Posts by Eli Smith

Key Takeaways Card-on-file (CoF) transactions store customer card details for future payments or recurring billing, offering a seamless customer experience. CoF transactions can be used by both retail and subscription-based businesses, providing convenience and efficiency. CoF transactions can be consumer-initiated (customer provides payment details) or merchant-initiated (merchant charges the customer without additional authorization). Types of…

If you are one of the ten million-plus American businesses with a merchant processing credit card account, the chances are you are aware of an industry term known as interchange. As with many aspects of banking and merchant processing among credit card issuers, the term represents something slightly confusing (at best) and incredibly bewildering (at…

Key Takeaways Electronic Checks (eChecks): Digital versions of traditional checks offering a secure, efficient, and cost-effective method for online payments. Benefits: eChecks are cheaper to issue, have enhanced security features, and are suited for large or recurring transactions. Processing: The eCheck process involves customer authorization, inputting payment details, and processing via the ACH system, taking…

When it comes to the financial world, there are a lot of terminologies that someone who isn’t a part of it might have difficulties with understanding. That’s because, while financial institutions are a big part of our lives, we usually don’t look deeper than confirming whether the payment was made or received or not –…

Key Takeaways Recurring payments are regularly scheduled payments, often used for subscriptions or regular expenses, and can be either fixed or variable in amount. Both consumers and businesses benefit from recurring payments, offering businesses predictable income and improved customer retention, and consumers time-saving convenience and improved credit scores. The process of setting up or canceling…