What is TeleCheck - And How It Is Used Within The Payeezy Gateway

 

TeleCheck®For The Payeezy Gateway – Accept Checks Over The Phone And Online

Millions of merchant transactions are conducted over the phone and online annually. With that, merchants need to be able to offer fast, cost-effective payment methods to their customers. 32 Million U.S. consumers do not have credit cards. Consumers are more likely to abandon a purchase if their payment choices are limited to credit and debit only. Studies show that merchants experience an increase in completed sales by offering 3 or more payment methods. There is a payment method that can be implemented that can reduce your payment processing costs and increase the number of completed sales. This payment method is First Data's TeleCheck® solution and it can be used within the Payeezy Gateway.

While check as a form of payment is available in the Payeezy Gateway, your merchant account needs to be configured to accept checks with the specific TeleCheck® product you need.  If you want to accept checks, please contact your Sales Representative or Relationship Manager.

In addition to accepting checks, there are optional Warranty and Verification features which can be enabled.

  • Warranty - Opting for warranty service enables the premier check-fraud protection feature, which transfers fraud responsibility and bounced checks from you to TeleCheck®. Returned checks become our liability, relieving you not only of loss, but also the hassle and countless hours of trying to collect.
  • Verification – Checks offered by customers are instantly analyzed against TeleCheck®'s database that tracks the check-writing histories of 98 percent of US check writers. Within seconds, a score is returned, along with a recommendation as to whether or not to accept the check.

The National Automated Clearing House Association (NACHA) is the governing body presiding over ACH (check) payments. NACHA requires authorization language for ACH transactions, which varies based upon the method of check acceptance. There are attachments with sample authorization language at the bottom of this article.

First Data's TeleCheck® solution can be used with the following Payeezy integration methods RPM, Hosted Checkout, and API

 

TeleCheck for Real-Time Payment Manager (RPM)

 

One Time Payment (Over the phone)

RPM uses TeleCheck® Checks by Phone (CBP) to process checks in real time for single transactions. The TeleCheck® CBP service makes it possible to serve customers who prefer to pay for a purchase over the phone. The solution instantly authorizes the payment while customers are still on the line, minimizing potentially lost sales and revenue.  

How it works:

  • A customer contacts you to make a purchase.
  • You input the customer’s checking account number and routing number into the RPM for a one-time transaction.
  • Using advanced analytics, TeleCheck® conducts transaction risk assessment and issues an approval or denial in real time.
  • At the end of the check-out process, you must read the consent language to the customer and, either audio record the customer’s authorization or send a written notification of the authorization and the transaction to the consumer prior to settlement of the transaction.

 Authorization Requirements:

  • Please refer to the Authorization Requirements section for more details on the Authorization Requirements.

For an additional fee, TeleCheck® can send the written notification of the authorization and transaction to the consumer on your behalf. Ask your Sales Representative or Relationship Manager about this service.

 

Recurring Payments (In-person)

RPM uses TeleCheck® Remote Pay PPD to process checks for recurring transactions that are initiated in-person.

How it works:

  • A customer visits you in-person to make a payment.
  • The customer signs the authorization form and you then input the customer’s checking account number and routing number into the RPM as a recurring payment.
  • Using advanced analytics, TeleCheck® conducts transaction risk assessment and issues an approval or denial in real time.
  • Authorization must be face-to-face, in writing and signed.
  • Authorization must clearly and conspicuously state it terms, such as consumer name, payment amount, payment timing (if recurring) and bank routing/account information. Must also provide that authorization may be revoked in the manner specified in the authorization.
  • Customer must be provided a copy

Authorization Requirements:

  • Please refer to the Authorization Requirements section for more details on the Authorization Requirements.

 

TeleCheck for Hosted Checkout and API

 

One Time Payment (online)

Hosted Checkout and API use TeleCheck Internet Check Acceptance® (ICA) to process checks in real time. The TeleCheck® ICA service makes it possible to serve customers who prefer to pay for purchases with their checking account online.

How it works:

  • A customer visits your website to make a purchase and selects the option to pay by checking account.
  • The payment details are transmitted to TeleCheck® through the Payeezy Gateway.
  • Using advanced analytics, TeleCheck® assesses the risk associated with the transaction and issues an approval or denial in real time.
  • At the end of the check-out process, you must display consent language on your website for the customer to accept prior to submitting the authorization request.

Authorization Requirements:

  • Please refer to the Authorization Requirements section for more details on the Authorization Requirements.

 

Recurring Payments (online)**

Hosted Checkout uses TeleCheck Internet Check Acceptance® (ICA) to process checks for recurring transactions.

How it works:

  • A customer visits your website and chooses the option to make a recurring purchase by checking account.
  • The payment details are transmitted to TeleCheck® through the Payeezy Gateway.
  • Using advanced analytics, TeleCheck® conducts transaction risk assessment and issues an approval or denial in real time.
  • At the end of the check-out process, you must display consent language on your website for the customer to accept prior to submitting the authorization request.

Authorization Requirements:

  • Please refer to the Authorization Requirements section for more details on the Authorization Requirements.

**Recurring payments can only be processed with RPM and Hosted Checkout. At this time, recurring payments cannot be processed with Payeezy.JS and API.

 

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Link to State Abbreviations for TeleCheck Transactions:

State Abbreviations

 

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