EBPP, the acronyms of Electronic Bill Presentment and Payment is a smart way of bill collection and its billing through internet and also describing of transaction detail on the web. It is also a form of E-commerce and being more popular because of its transparent process, its power and its quick response.
EBPP works in two different ways, one is direct and another is consolidated way. In the direct form of EBPP a company directly pays bills from its own website or any hosting website, there is no role of any third party in this form of EBPP. It is a directly one to one transaction e.g. paying all sort of debts, the users can pay their bills using their credit card company’s website that offers online payment of debtor’s account. For this they have to log on the company’s website and fill the process form for payment through credit card. The payment will be done via net banking that is already having an agreement with user’s company.
On the other hand, in the consolidated form, the third party plays a crucial role in collecting the bills and its payments. Usually the third party is a type of electronic collection agency that collects the bills from a group of companies and pays it from itself, after that it presents those bills before the individual customer for recovery of the bills. All the transaction is done through the website and internet. It is known as many-to-one relationship in which financial institutes offers online billing options for their customers. It is one of the examples of consolidated form of EBPP. For this kind of payment, the users have to just follow the website instruction for billing and users can pay all sort of bill whether phone boll, electricity bill, medical bills, mobile bills and all sorts of credit and debts.
The EBPP service provider website can provide both ways of EBPP service in the same time if the user has two credit cards. The bills are paid according to the rules and regulations of the service provider website depending upon customer and sort of bills. Besides these the website recalls the customers about their due payments via sending emails, which can be also used for traditional paper payments. Some website also provides an information option for downloading so the users can get a hard copy or can save it into theirs’ own PC as recipient copy.
So EBPP, an E-commerce process is very beneficial for both the companies, the clients and the service provider companies, because it saves time, money and energy.
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