Electronic Check
 |
Definition of '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". |
 |
Investopedia explains 'Electronic Check'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. |
Related Definitions
Articles Of Interest
-
The Beauty Of Budgeting
Make it to the end of the month, before you run out of money. -
Shopping Online: Convenience, Bargains And A Few Scams
Shopping from the comfort of your couch has major benefits - and some unpleasant side effects. -
What are the advantages and disadvantages to dealing with internet-only banks?
In recent years, large companies have set up internet-only banks as a means of diversifying into the financial sector and providing personal banking services. For a company, the greatest advantage ... -
The Money Market
If your investments in the stock market are keeping you from sleeping at night, it's time to learn about the safer alternatives in the money market. -
Financial Career Options For Professionals
Find out if spreading your wings to try a new career will make you soar or fall flat. -
If I want to have some cash in a liquid account for unexpected emergencies, what is best? A savings account or another type?
It's always a good idea to keep some money set aside in a liquid form, but it's a double-edged sword, because the more liquid your money, the less it's earning. If you never have an emergency, ... -
3 Banking Moves You Should Make Before Traveling
Putting your finances in order should be one of your top priorities before traveling out of the country. -
Clearing Up Tax Confusion For College Savings Accounts
Put your kids through school without being hounded by the tax man. -
Besides a savings account, where is the safest place to keep my money?
Savings accounts are safe because investors' deposits are guaranteed by the Federal Deposit Insurance Corporation (FDIC) for bank accounts or the National Credit Union Administration (NCUA) for ... -
Changes To Your Checking Account
Checking accounts have evolved a lot over the years. Here are the five biggest changes that can affect your wallet.
Free Annual Reports
