Q. What happens then?
A. You will receive,
by 1st class mail, a Welcome letter, a
signed copy of the agreement and a pre-printed transmittal
form with your name or company name and both phone and
fax
numbers printed on it. You make copies of this form for
future use.
Q. What is the Client
Bank Authorization for?
A. We collect our
fees for service by debiting your checking
account for services rendered. You receive a statement
for
those fees. The only other way to use our service is
to pay in
advance with a money order or cashiers check and we will
deduct from that amount for our services. We do not invoice
under any circumstance.
Q. How do I get the
money from my customer?
A. After you have
sent us your customers banking information, we
print a paper demand draft (no signature required)
and you
deposit it in your bank account.
Q. Do you verify that
funds are in the account?
A. No. Our business
is not verification. All we do is print the draft.
Q. Do you guarantee
the drafts?
A. No. We are not
a guarantee company however we do represent a
Company that will collect NSF drafts. Call us about Check
Collect(r)
Q. Do all banks accept
demand drafts as a form of payment?
A. Generally, yes.
All major banks recognize demand drafts as a
legitimate form of payment as laid out in Federal Reserve
guidelines.
Some small town banks may have a problem at first if
they haven't been used to dealing with demand drafts
and in
that case, a visit to your bank to explain how you are
conducting
your business is usually sufficient.
Q. What happens if
I get a draft back for NSF or other reasons?
A. There are generally
three reasons a draft is returned. NSF,
account closed or wrong account number. Not much
can be done
about the first two. Wrong account numbers usually happen
when
you transmit the information to us. Either the numbers
were
written down wrong or the check number was included in
the
string. It is very important to not include a check number
as
part of an account number.
The image below shows the location of the check number,
routing number
and account number. However, this is not the
only way they can appear!
There are no banking standards. Also 99% of all
account numbers are inside
the "on-us" symbol. In the example below, the "12"
will be inside those symbols.
Q. Do you do Electronic
Funds Transfers through the ACH?
A. You can provided
you have a large enough customer base.
EFT's are used primarily by those clients that do billing
on a
monthly basis for the same customers and usually a set
amount. A
good example would be a burglar alarm company billing
monthly
for monitoring services.
Q. Will you send drafts
directly to my bank for deposit?
A. There are two
ways to accomplish this. If you have an account
with Wells Fargo we will deposit checks locally for credit
to
your account or we will fill out your deposit slips and
overnight the drafts to your bank. In either case, you
must
supply us with pre-printed deposit slips. We charge $6.00
per
batch for deposit and if they are overnighted to your
bank,
there's as additional shipping charge unless you have
an
account with an overnight shipper.
