Check 21 is an initial step toward more efficient and secure processing and clearing of checks by eliminating the need to transport paper checks. It is important to note that Check 21 promotes efficiency of electronic processing by creating a new negotiable instrument—the substitute check.

Take advantage of Merchant Services and Consulting state of the art check21 processing. The cost savings will be seen immediately. Your NSF’s and chargeback’s will be drastically reduced.

Functions include:

  • Same day funds availability if transaction occurs before 8PM EST at a minimal surcharge.
  • Faster notification of returned items (1 business day vs. 7-10 days in paper form).
  • Lowers the amount of monthly chargeback’s.
  • Direct Merchant-to-Bank transaction submissions. Funds are strictly controlled by the merchant and their participating bank.
  • Negative check database and funds verification of transactions.
  • Direct to Fed Line allows for the acceleration of check clearing.
  • Automated method to capture the dollar amount on the check and reduce entry time and errors.
  • Eliminates the need to stand in line at your local bank.
  • Ability to access and retrieve check data, images , and payment status 24 hours a day 7 days a week.

The differences between ACH and Check 21 can have a significant impact on the way you do business. Compared to ACH, Check 21 is a far greater service and technology for business to business use or business to consumer use..

1. Payment to Merchant:
• ACH: Payment sent to merchant by ACH broker.
• Check 21: Payment sent direct to merchant by clients bank sameday.
No middleman or broker receives funds.
2. Payment to Electronic Check Provider:
• ACH: Service fees are removed by ACH Broker before any payment
to merchant is made.
• Check 21: Service fees are sent by merchant to Check 21, LLC
3. Eligible Transactions:
• ACH: Consumer Checks Only.
• Check 21: Business Checks, Personal Checks, Cashier Checks,
and Money Orders.
4. Dispute Type:
• ACH: A consumer can dispute a transaction by phone.
• Check 21: A consumer must visit his local bank branch and fill out
a dispute form or affidavit with his claim.
5. Dispute Window:
• ACH: Consumers have 60 days to dispute any transaction.
• Check 21: Consumers have only 40 days to dispute any transaction.