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Check Service Overview
What is an electronic check service?
Electronic check services serve several purposes. They can convert a paper check into an electronic transaction (Check Conversion), they can verify the check writer against a database of check writers to see if there is a high risk of them writing a bad check (Check Verification), they can guarantee the value of the check to the business accepting it (Check Guarantee), and they can electronically draft funds from a checking account (Bank drafting, ACH).
Breakdown of each services:
Check Conversion - Check conversion is the process of converting a paper check into an electronic transaction similar to a credit card transaction. To convert a check, the check must be physically run through a check imager or a magnetic check scanning device. The check is then deposited into a business's bank account a few days later. Check conversion is normally accompanied with a check guarantee service, so that there is a less likely chance of the bank account having insufficient funds.
Check Verification - Check verification services compare the check writer with a national list of check writers. If that customer has a history of writing bad checks, you can avoid accepting a check from them. This service does not electronically deposit a check, but it can greatly reduce the chance of accepting a check from someone known to write bad checks. Checks are also normally scanned through a magnetic check reader.
Check Guarantee - Check guarantee is similar to verification except the check processing company also guarantees the value of the check to the business. In the event that the check is returned insufficient, the business still gets the full value of the check, and the check processing company takes further action against the check writer.
ACH / Bank Drafting - Bank drafting and ACH (Automated Clearing House) are electronic systems where a routing number and checking account number are manually entered into a software system. The business can then debit their customer's checking account electronically, and can setup recurring payments for that same checking account.
eChecks - Using a system similar to bank drafting, an echeck is a check processing service that is integrated with a website allowing a business to accept checks from their customers online.
Benefits of check services:
- Reduce the chance of accepting bad checks.
- Reduce or eliminate trips to the bank to deposit checks.
- Integrate with a website to offer an additional payment method.
- Reduce the time to have funds from checks deposited into a bank account.
Who we work with:
Global eTelecom, Inc. (GETI) has developed the most sophisticated and technologically advance check conversion engine in the industry. Providing Financial Institutions and Bankcard Sales Organizations with a powerful suite of customized electronic check solutions.
TeleCheck® offers a variety of electronic check payment services and products to accelerate merchant cash flow, lower operating expenses and help increase sales, resulting in lower costs for consumers. Backed with the industry's most comprehensive information and risk management systems exclusive guarantee and recovery programs, these services offer unparalleled security. With most TeleCheck® payment solutions, merchants have the option to select either a verification or warranty service in accepting a customer's check. The check verification service helps merchants expedite the processing and handling of checks and reduce fraud. The warranty service gives merchants more flexibility and an increased level of protection. With the warranty service, TeleCheck® manages the entire check collections process, helping you streamline operations and giving you more time to focus on your customers.