You hate going to a bank and waste your time, effort, and money, like the majority of people, you’re probably looking for ways to avoid this trip. Thanks to Electronic Fund Transfer (EFT), which makes sending money quick and simple, you can now conduct all of your banking transactions online, including sending money and paying bills. Manage all your bank accounts at one location and make payments or transfer money by EFT payment or using checks with OnlineCheckWriter.com – Powered by Zil Money. Keep reading to know more about EFT payments and about this wonderful platform.
What Is Electronic Fund Transfer (EFT)?
You can send money from one bank to another using electronic fund transfers. There is no need for paper documents, so the process goes much faster. Electronic bank transactions are thus more accessible than other types of payment methods.
Electronic fund transfers, or EFTS for short, are when you use a computer to transfer money from one bank account to another. They are completed entirely without the assistance of bank personnel. Because these are digital transactions, there is no need for paper records.
How Does EFT Work?
To function, EFT payments require two parties: a sender and a receiver. When the sender agrees to send funds to the receiver, the payment is routed through the appropriate payment network, and funds are transferred from the sender’s account to the receiver’s account.
EFT payments are processed through a specific money network, most notably the Automated Clearing House (ACH) network. This is the money transfer system that links all financial institutions in the United States, from large banks to small credit unions.
How Long Will It Take for EFT to Get Cleared?
Once initiated, the transfer proceeds through a series of digital networks from the internet or a payment terminal to the sender’s bank and then to the receiver’s bank. EFTs on the ACH network are processed in batches—the network waits for a collection of pending transfers to accumulate before processing them. The majority of these payments are cleared within a few days.
Types of Electronic Fund Transfer Payments
Direct Deposit
The term “direct deposit” refers to the electronic deposit of funds into a bank account as opposed to the use of a paper check. Direct deposit requires an electronic network that facilitates interbank deposits. This is referred to as an “automated clearing house” (ACH). Since the funds are transferred electronically, the recipient’s account is automatically credited; there is no need to wait for the funds to clear. Our platform, OnlineCheckWriter.com, provides direct deposit for managing payroll and other purposes.
Debit and Credit Card Transactions.
Credit and debit cards have 16-digit serial numbers. They can be used to make both online and in-store purchases. The expiration date is also written on the card. In addition, the cardholder’s name appears on the card. Debit card transactions are funded by the funds in your bank account. Credit card purchases are made with borrowed funds. Both credit cards and debit cards can be swiped in card readers.
ATM Transactions
ATMs are cash withdrawal machines that allow customers to withdraw cash. People pay bills, make payments, and move money using debit and credit cards. Although ATMs are not always free to use, there may be a fee if you use one directly operated by the bank with which you have an account.
Electronic Check (eCheck)
An electronic check is a type of electronic funds transfer that transfers funds from a customer’s account to the payee’s account via the ACH network.The technology for electronic check transactions was made so that traditional paper checks could be processed and used for things like bill payments, direct deposits, and other transactions between people. OnlineCheckWriter.com provides you with the option to send an eCheck through the ACH network or send a digital check via email, and the receiver could cash the check.
ACH
When you transfer money from one bank account to another, you use the Automated Clearing House network. ACH transfers are a type of electronic payment. They are frequently used to make direct deposits or pay bills automatically. Transactions are processed in batches three times per day by the Automated Clearing House Network. This means that the time between sending money and receiving it is shorter than with other methods.
Wire Transfers
A “wire transfer” is when you send money electronically to another person. This is accomplished through the use of a global network managed by banks and other financial institutions. When sending money via wire transfer, the recipient must provide their name and account number. Wire transfers, as opposed to physical cash transfers, are settled electronically.
Electronic Fund Transfer or EFT payments are one of the most efficient and convenient ways to transfer money between bank accounts. They’re ideal for people who don’t want to deal with paper documents or long lines at the bank. If you are looking for a platform that allows you to send money via electronic transfer, then our platform OnlineCheckWriter.com is ideal for you, as it allows you to manage all of your bank accounts from a single location.
