Definition of EFT
An EFT is the electronic exchange or transfer of money from one account to another, either within a single financial institution or across multiple institutions initiated through electronic-based systems. The term includes, but is not limited to:
- Point-of-sale transfers
- Automated Teller Machine transfers (ATM)
- Direct deposits or withdrawal of funds
- Transfers initiated by telephone
- Transfers resulting from debit card transactions, whether or not initiated through an electronic terminal
- Transfer initiated through internet banking/bill pay