|September 27th, 2019
Throughout the world, payment system is one of those things that never remains constant. After cash and checks shift towards debit cards, credit cards and wallets, a couple of more changes have made their way. Without leaving time for some guess work, eCheck solutions have joined the payment world and earned stupendous success. Want to know more about them and deploy them for your business profits? Continue reading…
Electronic check processing refers towards the process of converting paper checks into electronic transfers. When a business uses this payment processing, money is deducted from its customer’s account and is electronically deposited into the bank account of the business.
ACH or Automated Clearing House system is used to conduct these transfers. What’s the best part about these checks? They are quick, secure, reliable and easy on pocket. All in all, eCheck enables taking a paper check for submitting it for electronic payment. In simple words, hassle of visiting the bank is ruled out.
Web-oriented payment processing service or a software program makes processing of checks effortless and fast. Without the need to purchase a software or hardware, all that’s needed is providing details of the check and transaction.
Implementation of eCheck processing is directly linked with picking a processor. To confirm the rules of electronic check processing, change in business processes is essential. What needs to be done? Check out the points outlined below:
Let customers know that their paper check will be processed electronically. As far as notifying them is concerned, write on the invoices or place a sign at your business location.
Paper checks are converted to ACH-dependent electronic payment. Routing number and account number of customers are captured. This is followed by copying the check, stamping the original one as void and discarding it.
It is important for the payment processing company to show the ACH file regarding the check to the bank of the business. Upon this only, payment processing takes place via ACH network. As money from customer’s account is deducted, it is credited into the business’s bank account. Lastly, payment along with amount, check number and billing company is documented on the bank statement of the customer.
Coming to the end, eChecks are an easy and promising way to get the best out of your business in terms of revenue, technology and more customers. If you haven’t given this trending payment processing a trial, it’s time to get started only to progress without looking back.