Do You Often Question Whether Electronic Check Processing Is Safe For Your Business?

You must have thought about it since the demand for electronic check processing has risen over a few years. With the evolution of technology, the process of payments has been modified over the years. Whether it is related to secure online shopping or the sudden push toward contactless payments, eCheck processing has gained immense popularity over time. As electronic check processing gained immense popularity, many organizations have considered the security revolving around the eCheck.

What is an eCheck?

Before you begin to ponder over the doubt whether eCheck remains safe or secure for the transaction, it is essential to comprehend some of the fantastic features linked with eCheck processing-
An eCheck is like an electronic form of a paper check. It gets processed and cleared through the Automated Clearing House (ACH) network. It is also known for faster clearing times, security, and convenience, which allow individuals and businesses to send and receive payments. Apart from it, they provide an extra layer of protection to safeguard finances and ensure payments get cleared successfully.

Do you know how does eCheck processing really work?

Electronic check processing is the most straightforward method that one may think about. Whereas the traditional paper check process is quite different, this is because paper check gets scanned through the right electronic payment system. Their transaction system monitors the customer’s account and routing number and also reads the amount payable on the check.

Usually, it is seen that a physical check is not required to make the transaction when it comes to eChecks. Customers can easily plug their account information into any electronic device while making payments. This is the exact procedure for transferring the funds to the payee account. The overall process also ensures the security of money transfers and customer information.

Familiarize The Steps Linked With eCheck Processing —

Almost every eCheck transaction follows four specific steps during the entire process. Even though these steps are similar to the paper check process, you do not need to fill out the physical check.

On the other side, it streamlines the transaction process for merchants and buyers and assists in smoothening their transactions.
Step 1: Authorizing The Transactions
It is essential for the payee to authorize the transaction or recurring transactions. This is possible only if they sign an order form in person or online.

Step 2: Submit The Online Information
It usually gets completed through the online payment gateway like merchant services providers like Paycron. Over here, the payment processing service provider works in processing the transaction.

Step 3: The ACH Network
In this step, the information goes directly to the Automated Clearing House (ACH) network through a business or payment processor. This network facilitates the easy flow of information to merchants and bank accounts.

Step 4: Releasing The Funds
When the payment gets cleared, the money gets debited from the payer’s bank account directly into the payee’s account. Most payments are processed within 3-5 days after the transaction gets initiated. The overall clearing time is estimated to be 24-48 hours. For security reasons, this cycle may take longer.

What are the advantages of using eChecks?

Without any doubt, it can be said that eCheck remains a safe and secure form of transaction.

Categorized as a safe form of digital payment, this type of payment will help eCommerce businesses upscale their revenues.

Apart from lowering the fraud risks, the eCheck payment method carries an automatic verification process to ensure that funds remain available and the payment remains secure.

You may think of using eCheck services as they facilitate countless benefits to the sender and receiver of funds. Some of these benefits include-
Reduced Processing Costs- eChecks certainly help to reduce the cost of mailing and purchasing paper checks. Besides being an environmentally friendly option, it enables one to use more eCheck services.

Another significant advantage of eCheck processing services is that it delivers more payment methods to customers.
Moreover, it also presents simple and convenient payment options that will help increase business sales.

Reduced Fraud Risk- As it is said that information remains stored in a secure payment gateway and eChecks usually don’t carry the same risk of fraud.

Automatic Verification —

On another side, eCheck processing services are verified by the ACH network, even before the payment gets debited into the bank account.

It is highly safe enough to use online payment over the phone. While making an online payment over the phone, the eCheck needs to be verified by the payee’s bank before it gets deposited into your account.

In a few cases, reconciliation is also offered by some eCheck processing services. Similarly, like in paper checks, you can easily make adjustments to ensure that your transaction remains safe and accurate.

Pondering over the question of whether eCheck is still safe to use?

It is completely true that eChecks work as the most secure transactions for any individual or business to make.
Owing to the authentication process, duplication detection, encryption, and digital signatures, eChecks work seamlessly in processing the transaction without any doubt.

eChecks remain safe as they offer a high level of security as compared to paper checks and debit card transactions.
When a customer prefers to pay for a service or goods, they need to keep their credit card with them. It enables parties to come in direct contact with their credit card information.

eCheck processing services remain free from fraud. On the other side, eChecks remain more secure than physical checks. As a result, the overall risk of identity theft and forgery remains lower with eChecks than the traditional check.

Safe Payment Options:

One main purpose behind secure eCheck processing is the convenience that allows the merchant and customer.

It is labeled as the safest online payment method; electronic check processing allows merchants to process remote deposits from a broad audience. But, apart from it, eCheck remains the safe, quicker, and cheaper alternative.

As these methods are not inherently risky, they usually come with higher percentages of fraudulent attacks.

Secure Recurring Revenue:

Recurring revenue is the popular use for eCheck services. This is because the issuer of the eCheck facilitates the banking information directly and customers can be regularly charged with no hassle.

Apart from it, this remains the most secure way to make a payment and is also convenient for organizations based on recurring revenue.

If you are running a rent or subscription-based business, electronic check processing is the best form of digital payment. So, select a suitable payment processor that processes payments suitably and without hassle.

How to choose the right eCheck processing provider?

ECheck processing services help your customers with the convenience of more payment options by providing the complete security and simplicity that only eChecks can offer.

In some cases, eCheck payment service providers help in benefiting the business and allow customers to deposit small payments without any barrier. It lets you notify customers about new payment options and help set up a secure payment gateway.