Pre-Authorized Checking
Does This Sound Familiar?
"The Check's in the Mail..."
Even with the best intentions, some of your customers will have difficulty making every monthly payment to your office on time. You can continue to spend a small fortune on sophisticated billing and collection systems, or you can switch over to one of the fastest growing methods for receiving monthly payments from your customers. It's called Pre-Authorized Checking(tm) (PAC).
"Your invoice must have gotten lost in the move."
"Did you send me a bill this month?"
"Can't you draft this from my checking account?"
"Sorry, I forgot to mail my payment."
"Let me look at my checkbook, and I will call you right back!"
"I thought it was due the 15th!"
"I've been out of town for a couple of weeks."
The reasons for untimely payments could go on and on. The number of customers paying in 30, 60, and 90 days is increasing. Poor cash flow is cited as the number one reason why new businesses fail. PAC can reduce your receivables and help eliminate many of your collection problems before they occur. PAC also improves customer retention by eliminating the customer's hassle of manually writing a check, stuffing the envelope, addressing and affixing postage and then walking it to the mailbox.
Here's How It Works:
PAC ensures that your monthly payments are received on time each month, every month. Instead of wondering when, or if, you are going to receive payment, you get a pre-authorized check on time for every customer on the program. Your customer simply completes the release form to sign up for the program. You then forward all completed forms to the processing center on a daily or weekly basis. The processing center prints the pre-authorized checks and delivers them to you on the agreed upon date(s). You simply take the pre-authorized checks to your bank and deposit them like normal checks.
With PAC there is no computer access into your customer's checking account. His or her check is simply re-created on the agreed-upon day each month for deposit into your bank. Their pre-authorized check is noted on their monthly bank statement like any other check.
This non-threatening approach makes signing up customers on PAC very easy. Because you will be in control of the checks being deposited, there is no chance for the bank to make a mistake on your customer's account. The flexibility allows you to even hold a check for a few days if necessary for your customer.
There is no cost for software, hardware, phone lines, or any of the typical expenses required for electronic fund transfers by the bank.
Considering convenience, cost efficiency and excellent service, PAC is rapidly becoming one of the nation's leading methods of automatic payment processing. Major retail, utility, mortgage companies, and insurance companies have utilized this system for over 20 years! We make it available to any business regardless of size.
