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Our Internet Gateway, is an information capture and processing service that allows consumers to pay for goods or services over the Internet by check without the need to mail a check.
The consumer can input their checking account information directly into their web-browser and SpeedCHEX will deliver the check data to an authorized service center that will convert the data into an ACH transaction or a paper bank draft. Paper bank drafts are treated exactly like checks when they are deposited at the merchant’s bank.
The SpeedCHEX Virtual Terminal easily integrates into any E-Commerce application. When your application is ready to collect the check payment, you simply pass the user to the secure SpeedCHEX Virtual Terminal where they are presented with easy-to-understand input screen for entering their check payment information. The primary check input screen resembles a paper check so that users can easily understand how to find and enter their checking account information. When finished, the user will be passed back to the URL of their choice to finish the purchase process.
Unlike credit cards, electronic check transactions cannot be instantly verified and approved. This is due to the nature of the Federal Reserve and the fragmented structure of the current banking system. The banking industry is working now to make all forms of check processing and authorization occur in real-time, but due to political, economic, and consumer protection issues, this technology is still years away from implementation.
What has been implemented instead is a system that still provides authorization, but over a period of days instead of seconds. There are several reasons for the slowness of the process, but the bottom line is that the process has been made logistically slow on purpose to prevent fraud and error.
Find out more about online check processing or call us toll-free today
on 1 866 608 6840
(
)
for a free telephone consultation.
The following chart shows a step-by-step breakdown of the authorization process for an electronic check transaction:
| Event |
Occurs |
Special Notes |
| Transaction is Created |
Morning of Day 1 |
Customer can cancel or modify a transaction until it is batched and submitted for authorization. |
| Transaction is Batched and Submitted to Fed Electronically for Authorization |
Afternoon of Day 1 |
Once submitted, a transaction can no longer be modified or cancelled. |
| Customer’s Bank Authorizes (Clears) or Rejects (Returns) Transaction |
Afternoon of Day 4 |
Banks can still reject a transaction even after it has been approved. This is called a Charge Back. |
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