Every few months, another article comes out celebrating the "death" of the paper check. Paper check writing is definitely on the decline. In 2000, Americans wrote more than 37 billion paper checks. And just 10 years later, the number fell to 18.3 billion.
But 18.3 billion of anything is hardly a mortal wound. And experts predict that the paper check writing tradition won't completely die out until 2026.
Automated Clearing House (ACH) is a government-regulated electronic network through which financial institutions can transmit funds back and forth. The process is similar to credit cards, except that senders and receivers use bank routing codes instead of traditional 16-digit credit card numbers.
Enabling ACH payments offers important advantages to businesses and customers alike:
In an earlier post, we covered some of the primary benefits that businesses receive by accepting virtual payments. Consumers benefit as well, especially those 10 percent who don't carry cash at all and the nearly 80 percent who carry less than $50 at any given moment.
One in 10 Americans don't carry any cash at all, and 78 percent carry less than $50 at any given moment. Yet consumer spending is on the rise nationwide.
More and more Americans are embracing virtual payments in lieu of traditional cash, checks and money orders. What’s more, they’re using virtual payment systems in increasingly creative ways. The following list outlines 10 of the more popular applications for virtual payments: