Wire Transfer And Payment Process: Fill & Download for Free

The time required to transfer funds between two banks is a function of the conventions of the system used to transfer the funds and, even more importantly, the way that risk of fraud is shared among the sending and receiving banks.Wire transfers:Interbank wire transfers are routinely same day transactions even for transactions of >$1 billion. However, once a wire transfer is sent, the money is gone. This creates significant risks for banks which have a fairly complex set of procedures to manage risk for wire transfers and charge a high fee to pay for that effort (often $10-30 per transaction). The flip side of this is that a recipient of a wire transfer knows for sure that they have the money when it is received, which is important for large dollar commercial transactions.ACH (Automated Clearing House):Most online funds transfer services such as PayPal's bank account transfers, and the bank to bank transfer function that many banks offer in online banking are processed through an ACH network. ACH networks were created as an electronic alternative to checks in the 1970s and in many ways still retain some features of paper check processing.Settlement time: Until 2009, all ACH transactions were settled one or two days after they are initiated. In 2009, the Federal Reserve created an optional same day settlement method, but adoption appears limited.Risk management: Fraud is a major issue for ACH transactions. A key reason is that ACH transactions, especially debit ACH transactions (ACH instructions initiated by the receiver of funds that "pulls" money from the payer), is that ACH transactions can be reversed. When an ACH debit is initiated, the sending bank has no idea if there is enough money in the account, or even if such an account exists. Instead, the bank that receives an ACH request has the option to reject the transaction for various reasons (e.g. insufficient funds, customer disputes). While most ACH returns occur within 24 hours they can happen as much as 60 days after the initial request if there is a customer dispute exposing the originating bank to risk throughout that period.The futureThe incentives for banks to speed up ACH processing for consumer bank to bank transfers are limited because:More time between initiation and settlement provides more opportunity to catch fraudulent transactionsThe impact of faster processing on the most common applications (e.g., payroll direct deposit, recurring billing) is minimal especially since these transactions can be scheduled in advance to settle on the desired date.ACH is cost center for most banks unlike wire transfers and card payments that generate substantial revenue.The rules of ACH processing are rather complex and vary according to about a dozen different transaction types. See http://www.nacha.org/c/achrules.cfm for further details.Third party services:ACH is the plumbing that enables virtually all third party P2P payment systems (PayPal, Popmoney, ZashPay, Venmo, Dwolla, etc.) so these systems all need to deal with the same challenges with timing and fraud.

Because it increase the number of sales compare to websites that only accept PayPal or wire transfer payment. Today it is a requirement that your customers are able to pay fast and hassle free. Credit Card payment processing and e-currency payment processing is a MUST today.FYI here is a list Valid Payment Processors for Credit Card processing 2016 of valid payment processors that accept regular e-commerce business. You need to apply for an account there and have a ready-made website available.

While there are certainly ways for your customers to make payments to you via international wire transfer, these methods typically require the customer to do so offline (not on your website), through their bank to yours. The fees associated with international wire transfers can be prohibitively expensive for some customers, while for others, the fees cost more than the product or service they are trying to purchase.What is much more feasible is for you to establish a payment gateway to receive online payments. The only real sticking point with doing so is you'll need to have an official presence in any country whose currency you want to accept when performing transaction authorization and settlement.If the latter is more along the lines of what you are seeking, you might consider Payvision, PAY.ON, or Paysafe.This article provides an excellent overview of accepting credit card payments in foreign currencies: Accepting Credit Card Payments in Different Currencies.If your online business’s needs are more complicated, requiring a full customization of payment processing services, you can partner with a payment gateway software provider such as UniPay - Payment Gateway Software.Or review our video we recently released, to learn more about fundamentals of payment processing :