Electronic Payments vs. Acceptance of Credit

Credit transactions make it simple for a customer to pay for goods no matter where the location. Their wide use sometimes overshadows other electronic options available to your business. Payments which involve the transfer of money electronically can also entail converting cash as well as checks to this currency form. Electronic payments include direct deposit, e-checks, and direct bank account imbursement. These services are provided by an Automated Clearing House. It can be difficult to determine which is better for your business. The transactions you will handle play a large role in whether to utilize credit or electronic processing. The alternative to plastic is not available for every situation. A customer may prefer an electronic option over credit. This is common if your business is charging for a service where a recurring payment is involved. Product purchases typically do better when credit or debit choices are offered.

Credit Card Processing: Are Electronic Means the Better Decision?

Credit card processing provides more versatility when your customers are making purchases online. With a card, consumers can pay for products or services directly through the website. Electronic transactions are better suited for check conversions, direct bank drafts, and recurring bill pay. If you do not accept checks, card transactions are the more suitable choice. What your customers are paying for will be a large deciding factor in the type of processing chosen. Are you offering a service where a monthly charge is involved? Will customers only utilize the service a few times each year? Electronic processing will work better if they will be making regular payments or you want to provide an alternative to paper checks at a location. One time services or the sell of products should lean you more toward credit card processing.

What are the benefits of these two payment acceptance methods? As a merchant, e-checks and other methods allow you to be comfortable when accepting the payment. The money has to be in the payer’s account to complete the purchase. You do not have to worry about providing a product or service and not receiving the funds. Money is deposited within three days. Checks get deposited automatically which reduces waiting time for your business or people being paid by your business. Complications such as manually depositing the check are eliminated. The cost is about half of processing a paper check as well. Credit cards have their own benefits including instant verification of available funds. They increase your overall cash flow, allow you to store less cash at physical locations, and encourage the return of online customers.

AVPS professionals understand how difficult this decision can be. We are glad to discuss electronic payments and help you in evaluating specific processing needs. Services are available for both credit and electronic transactions. Contact us today to learn what additional conveniences can be supplied to your business and consumers. We are able to help you with physical, online, phone, or even mailed payment processing. One of our professionals can go over all service options to ensure the selected account meets the transaction demands of your company.

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