Electronic checks or electronic checks include the following applications:

o WEB (Internet based)

o ARC (mailed paycheck conversion)

o POP (check conversion-POS)

o RCK (NSF check recovery)

or TEL (telephone)

o PPD (single recurring debit prior to consumer authorization)

These applications are called eChecks because the merchant or invoice issuer uses a check as the source document for the consumer’s account information (RCK, POP, ARC) or the consumer is asked to use their check as a reference to provide the information. of your account (WEB, TEL). Merchants and billers use eChecks as optional payment methods that are faster, more convenient, and more secure than traditional check processing, benefiting both the business and the consumer.

Echeck Business Accounts

Echecks merchant accounts can be established for standard ecommerce merchants and high risk merchants.

The echeck payment processing gateway is integrated with the e-commerce site. Often times, the credit card processing gateway will include an electronic check module. If both electronic check and credit card transactions are processed through the same e-commerce gateway, the merchant benefits from centralized reporting and easy reconciliation of merchant account transactions.

When a buyer pays, electronic checks are one of the payment options. The other popular payment option, of course, is credit card payment. When echeck is the method of choice, the buyer consumer enters the same type of information as with credit card processing. The difference is that the consumer enters the routing and account number of the checking account instead of the credit card number and the expiration date.

Consumer authorization is required with specific language that authorizes the merchant to process an ACH electronic payment debit transaction on behalf of the consumer. The authorization language is followed by instructions to the consumer to “Accept” or “Cancel” the authorization.

After the consumer clicks “Accept,” the submitted information is analyzed and sent to various authentication databases for an approval response, including verification of the bank’s routing number and checking account number for verify its accuracy.

The merchant sets refund policies for electronic checks, which are generally the same as for credit card processing. Merchants can reimburse the customer directly through the ACH network with the customer’s permission.