Using a traditional paper check system, the merchant deposits the paper item into their bank account. Any returned item is sent back to the merchant's bank, and fees are assessed. These reports will facilitate the merchant's bank statement reconciliation. Improve Cash Flow. Funds are settled within 48 hours, compared to the delays due to mail delivery times and the longer clearing times associated with paper checks.
Consumers can make a check payment immediately, rather than writing a check and mailing it.