According to a survey conducted by the Credit Research Foundation (CRF), credit and account receivables professionals anticipate that ACH transactions will surpass checks as the leading form of payment received from business customers by 2020. Down from 63 percent in 2014, checks currently account for almost 50 percent of payments today.
This report shows the preferred B2B payment methods in North America in 2017. In this survey, 58 percent of the respondents said that their favorite payment method was ACH. Alternatively, 47 percent of them said that paying by check was their least favorite.
Positives to switching to electronic payments:
- ACH payments are considered more secure than checks and require more of an effort for criminals to commit fraud
- 75 percent of organizations that were victims of fraud attempts/attacks in 2016 experienced check fraud
- ePayment in the form of ACH or Virtual Card is very convenient compared for payers and payees when compared to traditional check
- ePayments don't require maintenance of supplies, postage and manual labor processes. And, the payee doesn't have to wait for a check to clear the bank to access the funds
Our recommendation to companies of ANY size seeking to migrate to ePayments starts like this:
- Find a solution that works well with your existing system
- One that works by pulling information out of the accounting system and feeding data back in to the system
- One that doesn't require a huge capital expenditure
- One that doesn't require a year or years-long project
- One that doesn't require high-priced consultants to manage
- Find the solution that properly and accurately manages the data
- Find a solution that communicates well with your vendors by providing usable remittance notifications
- Seek a solution that has a minimal impact on your IT department.
- Your IT department should not have to become ePayment experts
- Your ePayment solution provider should be that and more
Read More about ePayments in Accounts Payable Automation:
- Accounts Payable Automation for Cost Saving and Improved Efficiency
- Four Ways Payments can Impact your Business
- Vendor Management
- Electronic Payment Systems
- Top 3 Accounts Payable Practices: How to Implement Them for Success
- Which Should You Use? Purchasing Cards or Virtual Cards?
- How Payments Impact Your Business and Relationships