Electronic Check


Electronic Check
A form of payment made via the internet that is designed to perform the same function as a conventional paper check. Because the check is in an electronic format, it can be processed in fewer steps and has more security features than a standard paper check. Security features provided by electronic checks include authentication, public key cryptography, digital signatures and encryption, among others.

Also referred to as an "echeck".

Electronic checks have been developed in response to the transactions that have arisen in the world of electronic commerce. Electronic checks can be used to make a payment for any transaction that a paper check can cover and are governed by the same laws that apply to paper checks.

This is the first form of internet-based payment that the U.S. Treasury uses for making large online payments.


Investment dictionary. . 2012.

Look at other dictionaries:

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  • Electronic Cheque Presentation —   Is the electronic transmission of MICR information. This technique greatly accelerates the processing of cheques in a clearing house. ECP relies on sophisticated imaging processing techniques to read the paper cheques and then EDI to transmit… …   International financial encyclopaedia

  • Check Point — Rechtsform Limited ISIN IL0010824113 Gründung 1993 …   Deutsch Wikipedia


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