Deposit Account Solutions

Checks are one of the oldest forms of credit system that is still in use even in this age of credit cards. Accepting checks for payment has come a long way since the early days. Today technology has helped merchants accept checks from customers over the telephone and internet.

In the low risk market segment (where merchant & consumer meet) the use of checks has been on a steady decline since the introduction of cards (credit & debit). This is because of the lower discount rates (the charge paid by a merchant for using a credit card processing solution) available for credit/debit card processing. However, in our market segment (where merchant & consumer do not meet) checks are still a preferred mode of accepting payments from their consumers.

Physical check processing is becoming the most popular form of check acceptance used by merchants that accept payment from the US/Canada consumer. This is not the same as ACH check processing and is geared specifically toward accepting physical check payments for high risk merchants. There are several advantages to using the Webb Dynamics check processing solution as opposed to the standard ACH check processing method. One of the pitfalls of merchants when it comes to ACH has been the restrictions on not only the business type of the merchant that limits the acceptable amount of ACH returns, but the appetite of the primary ACH bank to accept a high risk merchant that consistently has a high rate of returns or charge-backs associated with the products or services that the merchant is offering to the consumer. As ACH is governed by NACHA rules, when the returns are much higher than the acceptable level, the ACH provider is most likely to shut down the ACH processing account for the high-risk merchant in order to comply with the Federal limits placed on all Automated Clearing House transactions through the Federal Banking System and enforced by NACHA.

As an alternative to credit card processing, an ever growing number of US/Canada consumers cannot or will not chose to employ a credit card in making a purchase but instead prefer to pay for goods or services directly from their US/Canada checking account. There are several reasons a consumer may choose to pay using a check instead of a major credit card. One reason is that when the consumer makes a purchase using their checking account it is the same as paying cash– this has no additional fee like a credit card that accrues interest on unpaid monthly balances, once the goods or services are paid for there are no further charges to the consumer. Another reason that our solutions are becoming more popular is that a growing number of US/Canada consumers are not able to qualify for a credit card due to the fact that they are either under-employed or un-employed and do not have access to a standard consumer credit card, or don't want to open a pre-paid credit card account because of the additional fees involved in loading money to the pre-paid credit card.

Our solutions for check processing has its advantages over traditional ACH merchant check processing accounts. Mainly, We are not governed by NACHA Rules and therefore a high rate or returns or rejects is acceptable as long as the level of returns fall within the boundaries set. We do not use the traditional ACH method of settling through the Federal Reserve Bank's Automated Clearing House, and therefore is not required to comply with the NACHA rules when it comes to returns or chargebacks, however we are governed by FTC and other government rules such as the Consumer Protection Agency.

Many factors determine which check deposit solution is optimal for your business. Some of these factors include:

• Location of your Business
• Product or Service Sold
• Method Through Which Product/Service Is Sold
• Type of Industry
• Monthly Volume and/or Number of Transactions
• Chargeback Rate
• Refund Rate

As each of these factors influences the overall perceived risk within each potential solution, some businesses are pushed into the High Risk classification. If your business is classified as high risk, don't think that this is the end of your business ambitions better yet it's an opportunity for your enhancing growth. We are the place you should turn for your high risk check deposit account needs. Our team focuses predominantly in understanding your business's needs, your operational structure, your payment acceptance needs, and how payment acceptance limitations can be overcome to acquire you the right check deposit solution. Whether you need an adult check deposit account or a travel check deposit account, or direct marketing deposit account, we have the tools to get you the right solution.

For Example: A merchant who sells nutraceutical products online and ships it to the customer's home is typically classified as high risk. This is because neither the consumer nor the merchant meet each other in person, and so the probability of a fraudulent transaction increases. In addition, some customers may not experience the expected benefits of purchasing the product, and as a result may prove difficult for deposit account banks. As a result of these two factors alone, most processors will not be able to provide sustainable deposit account payment acceptance for this business. By reaching out to us, the merchant is able to accept payments through a check deposit account designed for the business's needs.

Use "Risk" As An Opportunity for Growth

Owing to the specialized needs of merchants classified as high risk, very few check deposit account providers are able to effectively process payments for businesses in these types of industries. In addition to individual industry exposure risks, payment processors must also balance the industries, the transactions, and the risk across their entire client base in order to stay within the parameters set forth by the governing institution of the payment type. Our inherent understanding of risk balancing allows us to work with many industry types.

The primary reason for accepting checks over credit card payments?

Low Chargebacks:

This is because the chargeback procedure for checks is very tough, when compared to credit cards. Here the consumer will have to submit a request in writing at the branch reasoning the chargeback, for the bank to consider it. Whereas on credit cards, the consumer will only have to make a phone call and the merchant will be charged back. Not just that, physical check solutions have one more major benefit; the stability of the processing solution. In the high risk market segment, a stable processing solution is not always a guarantee and merchant accounts do get shut down, it is inevitable. Checks on the other hand, are in general a very stable solution, given the lower chargeback rate; it becomes the most reliable processing solution around today.

From remote capture to real-time reporting, we offer a focused portfolio of world-class treasury management services that help you put your financial assets to work. We offer convenient ways to gain faster access to incoming funds. Our solutions save time and streamline workflow by making funds and receivables data readily available.

Our high-tech solutions are always backed by an experienced advisor who will understand you and your company's unique needs, and then deliver unsurpassed personal attention and support when and where you need it.