epayments
What are “epayments?
“E-Payment” is the buzz word used to describe a cash management
method whereby a company can receive payment by check for goods or
services in an electronic format and make deposits directly to its bank
account in an electronic format instead of by paper check.
Can they benefit your business?
Maybe! That depends upon how you currently receive your payments and what
your volume of non-credit card business is. Business Outsourcing
Solutions will help you to determine if epayments are for you and if so,
which methods provide you the best solution.
What types of epayments are available?
Technically, there are two approaches to epayments:
1. ACH (Automated
Clearing House)
This is a computer-based clearing and settlement facility for the
interchange of electronic debits and credits among financial
institutions. ACH electronic entries can be substituted for paper checks
and is used today as a payment processor for business-to-business trade
payments.
Today, ACH transactions are most often defined as follows:
While there is no monetary limit to the amount that may be involved in an ACH transfer or payment, transactions involving ARC, TEL, and WEB must be involve “Consumer” checks, that is to say, “checks drawn on a personal account and not those drawn on a “Commercial” or business account. Funds can now be debited or credited to savings accounts as well as checking accounts.
2. Check 21 (Check Imaging)
(The Checking for the Twenty-first Century Act became effective October
28, 2004)
This is an electronic method of processing payments by check wherein the paper check is scanned and converted into a digital image from which an “Image Replacement Document” or IRD can be printed out, if and when, needed. This eliminates the need and expense of physically sorting and transporting checks between banks and the Federal Reserve. For all practical purposes, this method of electronic payment is similar to that of the ACH with the exception that it will handle any form of check including checks drawn on commercial accounts, courtesy checks drawn on credit card account, courtesy checks drawn on stock brokerage account, and postal money orders.
While Check 21 became effective on October 28,2004, the banking industry has remained slow to embrace it. It is anticipated that this form of service will be available for third party use by the end of 2005. Business Outsourcing Solutions will only recommend systems that are available today and fully compliant to handle Check 21 processing at the push of a button when it becomes available.
Using “epayments” allows you to receive payments and process them in a fast and highly efficient fashion, at a cost that is considerably less expensive than taking credit cards.
Additional benefits depend upon a number of factors: your business size, how you currently receive payment, whether you receive all payments at your offices or at a lockbox facility, your volume of checks, the number of transactions you have, or might have, by accepting payment over the telephone, over the internet, or by setting up a method of recurring billings. In short, every business situation is different and depending upon your specific needs Business Outsourcing Solution will recommend the appropriate method(s).
We have the solution.... A system that offers all ACH transactions now and is Check 21 compliant for the future.
We have a cutting-edge modular system that offers all methods of ACH payment transactions at competitive prices. The system we have was designed with Check 21 (check imaging) in mind and will offer a fully compatible Check 21 module as soon as practicable (anticipated before the end of 2005).
Additionally, there are two other special features.
The CybrCollect free bad- check recovery and collection system is built
into the back end to automatically handle “bounced checks” if and when
they occur. Click on Bad-Check Recovery Service for more information.
In addition to processing your payments and making your deposits, the system can export the data in a comma delimited format that can interface with your accounting system and post your Accounts Receivables at the same time.
In addition to our ePayment services, we offer several other cash management services for business. Credit Card Cost Audit - analysis of your costs for accepting credit cards. Guaranteed to save you twice the cost of your audit or your money back. Collection Services - our non-alienating collections system will get you more of your money sooner without driving customers away. Bad Check Recovery - our service boasts a 94% bounced check recovery rate and the service is provided at NO COST TO YOU.
For more information about
epayments click here
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epayments