In the digital age, businesses are increasingly moving away from traditional payment methods such as checks and cash, and adopting electronic payment methods for B2B transactions. Electronic payments offer numerous advantages over traditional payment methods, making them an ideal choice for businesses looking to streamline their payment processes and improve cash flow. What are the benefits of electronic payments for B2B transactions? Faster payment processing Electronic payments are processed much faster than traditional payment methods. With electronic payments, the payment is transferred directly from the payer's bank account to the payee's account, eliminating the need for physical checks or cash. This significantly reduces payment processing time, allowing businesses to receive payments faster and improve cash flow. Increased convenience Electronic payments offer increased convenience for both the payer and the payee. With electronic payments, businesses can make and recei...
The ACH Network supports a variety of payment applications from different vendors. An Originator initiating entries into the system will code the entries in a manner to indicate the type of payment, such as a debit or credit, and whether an entry is a corporate or consumer. The ACH application is recognized by a three digit code or an Standard Entry Class Code (SEC) code. This SEC code appears on the record format. It identifies the specific record format that will be used to carry the payment and the related payment information. Here is a list of entry class codes.
ARC - Accounts Receivable Entry
CIE - Customer Initiated Entry
MTE - Machine Transfer Entry
PBR - Consumer Cross-Border
POP - Point of Purchase
PPD - Prearranged Payment and Deposit
POS - Point of Sale
RCK - Represented Check
TEL - Telephone Initiated Entry
WEB - Internet Initiated Entry
CBR - Corporate Cross Border Payment
CCD - Cash Concentration or Disbursement
CTX - Corporate Trade Exchange
ACK - Acknowledgement Entries
ADV - Automated Accounting Advice
COR - Automated Notification of Change
DNE - Death Notification of Change
ENR - Automated Enrollment Entry
TRC - Truncated Entries
XCK - Destroyed Check Entry
ARC - Accounts Receivable Entry
CIE - Customer Initiated Entry
MTE - Machine Transfer Entry
PBR - Consumer Cross-Border
POP - Point of Purchase
PPD - Prearranged Payment and Deposit
POS - Point of Sale
RCK - Represented Check
TEL - Telephone Initiated Entry
WEB - Internet Initiated Entry
CBR - Corporate Cross Border Payment
CCD - Cash Concentration or Disbursement
CTX - Corporate Trade Exchange
ACK - Acknowledgement Entries
ADV - Automated Accounting Advice
COR - Automated Notification of Change
DNE - Death Notification of Change
ENR - Automated Enrollment Entry
TRC - Truncated Entries
XCK - Destroyed Check Entry
Comments