Q. What is an eCheck

A: An eCheck is an established payment instrument combining the security, speed and processing efficiency of all-electronic transactions with the familiar and well-developed legal infrastructure and business processes associated with paper checks.

Q: How do eChecks work?

eChecks work through a 4 step process.

Authorize It

Customers are notified that their paper checks will be processed. The customer must give permission, either in writing, via phone, or through an electronic form.

Enter Transaction Info

The following information is collected:

Bank Routing Number Bank Account Number (usually a checking account) Name Associated with Bank Account

Note, at some point you may only need to enter this info ONE TIME when linking your banking information to a payment gateway. At other times, you may need to enter it for every transaction if you do not use a specific payment gateway.

Processing

The information is processed by and the customer’s account is debited for the amount while the merchant’s account is credited.

Confirmation

Once the payment has been debited, the payment will be visible under the customer’s bank account statement. The billing company name, the check number, and the amount will be visible.

Q:Are eChecks really checks?

A: eChecks provide the best of both paper and electronic laws and regulations to bank customers. eChecks are based on check law and have the same characteristics of paper checks but in all-electronic form. Account agreements include provisions for eCheck transactions.eCheck also provides consumers the protections and rights from Regulation E, which limits liability and establishes dispute resolution timeframes. Coupling the eCheck security technology with a sound legal structure reduces the exposure and risk of loss to banks and their clients.

Q:What Advantages do eChecks Offer Over Other Payment Methods

A: eChecks leverage established banking technologies to enable secure, fast, and reliable payments online. eChecks integrate into today’s business practices and coexist with paper check processing.

eChecks offers the following advantages:

1. easily understood by bank customers
2. easy to use by customers
3. extremely safe and backed by banking regulations
4. offered by nearly every major payment gateway
5. have lower fees than alternative payment methods per transaction