Electronic check conversion is a process in which your check is used as a source of information, for the check number, your account number, and the number that identifies your financial institution. The information is then used to make a one-time electronic payment from your account, an electronic fund transfer. The check itself is not the method of payment.
In short, electronic Check Conversion is the process where paper based check is converted into an electronic transaction at the point-of-sale.
The check information is then transmitted via electronic equipment to a national verification database where it is evaluated against negative information. Within seconds a response is sent back to the merchant. A receipt very similar to a credit card transaction is generated and the customer signs it, thereby authorizing the electronic collection of funds to the merchant. The check information is then stored and the transaction deposits are routed to the merchant’s account within 48 to 72 hours.
Merchant account holders usually appreciate the overall convenience, and safety, of accepting a form of payment that is absolutely guaranteed. Electronic check conversion process not only processes the check electronically, allowing the merchant to forego trips to the bank, but also guarantees the approved transactions. With this program the merchant simply accepts the checks and the check conversion program does the rest! Merchant’s can now accept & process checks just like they accept & process credit cards.
This program offers electronic check conversion and on-line transaction viewing and customized detailed reporting. With the new reporting features merchants are able to track all of their transactions through a secured on-line system that is available 24 x 7.
The reporting capabilities of this system also allow merchants access to customizable reporting features. This gives detailed information in the format most merchants prefer. This program takes all of the guesswork out of accepting checks and manages the process for merchant account holders.
Have a quick look at some advantages to using Electronic Check Conversion:
Money is deposited into your account faster
Reduces paper check handling, like eliminating the need to deposit checks at your bank
Eliminates risk of losing or having paper checks stolen
Returned checks are reported sooner so you can collect more effectively
You can not use the same check more than once with electronic check conversion. An electronic check conversion transaction is a one-time electronic payment from your account. If you were to use the same check for more than one transaction and you had a problem with one of the transactions, your financial institution might have difficulty investigating the problem because the same check number would appear more than once on your statement.Categories:: Uncategorized