Many people are not aware that Electronic Funds Transfer (EFT) has been around for over 40 years.
It hasn't changed much although it has been enjoying a renaissance of sorts as banks encourage businesses to pay their vendors and employees electronically rather than write checks.
The reason behind this is simply to counteract the fact that inexpensive colour printer and internet technology have made it easier to commit check fraud and identity theft.
We've been using EFT internally now for over 5 years and have noticed several important benefits including a reduction in redundant data entry and errors caused by manual entries, increased efficiency in processing payments electronically and cost savings resulting from a reduction in use of expensive check stationary and postage, whose cost continues to climb.
Not only that, we find that our vendors and employees appreciate receiving their money on time, every time without waiting in a bank line to cash a check since the deposit is made directly to their accounts. As a result, the payment is also made safer and more private than a check.