Understanding the Needs of International Merchants

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Payment21® Check 21 and ACH payment processing breaks through the borders of doing business internationally over the Internet.

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One of Payment21®’s missions is to educate international merchants who are unfamiliar with demand draft and direct debit transactions like the Check 21 and ACH online payment processes, which accept bank payments from U.S. consumers. The Check 21 and ACH systems will allow these merchants to conduct business with U.S. consumers quickly and securely as never before and without the necessity of a U.S. bank account.

It is virtually impossible for a merchant outside of the States to open a U.S. checking account. Those few banks that are willing to accept international merchants will most likely impose very heavy security deposits while inundating the merchant with seemingly endless amounts of paperwork, and ongoing requirements to the point that most foreign merchants just can’t afford the account. Furthermore, U.S. banks most likely simply will not open an account for a U.S. merchant without a Social Security number or an American subsidiary. In general, banks see substantial risk in dealing with foreign merchant account holders. They incorrectly perceive that non-resident businesses will have higher than normal return claims from customers. Also, banks are concerned about enforcing their legal remedies against owners of international merchant accounts. Payment21.com’s Check 21 and ACH payment processes change all of this.

Payment21 LLC is a Payment Service Provider, whose most recent offering is Instant eCheck™ processing. This payment method allows international merchants to accept U.S. paper checks as a form of payment for goods purchased via the Internet securely and reliably by utilizing the Federal Reserve Board’s Check 21 standard as introduced by The Check Clearing for the 21st Century Act (Check 21 Act). The company receives all transaction data from merchants and converts this data into digital check images. The images are then cleared through the banking system then finally with The Federal Reserve Bank. Simply put, international merchants never need to deal with U.S. banks. Payment21® takes care of all clearance matters and therefore, no U.S. bank account is required by the merchant. Payment21.com provides international merchants with financial access to more customers than any other payment method. Funds clear faster - same day or overnight. Check 21 and UCC governed. A much lower cost than credit cards.

Payment21.com’s ACH (Automated Clearing House) Transaction Processing, their second payment option, quickly automates payments for your U.S. customers, who simply enter their checking account details securely on the merchant’s payment page. The checking information is then electronically converted into an ACH transaction. One of Payment21.com’s strengths is focusing on processing electronic transactions. The company offers advanced services and personalized support behind every transaction. Payment21.com’s ACH Payment Processing is an excellent solution for qualified organizations, reducing the time of receiving paper checks by 1 to 5 days. Depending on your type of business and your check return types and/or averages, Payment21.com settles collected funds via ACH to your business's bank account within 3 to 5 business days.

Payment21.com’s Check 21 and ACH electronic check processing represent different transaction and business models, and provide significantly different information flows, legal frameworks, and risk management capabilities. This is actually a good thing, since it enables different products to meet different business needs and market requirements. For more details on the main differences between Check 21 and ACH transactions, visit http://www.payment21.com.

Payment21.com's merchant approval policy is fully compliant with the Patriot Act. Due Diligence is done on all merchants. In order to comply with AML-provisions, beneficial owners related to cross-border payments get identified however and more importantly, all information is protected by data protection laws.

Whether it’s a Check 21 or ACH transaction, superior fraud protection such as the customizable Verification Loop™ and the proprietary Mitigation Algorithm™ ensures that Payment21.com has the solution that will save international merchants money and enable more U.S consumers to buy from them.

Visit Payment21.com’s newly designed, user friendly website at: http://www.payment21.com for more details.


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Will Hicks
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