An electronic funds transfer system has always been the fastest and most secure way to process a company's financial dealings. From automatic payroll check generation to retail store customer payment processing, speed and security are paramount considerations. The EFT processing system puts these transfers second only to ACH deposits, in terms of speed.

Paper Checks and Electronic Funds Transfer

Millions of Americans still use paper checks as their primary mode of payment. Processing these checks has become less attractive than processing credit or debit cards to many businesses. The new breed of E checks, however, has made the possibility of bad checks and returned checks less likely.

In order to capitalize on the new EFT capability of check processing, a business needs to investigate the new options in electronic funds transfer. The threat of receiving an NSF check has prompted development of electronic check verification systems. These systems can help the businessman to authorize a payment before the customer has even left the store.

A merchant can now convert a regular paper check into an electronic funds transfer. What this means is that any check that risks not clearing the customer's account can be resubmitted another time. All of this happens automatically, and helps retailers and other businessmen to avoid the problems and paperwork hassles that accompany the traditional paper check payment process.