The applicability of the e-check system in the US banking sector has been discussed in the previous research, considering the emergence of the e-check system, what the system is and how it works, the advantages and benefits of such a system in terms of parties and differences from the paper check system. In this study, it is aimed to show difference of e-check system from other payment instruments. In the later part of the study, the technology required for the e-check system was first explained and then the bank card, the automatic clearing house, the banking transactions, the credit card and the secure electronic transaction systems and the e-check system were compared among the other payment systems. Before continuing to work, here are some definitions of the terms that are often used in narratives so that our explanations and the system can be better understood:
Public Key: The mathematical key is used as a link to the corresponding private key, and is widely used and accessible to the person who needs it. With e-check, each payee uses open keys to approve encrypted mail and digital signatures. In the US Treasury market, each payee has a copy of the open signing key of the American Treasury and the bank’s open encryption key. The US Treasury and its bank take a copy of the creditor’s public key in the registration process, which is part of the creditor’s software installation.
Payee Software: Payee software is the electronic version of the checkbook for the personal computer. The payee software can be started by pressing a icon and includes e-checks, receipts, and a reporting tool that helps the user track e-checks taken on the deposit. In the US Treasury market, creditor software includes records of returned and accepted e-checks and electronic receipts.
Smart Card: A smart card is a plastic card that carries information on the loaded amount, can perform some operations, can not be cheated, and carries a computer chip. In the US Treasury market, smart cards have been used to securely store the creditor’s private signing key, to store the electronic checkbook, and to create and confirm a digital signature. Smart cards anticipate high security with closed network memory and provide the security of the creditor’s private key. Endorsed
E-check (Endorsed eCheck): A withdrawn e-check is taken from the lender and is digitally signed for credit. In the US Treasury market, creditor e-checks have been accepted for sale using their private signing key.