EPayments-A brief introduction.

To me Epayment means, movement of funds from one bank account to another bank account, electronically, without the cheque or minimal human intervention.

Common types of Epayments currently in India are: Credit Card, Debit Card, Epayment of Government Taxes, Electronic Clearing Services(ECS-Debit), Electronic Clearing Services(ECS-Credit), RTGS and NEFT.

Further, this can be classified into two types: Push-Amount is credited to the beneficary's account by a specfic action of the Remitter, each time. Examples are Credit Card, Debit Card, Epayment of Government Taxes, ECS-Credit, RTGS and NEFT.

Pull-Amount is debited from the Remitter and credited to the beneficary, basing on a Standing Instruction. Example is ECS-Debit.

Of the above two, the PUSH type is secure from the remitter's views, whereas the beneficaries viz EMI Recovery, Utility Bills prefer PULL  type. Hence, customers should be inclined towards PUSH, rather than PULL

The major advantage of Epayments is the flexibility to the customers, apart from cost-saving to customers and financial instituions.