Posted by NationalACH on Sep 26, 2013
EChecks, Alternate Payment Processing

No Card?  Echecks are the Answer

In the US, 83% of consumers shop on line at least once a week.  But, only 70% of US consumers have credit or debit cards.

How are shoppers who do not have cards going to make purchases from your website?  Unless you offer customers an alternative way to pay, you’ll lose the sale to your competitors who do.

Echecks are the easiest way to capture sales from shoppers that do not have cards.  Merchants that add echecks as an alternative payment method on the checkout page experience sales “lifts” of 8-30%.

Will Customers Use eChecks?

An echeck account electronically debits money from a consumer’s bank account and deposits the funds to the merchant’s account.  In the US, over 95% of households have a banking account and can pay with echecks.

Merchants often ask if customers will use echecks.   The answer is yes.

Consumers are comfortable with paying with echecks.  The majority of Americans pay at least one bill monthly online with an echeck.  

Companies with echecks are simply extending a familiar payment method to an ecommerce site and giving shoppers another way to buy.

Convenient for customers.  Profitable for you.

Echecks for Digital eCommerce

Echecks are a perfect payment option for companies with recurring billing models that sell digital content, information, or software. 

Once established, consumers rarely change checking accounts.  Money can be debited from the same account for years, creating a reliable revenue stream and increasing the lifetime value of customers.

Echecks are more effective at stabilizing cash flow from recurring payments than cards.  Almost 20% of cards are reissued every year, creating revenue leakage each time a card has to be updated.

Ecommerce Merchants Add Echecks to Checkout

Ecommerce merchants selling tangible goods benefit from adding echecks as an alternative payment method on the checkout page. You'll be surprised at the number of shoppers that will choose the "pay by echeck" option.  

True, echecks don’t clear in “real time”.  Hopefully, that will change soon. Because of this, it's wise to wait until the echeck clears to ship the product.  

The main point is that electronic checks provide another way to make a purchase if a shopper does not have a card or is maxed out on cards.  It’s always worthwhile to give your customers another chance to buy from you.

Companies that sell high ticket items such as jewelry, electronics and, furniture also discover echecks are a good alternative to debit cards.  Banks issuing the debit cards often limit the transaction amount allowed on the card.  When this happens, the debit card transaction is declined.


Rather than lose the sale, offer echecks as payment option.  You’ll be amazed at the number of shoppers who will happily complete the order.   

Remember, the more ways your customers have to pay you, the more sales you will make.

Isn't it time for you to accept echecks?

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