Electronic Payments

Skip Navigation | Full graphics version

Home | News | Glossary | Help | Breaking News | Contact Us | Project Sponsors

Main Navigation
-Home
-Electronic Payments Benefits
-Electronic Payment Fundamentals
-Electronic Payment Methods
--Accept credit card payments
--Payments by phone, post or fax
--Online Payments
--Acquiring Banks
--Online payment bureau
--Secure online transactions
--BACS
--Alternative payment methods
--No payment option
-Electronic Payment Costs
-Premium Brokering Service
-Glossary
-Online Payments News
-Project Sponsors

Banks automated clearing system - BACS

Summary
BACS is ideal for making regular automated payments to repeat customers.
It helps those who are making more than 150 monthly payments to manage cash flow.
It reduces the likelihood of human error.

This payment method is ideally suited to business-to -business (b2b) transactions with regular or repeat customers. It is already used to pay over 70 per cent of salaries of the UK workforce. BACS payments are usually processed as batches using dedicated software linked in with the banks system. Currently these payments can be facilitated directly through a business bank via a “file” of transactions or via dedicated software that links to the bank accountmaking the payment.

The advantages of BACS

  1. Regular automated payments
  2. Reduces time and cost of administering bulk payments
  3. Helps manage cash flow and improve financial control
  4. Reduces risk of loss, late payment and theft for customers

At the enterprise level, BACS can be integrated with an e-commerce b2b purchasing system to allow automated settlement of accounts between organizations.

Benefits:

As the BACS process is electronic, it removes the need to write cheques, which can be a costly process, subject to human error. Payments can be made much later in a business day, up to 9pm and are cleared within two business days to any bank account.

The payment method is suitable for customers who are making more than 150 monthly payments.

Secure Online Transactions < Previous Page | Next Page > Alternative Payment Methods

More RSTO expert services: Trade Online Project Ecommerce Comparison

Top of Page Copyright © 2001-2007 Trade Online Project
Funded by Business Link & Scottish Enterprise
Helpline: 0845 880 2006
Terms & Conditions Top of Page