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  • Anonymous
    1 decade ago
    Favorite Answer

    Electronic funds transfer or EFT refers to the computer-based systems used to perform financial transactions electronically.

    A number of transaction types may be performed, including the following:

    Sale: where the cardholder pays for goods or service.

    Refund: where a merchant refunds an earlier payment made by a cardholder.

    Withdrawal: the cardholder withdraws funds from their account, e.g. from an ATM. The term Cash Advance may also be used, typically when the funds are advanced by a merchant rather than at an ATM.

    Deposit: where a cardholder deposits funds to their own account (typically at an ATM).

    Cashback: where a cardholder withdraws funds from their own account at the same time as making a purchase.

    Inter-account transfer: transferring funds between linked accounts belonging to the same cardholder)

    Payment: transferring funds to a third party account

    Inquiry: a transaction without financial impact, for instance balance inquiry, available funds inquiry, linked accounts inquiry, or request for a statement of recent transactions on the account.

    Administrative: this covers a variety of non-financial transactions including PIN change.

    Source(s): Personal knowledge. I also publish a finance blog : http://financialbasics.blogspot.com/
  • Anonymous
    1 decade ago

    Electronic funds transfer or EFT refers to the computer-based systems used to perform financial transactions electronically.

    The term is used for a number of different concepts:

    * cardholder-initiated transactions, where a cardholder makes use of a payment card

    * electronic payments by businesses, including salary payments

    * electronic check (or cheque) clearing

  • 1 decade ago

    Or "Exchange Traded Funds", like a mutual fund that can be traded through a brokerage account.

  • Anonymous
    1 decade ago

    electronic fund transfer. Funds come directly out of you bank account

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