There has been a lot of chatter about online and mobile payments this year (and most recently with the huge success of Cyber Monday), and there are plenty of reasoning for it. More than ever your customers are flocking to their computers and mobile devices to pay their bills, buy your products and pay for your services. All from the comfort of their own homes. The often times forgotten, but extremely beneficial form of electronic payment is the electronic check. Here’s why it needs to be added to your electronic payment tool set.
The cost of an electronic check is much cheaper than that of a paper check. In fact, the average paper check cost is roughly $1.22, whereas an electronic check can cost $0.55. That’s more than 50% savings on each check that you deposit!
Convenience and Time Saving
This advantage of electronic checks may not be cost related (although time certainly is valuable), but may in fact be one of the most attractive benefits. No longer do you have to rely on paper checks given by your customers, only to lose them on the way to the bank or discover that the customer forgot to sign the back.
Security and Reliability
Electronic checks have the benefit of automation and the reliance of the ACH Network (regulated through the Federal Reserve’s Regulation E and the NACHA Operating Rules). The electronic check is far more secure than a paper check, with an encryption feature that verifies the account number, dollar amount, and even uses a digital signature to check against the name of the account.