Electronic Funds Transfer

An Electronic Funds Transfer (EFT) is the automated exchange of funds and information about the funds' application to a bank account. An EFT is one form of Electronic Commerce.

Businesses are adopting EFT to transmit payments and remittance data electronically as a cost effective alternative to check payments. Because of the increased usage by businesses, financial institutions are expanding capabilities to originate and receive financial EDI payments.

Most EFT transactions are conducted through the Automated Clearinghouse (ACH) system which was developed over thirty years ago as an alternative to the paper check system. This system is ideal for large volume, batch-processed payments. The ACH system supports numerous payment applications including direct deposit, consumer bill payment, Health Claim payments, and corporate trade transactions.

State Farm uses mainframe and PC-based computer systems to send payment to agents employees, medical providers, and vendors; retrieve premiums from policyholders; and transfer funds between affiliates/bank accounts.

Electronic Funds Transfer Forms

EFT Questionnaire for Health Care Providers (160 KB)
Authorization Agreement (313 KB)
Change Form for Health Care Providers (118 KB)

These forms can only be viewed using the Adobe Acrobat Reader. To download your free copy, click on the Get Adobe Acrobat Reader logo the left.