Which of the following is a benefit of using electronic funds transfer (EFT)?

Which of the following is a benefit of using electronic funds transfer (EFT)?

• A. Higher transaction fees
• B. Slower processing times
• C. Reduced errors
• D. Manual handling of transactions

Answer: (C)

Using electronic funds transfer (EFT) offers the significant benefit of reduced errors. This is because EFT systems are designed to automate the transfer of funds, minimizing the manual input of data that often leads to mistakes. With EFT, transactions are processed electronically, which decreases the likelihood of human error associated with manual handling, such as data entry mistakes or miscommunication. Additionally, EFT provides a standardized format for transactions, which can improve consistency and accuracy across financial processes. By automating and streamlining the transaction process, organizations can enhance the integrity of their financial operations, ultimately leading to quicker reconciliation, better tracking, and more reliable record-keeping.

Using electronic funds transfer (EFT) offers the significant benefit of reduced errors. This is because EFT systems are designed to automate the transfer of funds, minimizing the manual input of data that often leads to mistakes. With EFT, transactions are processed electronically, which decreases the likelihood of human error associated with manual handling, such as data entry mistakes or miscommunication.

Additionally, EFT provides a standardized format for transactions, which can improve consistency and accuracy across financial processes. By automating and streamlining the transaction process, organizations can enhance the integrity of their financial operations, ultimately leading to quicker reconciliation, better tracking, and more reliable record-keeping.