The Minneapolis payments technology provider Solutran Inc. said its automated clearing house software has won a major share of the developing market for back-office conversion.
The vendor said last week that its applications handled 34% of such transactions in the third quarter. Most of them were handled by its Spin product, which can be used without requiring merchants to purchase check-scanning gear.
The volume "comes from just a few national merchant pilots," said Barry Nordstrand, Solutran's president and chief executive. "The coming quarters will see significant growth as these merchants continue to rollout and new clients begin implementation."
According to Nacha, the electronic payments association, 840,743 back-office conversion payments were sent across the ACH networks in the third quarter. Back-office conversion, in which retailers convert paper checks into ACH files, is similar to other conversion formats, such as the widely-used accounts receivable conversion format that is used in billers' lockboxes.
