Question

What is electronic fund transfer?

Answer 1

1. Electronic Funds Transfer (EFT) is the “electronic transfer” of money over an online network.
2. The amount sent from the sender’s bank branch is credited to the receiver’s bank branch on the same day in batches.
3. Unlike traditional processes, EFT saves the effort of sending a demand draft through the post and the inherent delay in reaching the money to the receiver.
4. Banks may charge a commission for using this service. EFT is a widely used method for moving funds from one account to another in B2B business models.