Q: What is Check21?
The Check Clearing for the 21st Century Act (or Check 21 Act) is a United States federal law (public Law 108-100) enacted into law October 28, 2003 by the 108th Congress. It took effect one year later, on October 28, 2004. The law allows the recipient of a paper check to create a digital version, thereby eliminating the need for further handling of the physical document. It paves the way for the industry to save billions of dollars and increase the speed in which checks are processed.

Consumers are most likely to see the effects of this act when they notice that certain checks are no longer being returned to them with their monthly statement even though other checks are still being returned. Another effect of the law is that it is now legal for businesses to use a scanner to capture check images and deposit them, a process known as remote deposit.

Q: How am I protected under Check 21?
Check law protects you against erroneous and unauthorized check payments. In addition, Check 21 contains a number of new protections for consumers. For example, Check 21 contains a special refund procedure (called “expedited recredit”) for a consumer who suffers a loss related to a substitute check he or she received.

Q: What is the difference between Check 21 and ACH?
Both Check 21 and ACH are used for web and phone transactions as well as one-time and recurring debits from a bank account. The user experience for Check 21 and ACH is the same. Your customer will pay you with an eCheck by providing bank routing numbers and account numbers instead of card information.

The real difference is how the processing is completed on the back end. Check 21 transactions are processed via bank to bank, rather than through the ACH network. Check 21 transactions are governed by the Check 21 law and Uniform Commercial Code, as opposed to ACH rules and regulations.

Q: Can I accept checks on my website?
Yes, at Altium Global we have a variety of electronic check processing solutions for websites. You can use either ACH or Check21 processing services, depending on your businesses particular needs. We support a variety of gateways that will work with virtually every shopping cart on the market. By giving your customers more options to pay, you are increasing the opportunity to make a sale. Increase revenue by adding check processing to your online business today.

Q: If I accept checks over the phone do I have to use a recording service? 
Accepting checks over the phone is a great way to increase revenue. By accepting checks over the phone you eliminate the need for customers to fax or email any documents. You also eliminate the risk of chargebacks associated with credit card payments.

Telephone check processing requires that some form of voice authorization be recorded. Our check processors offer a recording service for our merchants or you can employ your own methods.

Q: Is electronic check processing secure?
Electronic check processing is not new to the financial industry and is a safe and reliable way of processing payments. It uses technology that has been developed and tested to process your check information securely.

Q: How will E Checks boost my profits?
The more payment options you offer, the more sales you make. Electronic checks will entice new sales from your consumers that do not have credit cards, as well as those who prefer to pay by check. Around 80 million Americans do not have credit cards. Having eChecks as a payment option gives these clients a convenient, easy way to purchase from you and can increase your sales by an average of 20%.

 Benefits of Check 21

  • Cut time, costs and risks associated with transporting paper checks
  • Increase disaster recovery options
  • Optimize funds availability by accelerating collections and returns
  • Extend cut off times for deposits
  • Reduce bank charges with electronic payment processing
  • Reduce capital, operational and staff expenses by eliminating second pass encoding processes
  • Identify potential fraud sooner
  • Increase staff productivity by streamlining operations
  • Eliminate accounts at multiple banks by consolidating deposits electronically
  • Expand markets served beyond traditional geographic boundaries
  • Improve accuracy by eliminating paper processing steps and human handling
  • Provide on-line image based services to customers

Below are a few of the business types that we accept

Credit Services
Digital products
Medical Discount Benefits

Dating / Webcams
Web Services (Website development, Designing, SEO)
Social Networks

Pharmaceuticals (no controlled drugs)
Electronic Cigarettes

Payroll Check Cashing Businesses
Prepaid Card Funding and Fees
Payroll Check Cashing Businesses