InterceptEFT® experiences smooth transition to new rules for Back-Office check processing conversionClients quickly take advantage of Benefits
Fargo, ND (April 20, 2007) - InterceptEFT successfully incorporated new rules allowing for Back-Office Conversion (BOC) of checks to electronic transactions. The rules, which took effect March 16, 2007, were developed and issued by NACHA-The Electronic Payments Association, the leading payments organization in the nation.
"We were completely prepared for the conversion and it was a seamless transition," said InterceptEFT President and co-founder, Bryan Smith. "It's another way for us to improve services for our customers."
Under BOC, check conversions may take place in a centralized "back office," instead of using point-of-sale terminals or other payment locations. The checks are accepted throughout business hours and are converted into Automated Clearing House (ACH) transactions in the "back office" away from the check-out lane or point of sale. With BOC, equipment expenses are reduced since scanning equipment is no longer required at each register or terminal. Most transactions of $25,000 or less can be converted in the back office.
The new process has little impact on the consumer, but significantly benefits business owners. "Many organizations will now have a single process to electronically deposit all of their check payments with their banks," says Smith. "It saves businesses time and money, and we know our customers are seeking both."
According to NACHA estimates, as many as 3.2 billion checks were converted into ACH payments in 2006, an increase of 36 percent over 2005. The existing form of check conversion in use at many retail locations grew by an estimated 60 percent in 2006.