LINKS

"
THE LOWEST RATES...
MOST BUSINESS TYPES...
WE SAY YES WHEN
OTHERS SAY NO...
7 DAY APPROVAL...
NO HIDDEN FEES...

"

 
 
1.800.393.3230
 
 


   

BENEFITS OF PROCESSING HIGH RISK ELECTRONIC CHECKS VIA THE ACH NETWORK

Most people would have paid several of their bills with the check. Then, the company has to sort out the cheques, manually, deposit it in the bank and wait for a couple of days before it is processed. However, in this digital age, processing of paper cheques in this way is very unlikely and very inconvenient. E – Check or electronic check processing is the method used now. E – Check processing enables businesses to accept payments in the form of paper checks and then collect money from the bank account electronically, through the ACH or Automated Clearing House network. This is the same network which is used for direct payments and direct deposits.

According to official reports, one billion paper checks got converted in to ACH based payments in the year 2007.

What are benefits can be achieved by converting the paper checks to eChecks?

Benefits to your business:

Converting to eChecks will drastically reduce the operating costs of your business. The cost of processing a paper check costs about $1.22 whereas, processing of eChecks will take about $0.55. Apart from money, your business would have saved a lot of resources and time which would other wise has gone waste.

eChecks will also improve the liquidity situation of your business and you will receive the payments on – time. It benefits both the business owner and the consumer because the consumer can send the eCheck in an email or over the phone, making it very convenient for the consumer to send and the business owner to receive. If your company is linked with a good online payment system, then you will be able to track the bank account and get the NSF notification much earlier than the manual processing method. Also, there are several anti – fraud and anti – cheating measures by which the eCheck can be verified on the spot for details and balance of the account, thereby reducing the amount of NSF fines that has to be paid by your business.

Benefits to the Consumer:

Consumers also greatly benefit by using the eCheck as a payment option. The consumer does not have to pay postage charges each time to mail the paper check to his suppliers. He can just scan the check and send it as eCheck or give the details of the check through the phone.

The additional benefit offered by eCheck processing is safety and security. The eCheck transaction goes through lesser humans than the paper check and therefore, makes the consumer less susceptible to identity theft.

How does an eCheck work?

1)    Notification

The customer should be notified by the business that his check will be changed to the electronic form. The customer then receives a notification that has all the details of the transaction.

2)    Collection and Conversion

The consumers check will be converted in to the eCheck. The check will be scanned and then its image will become the eCheck. The company keeps the paper check for up to 2 years as the receipt for the payment.

3)    Processing

The eCheck will be processed by the ACH network processor.

Contact one of our helpful account representatives to assist you in the setup of a high risk merchant account or offshore merchant account for a high risk merchant.