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Electronic Check Guarantee | Worry free check acceptance

Posted by Alex Neir on Wed, July 25, 2012 @ 01:44 PM
Electronic Check Guarantee

The two previous blog posts have covered electronic check verification and electronic check conversion, so now it’s time to cover the last service offered for electronic check acceptance, electronic check guarantee.

Traditional check acceptance creates a liability for the business with customers who write bad checks.  Electronic check verification is a service that can verify customer funds are available prior to payment acceptance. However, if the customer removes the funds prior to settlement the business will be unable to collect the money owed. The solution to this problem is an electronic check guarantee system.

What is electronic check guarantee?

An electronic check guarantee solution guarantees your customer’s payment regardless if the check is collected upon or not. The solution provider assumes the risk of insufficient funds so that your business does not have to.

How does it work?

  1. Upon check out the customer’s check is scanned using a check scanner or keyed into the electronic check acceptance terminal.
  2. The guarantee solution checks the customer in the bad check writer’s database.
  3. If the customer shows up in the database the check is declined.
  4. If the customer does not show up in the bad check writer’s database the check is approved.
  5. Upon settlement, if the customer’s account has insufficient funds, the guarantee solution will deposit the full amount of the check into the business banking account. The guarantee solution then adds the customer to the bad check writers database.

If your business accepts a lot of checks an electronic check guarantee solution can be an invaluable product. This solution frees you up to focus your attention on the business and to forget about collection efforts.  

Would you like more information on an electronic check guarantee solution?

Tags: Electronic Check Guarantee, Electronic Check Acceptance, Electronic Check Verification, Electronic Check Conversion

Electronic Check Conversion | Eliminate trips to the bank

Posted by Alex Neir on Thu, July 19, 2012 @ 01:37 PM
Electronic Check Conversion

Last week we covered the topic of electronic check verification so now we are moving on to electronic check conversion. Traditional check acceptance requires a business to physically deliver checks to the bank for deposit. What if you didn’t have to travel to the bank to deposit your checks? What if your deposits were electronically transmitted to the bank for deposit? Would that time savings amount to more revenue for your business? If so, electronic check conversion could be a time saver and money maker for your business.

What is electronic check conversion?

An electronic check conversion system allows your business to scan the customers check creating a digital copy of the check. The system then stores the check image for electronic deposit into your business bank account.  Once the check is scanned it can be returned to the customer with the receipt. You no longer have to hang on to the customer’s check which eliminates the risk of losing the check prior to deposit.

Combining electronic check conversion with check verification and guarantee ensures that your business is protected from check fraud and risk of insufficient funds. With a check verification service, the system contacts the customer’s bank account as soon as the check is received to make sure the account has the funds necessary to complete the transaction. If successful the system provides an approval code stating that the account has funds. One thing to keep in mind, if the customer were to go to their bank and withdraw all the money in the account before the deposit is made the check could still bounce. A check guarantee system can protect your business from this scenario.

A check guarantee system guarantees the funds to your business regardless if the check bounces. This service provides peace of mind if you accept a lot of checks or have issues with customers writing bad checks.

Would you like information on our check conversion service

Tags: Electronic Check Acceptance, Electronic Check Verification, Electronic Check Conversion

Electronic Check Verification | Accept checks like a credit card

Posted by Alex Neir on Fri, July 13, 2012 @ 12:59 PM
Electronic Check Verification

Electronic check verification is a handy service if your business accepts a lot of checks. Traditional check acceptance exposes your business to risk of loss due to bounced checks. With an electronic check verification service your risk is reduced through funds verification prior to rendering service or providing goods.

How does electronic check verification work?

The electronic check verification system includes a check scanner. There are multiple check scanners available and most also function as a credit card terminal. When a customer hands you a check to pay for goods or service the check is either run through the check scanner or the routing and account numbers are typed into the terminal. The scanner then communicates with the customer’s bank to make sure that the customer has enough money in their account to complete the transaction. You will receive an authorization if the transaction is successful. If the customer’s account does not have enough money you will receive a decline.

This process gives you peace of mind when accepting checks. No longer will you have to wait for your bank to tell you that a check cannot be cleared resulting in a loss for your business. In addition to the electronic verification service there are a couple more services that are available.

  1. Electronic check conversion
  2. Electronic check guarantee

Both these additional services will be discussed in detail in the next postings so please look forward to that. If you would like more information and pricing for our check verification platform simply click.

Tags: Check Guarantee, Electronic Check Verification, Electronic Check Conversion