ECS is an electronic mode of payment / receipt for transactions that are repetitive and periodic in nature. ECS is used by institutions for making bulk payment of amounts towards distribution of dividend, interest, salary, pension, etc., or for bulk collection of amounts towards telephone / electricity / water dues, cess / tax collections, loan installment repayments, periodic investments in mutual funds, insurance premium etc. Essentially, ECS facilitates bulk transfer of monies from one bank account to many bank accounts or vice versa.
What is ACH debit? :
Automated Clearing House (ACH) payments are electronic payments that pull funds directly from your checking account. Instead of writing out a paper check or paying with a debit or credit card, the money moves automatically. ACH can make your life easier, but it can also cause problems.
What is ACH credit?
ACH is an acronym for Automated Clearing House, an electronic network used to process bank-to-bank transactions. An ACH credit occurs when funds are deposited electronically into an account. ... You can receive funds or make payments by ACH credit.
Are ACH payments safe?
Is ACH Debit Safe? If you're concerned about security, ACH is a safe way to pay. You only need to expose your bank account information once, when you sign up for electronic payments, as opposed to every month if you write checks monthly.
What is the difference between ACH debit and ACH credit?:
Direct Payment via ACH is the use of funds to make a payment. ... A Direct Payment processed as an ACH credit pushes funds into an account. An example of this is when a consumer initiates a payment through his/her bank or credit union to pay a bill. A Direct Payment processed as an ACH debit pulls funds from an account