Real-Time Authorization Advances

Real-time online check verification and conversion took a large step forward recently when SafeCHECK Company LLC partnered with LML Payment Systems Inc. to offer such services to online retailers.

Traditionally, check verification services have primarily been based on historical check writer information. The new service allows merchants to receive verification online that a consumer's account exists, is open, in good standing, and has adequate funds to cover the transactions. It also allows merchants to immediately debit the funds.

SafeCHECK is owned by 11 of the top banking organizations in the U.S., which account for 45 percent of the nation's demand deposit accounts, and three electronic funds transfer switches. LML is a financial payments processor that provides electronic check authorization as well as electronic check conversion and collections.

Copyright © 2003 Bankers' Hotline. Originally appeared in Bankers' Hotline, Vol. 12, No. 11, 2/03