Bank Check Aviation

Colin W Kingsbury wrote:

It's not just the banks, it's the people (companies) you're trying to pay.
Until pretty recently I could not pay my gas or electric bills by non-check
means, and I live in Boston, which is anything but a technological
backwater.

What's a trip about this is that the actual transaction is frequently still by
check. If you get on a website (CapitalOne is an example) which allows you to
pay a bill the day it's due, the entire transaction is electronic. If you get on
one that requires that you pay several days in advance, you're usually dealing
with a middleman who accepts your payment and cuts a check to the recipient. I
was told this by the payment department of my water company, which uses such a
service.

George Patterson
The desire for safety stands against every great and noble enterprise.

"Dylan Smith" wrote in message
...
In article bfmFd.8172$u47.5515@trnddc09, Jürgen Exner wrote:
Let's say, the rest of the world finds it impossible to believe, that
paper
checks are still being used today in an industrialized country.
snip
This paleozoic banking system of the US of A is nothing but a job
guarantee
for the postal service and a permanent annoyance for anyone who has to
pay a
bill.

People use them out of choice in the US. When I lived in the US, I did
the majority of my transactions either with a debit card or automated
bill pay. However, I saw quite a large number of people still paying for
their groceries by check - they had the option of using debit cards, but
for some reason they didn't want to.

Quite so.Any more, the majority of checks are BUSINESS checks where
electronic transfer is not feasible due to the hassle of setting up a one
time transaction.

Still checks are useful for paying private people. I'd rather pay for a
used car off my neighbour with a check than show up with a suitcase full
of cash or have to arrange a bank transfer.

How would you pay someone electronically for, say, doing your yard service
or a baby sitter?


--
Matt
---------------------
Matthew W. Barrow
Site-Fill Homes, LLC.
Montrose, CO

"Matt Barrow" wrote in
news

"Dylan Smith" wrote in message
...
In article bfmFd.8172$u47.5515@trnddc09, Jürgen Exner wrote:
Let's say, the rest of the world finds it impossible to believe,
that
paper
checks are still being used today in an industrialized country.
snip
This paleozoic banking system of the US of A is nothing but a job
guarantee
for the postal service and a permanent annoyance for anyone who has
to
pay a
bill.

People use them out of choice in the US. When I lived in the US, I
did the majority of my transactions either with a debit card or
automated bill pay. However, I saw quite a large number of people
still paying for their groceries by check - they had the option of
using debit cards, but for some reason they didn't want to.

Quite so.Any more, the majority of checks are BUSINESS checks where
electronic transfer is not feasible due to the hassle of setting up a
one time transaction.

Still checks are useful for paying private people. I'd rather pay for
a used car off my neighbour with a check than show up with a suitcase
full of cash or have to arrange a bank transfer.

How would you pay someone electronically for, say, doing your yard
service or a baby sitter?



PayPal used to have a service where you had an applet on you Palm, then
you could "beam" money to someone else with the applet on your Palm.

I thought it was a really cleaver idea, but it didn't take off. Of
course the other person had to "have" a palm, and a paypal account.
(although you could "beam" them the applet as well)

The problem with paypal for just a transaction every now and then, is
it's kind of a pita to get your money back into your checking account.

ET

"ET" wrote in message
...


PayPal used to have a service where you had an applet on you Palm, then
you could "beam" money to someone else with the applet on your Palm.

I thought it was a really cleaver idea, but it didn't take off. Of
course the other person had to "have" a palm, and a paypal account.
(although you could "beam" them the applet as well)

The problem with paypal for just a transaction every now and then, is
it's kind of a pita to get your money back into your checking account.

Kinda of a pain if you don't have a Palm or don't trust PayPal...or both.

--
Matt
---------------------
Matthew W. Barrow
Site-Fill Homes, LLC.
Montrose, CO

Dylan Smith wrote:
snip
When I lived in the US, I did
the majority of my transactions either with a debit card or automated
bill pay. However, I saw quite a large number of people still paying
for
their groceries by check - they had the option of using debit cards,
but
for some reason they didn't want to.


Much of this has to do with banking policies and regulations. In
today's environment, debit cards lack many of the safeguards associated
with credit cards and checks. If someone gets your debit card info and
pin by nefarious means (which can be easily done), they can clean out
your bank accounts. At a large number of banking institutions today,
you're on your own if that happens.

On the other hand, federal law limits a credit card holder's
liability to $50 in the event of fraud.

On the check side, if a bank accepts a paper check with a fraudulent
signature, they're still on the hook for the money.
John Galban=====N4BQ (PA28-180)

"G.R. Patterson III" wrote in message
...


Colin W Kingsbury wrote:

It's not just the banks, it's the people (companies) you're trying to
pay.

What's a trip about this is that the actual transaction is frequently
still by
check.

Yeah, I know my gas company does this "check-by-phone" thing where you give
them your account and routing numbers and they print a paper check to submit
for payment. Presumably their bank will now scan that check in and transmit
the image to my bank for payment. The madness!

-cwk.

wrote in message
ups.com...

with credit cards and checks. If someone gets your debit card info and
pin by nefarious means (which can be easily done), they can clean out
your bank accounts.

How do they get your pin number? Then how do they get your card to use it?

-cwk.

"Colin W Kingsbury" wrote in message
ink.net...

Yeah, I know my gas company does this "check-by-phone" thing where you
give
them your account and routing numbers and they print a paper check to
submit
for payment. Presumably their bank will now scan that check in and
transmit
the image to my bank for payment. The madness!

Wal-Mart scans your check at the checkout counter, records the info and
makes an EFT transmission, then destroys the check...while you stand there.

Colin W Kingsbury wrote:
wrote in message
ups.com...

with credit cards and checks. If someone gets your debit card info
and
pin by nefarious means (which can be easily done), they can clean
out
your bank accounts.

How do they get your pin number? Then how do they get your card to
use it?


Once you have the data from the mag stripe of a debit card, it's
child's play to make a duplicate.

It's usually done by a combination of a data recorder (for the mag
strip info) and a camera to record the pin. Early versions used a tap
into a mag card reader at gas station or convenience store, with a
small overhead camera for the pin. This generally required the
participation of a store employee. More recently, card readers and
cameras have been surreptitiously attached to bank ATMs. The card and
pin info sent wirelessly to scammers waiting near by. See :

http://www.snopes.com/crime/warnings/atmcamera.asp

The secret service has also busted organizations that bought ATM
units, set them up in public places, then drained the bank accounts of
anyone that used them.

John Galban=====N4BQ (PA28-180)

Matt Barrow wrote:
How would you pay someone electronically for, say, doing your yard
service or a baby sitter?

If it's the kid next door then I would use those green paper thingies with
portraits of US presidents on them.

If it's a company then in a country with decent banking their invoice would
have their bank and account information imprinted. Type that in at your
computer, and the next day they will have their money.

jue