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Nacha changes rules of mobile payment!

US electronic payment clearing organization, Nacha is all set to change the world of mobile payment processing as it has proposed some rule changes that would redefine the definition of Internet-Initiated Entries which would include ACH debits authorized and initiated via mobile networks.

Now if what we said above went over your head and was too damn heavy to understand, we will keep it in a simpler way for you.

Nacha is proposing some rule changes for mobile payment systems that would help us to enable electronic funds transfer from one bank account to another in a secure way. The system would be highly cost effective. Nacha has predicted that there will be significant growth over the next five years as more consumers will be acquiring smart phones and payment solution providers would begin marketing more aggressively.

Transactions and payments via phone are carried out by very few users as there are very few rules and a serious security breach possibility always remains.  If Nacha gets the green signal to implement the new rules, mobile payments and transfer will become much more secure, safe and cost effective.

Nacha explains “Because Nacha does not anticipate that this rules proposal will require major software changes, the industry should have sufficient time to prepare for compliance with the provisions of these proposed rules,”
Nacha now has to wait and see if financial institutions embrace their proposal.

Tags: ach network, ach payment, automated clearing house, electronic payment gateway, electronic payment processing, electronic payment processing services, electronic payment solution, electronic payment solutions, mobile payment processing, nacha, nacha rules, the electronic payments association