Electronic Fund Transfer (EFT)

Muhammad Rifki Aliyasin 2401989745

Electronic Fund Transfer (EFT)

Electronic Fund Transfer (EFT) is an electronic money transfer system using digital computer media and electronic technology. EFT initially uses cards and codes to access a user’s account. And users can use services such as online payments, funds transfer over the phone, and others. Banking institutions provide the use of an Automated Teller Machine (ATM) and pin number for customers to perform EFT. EFT offers a system of transferring funds or money from one place to another with several benefits. That is, fast, easy to process and use, and reliable. Using EFT money can be sent all over the world without taking a long time. The Internet is one of the tools that connect EFT in transferring money and has a significant difference with conventional money transfer methods. This EFT system allows consumers to make payments online without having to meet in person. The value of money will be directly transferred to an account or online account so that payments will be more effective between merchants and consumers. Electronic fund transfer is becoming popular nowadays with the wide use of the internet in the community. However, there are some important things to consider when using an EFT system. The main thing is security, the security of EFT systems is a concern when its use is rife in the public. Users should certainly pay attention to privacy security, disbursement of funds, and payment systems. Users need to be careful in carrying out EFT mechanisms so that there is no theft or hacking that occurs. Although the Bank has guaranteed security in this EFT system, users still have to maintain confidentiality such as pin numbers and personal data. The presentation of electronic bills and payment systems are used to pay regular monthly bills. They allow users to view their bills electronically and pay them through electronic fund exchanges from bank accounts or credit cards. The presentation and payment of electronic bills (EBPP) is a process that allows bills to be created, sent, and paid over the Web. The service has applications for many industries, from financial service providers to telecommunications companies and utilities. The service notified buyers of bills that have fallen beat, shows bills, and processes payments. Some of these services are like free checks combining customer bills from various sources so that they can all be paid in one piece of time. Commercial banks in recent years have invested in products that have high levels of automation and other needs to improve online transfer and home banking. Services such as ATMs, internet banking, and mobile transfer greatly improve the efficiency of banks.

Reference

Getembe, Kepha Nyankora, et al. Electronic Money Transfer Systems, And Business Process Management Among Commercial Banks In Kenya, vol. 9, no. 10, 2013.

Mthembu, Mpakwana Annastacia. Electronic Funds Transfer: Exploring the Difficulties of Security, vol. 5, no. 4, 2010.