Electronic Funds Transfer (EFT)

Another significant IT tool is the Electronic Funds Transfer (EFT). An EFT is an electronic transfer of money from one bank account to another. EFTs are prevalent in today’s business environment.

For instance, if company B intends to pay company A, it could do so without wasting time, effort, and paper by sending a check. Instead, company B simply initiates an EFT and the funds are instantly transferred from company B’s account to company A’s bank account. Ensuring only authorized users have access to perform EFTs is crucial, especially as they are immediate and challenging to reverse.