The Electronic Funds Transfer Act (EFTA) (15 USC 1693 et seq.) of 1978 is intended to protect individual consumers engaging in electronic funds transfers (EFTs). EFT Services include transfers through automated teller machines, point-of-sale terminals, automated clearing house systems, telephone bill-payment plans in which periodic or recurring transfers are completed, and remote banking programs. To simplify processes within your office and ensure you are fully adhering to Regulation E, it is recommended you treat all transactions in PDCflow as an EFT.
Both NACHA (National Automated Clearing House Association) and the EFT ACT (or Regulation E) require that businesses involved in electronic funds transfer activities implement specific procedures to ensure the consumer has given their authorization for an electronic fund transfer.
With PDCflow, you have the ability to collect authorizations in a variety of ways. Here are a few examples:
- Send a FLOW to request a payment. This allows your consumer to authorize a payment and enter their own payment information.
- Arrange a one-time transaction with a consumer over the phone and send a FLOW to get authorization for the payment before processing.
- Negotiate a payment schedule with a consumer, send the payment schedule, terms and payment consent form to the consumer for authorization.
For more information on Reg- E please click on the article below: