The ABCs of EFTsVarone
Electronic funds transfer, or EFT for short, is a broad term that describes the process of electronically moving funds between accounts over a network. There are several types of EFT transactions, including ACH transactions (e-checks), wire transfers, direct deposits, direct debits, ATM withdrawals, and online bill payments made with credit or debit cards. EFT payments can be a scheduled transaction—such as when paying a bill with a credit card—or a real-time transaction, such as an in-store purchase made with a debit card. Because no paper checks are involved, EFT transactions are a fast and convenient way to make purchases and process payments.
Are you a merchant? Here are some things to consider as you decide whether to accept B2B or B2C EFT transactions at your business.
- Lower Cost
EFT services can be a lot less expensive to process than credit cards. Fees for accepting EFT transactions average about 1% compared to approximately 3% for accepting credit cards.
- Speedy Access to Funds
Funds are usually transferred in as little as 24 hours. Many traditional credit card funding options can take longer than this.
- Saves Time
Accepting EFT payments means you don’t have to spend time handling paper checks and making bank deposits at the end of the day.
- Flexible, Customer-Friendly Payment Options
Setting up recurring payments and deposits is quick and easy. And your customers will enjoy the convenience of making EFT payments (especially when part of a recurring payments plan), as the customer only has to provide their bank account information once and future payments can be fully automated!.
Accepting EFT Payments With Cardknox: The Easy Choice
Integrating With Cardknox Is a Snap!
Are you a developer? With Cardknox, it’s easy to equip your Merchants with fully integrated ACH processing that can be accessed through the merchant’s payment management portal or through third-party software programs. Plus, Cardknox’s ACH processing solutions can be seamlessly integrated with a wide range of POS systems so your merchants can reconcile accounts with ease.