What steps have companies taken to convert vendors to the Electronic Funds Transfer (EFT) payment method? We want to increase the number of vendors that we pay via EFT.


Below are a few ways some companies have enlisted their vendors to an EFT payment method:

  • A company generating a significant volume of business with a vendor can require payment by EFT in order for the vendor to remain on a preferred vendor status. If a company does not have a preferred vendor program, then you may want to take this opportunity to develop one, whereby a vendor can get on the preferred list if they accept an EFT payment.
  • Some companies have sent vendors a general no obligation solicitation to sign up for their company's EFT payment program, pointing out the benefits to the vendors of switching to an electronic payment from a paper check (e.g. quicker settlement by EFT than mail, greater security, elimination of manual mail processing, etc.) This letter might be targeted to a certain group of vendors or all of the company's vendors. This solicitation message focuses on how vendors accepting an EFT payment would receive payment faster then under their current paper-based process.
  • Some large, market-dominant organizations simply require vendors to accept payment via EFT in order to do business with them.


Have more questions? Submit a request