in time.

On Monday, Tong said that Paymark did not want to disconnect retailers from electronic transactions but had to ensure that they were complying with the requirements of having machines that can read chip cards.

The new terminals had been introduced over 18 months and about 98 per cent of machines had been upgraded.

Tong said half of the non-compliant terminals were in Auckland, and in sectors that include fashion, farming suppliers, doctors, pet and furniture shops and bookshops.

Yesterday, Paymark received 20 calls from retailers that had been taken offline.

Tong said some of the terminals were backup machines.

"However, given we have plenty more to get through we are not assuming that the remainder of the process will be as smooth as today appears to have been and will be preparing for a big week next week as we continue with the process. We hope those that have not upgraded yet hear the message and make arrangements as soon as possible."

Tong said the company had called each retailer several times and sent letters and warnings over an extended period.

The new terminals will be able to read chip enabled cards which will be crucial during the Rugby World Cup when a lot of transactions will be processed on foreign cards.