EPayments Corp., a leading electronic payments processing and support services company, has announced the acquisition of Ypsilanti, Mich.-based CollectACheck.
The acquisition adds more than 1,000 clients to ePayment Corp's electronic check collection (RCK) business.
"This acquisition expands our ability to provide comprehensive check recovery services," said Paul Lufkin, CEO of ePayments Corp. "The move is also consistent with our efforts to further strengthen our position as the dominant provider of electronic payments and recovery services in the U.S."
Under terms of the agreement, CollectACheck will now be a division within ePayments' eCashFlow Systems' LLC subsidiary. Senior management will continue to be a part of ePayments' sales organization representing RCK and other services. Founded in 1996, CollectACheck's regional clients include Meineke Car Care Centers and Supercuts salons. Financial terms were not disclosed.
ePayments specializes in working with companies of all sizes who handle payments in the form of check and credit card transactions. Since U.S. banking system rules were changed to allow businesses to use the Automated Clearing House network (ACH) to electronically process checks from customers, a new industry of providers has emerged to support businesses with electronic check conversion and electronic NSF collection and related compliance services. ePayments Corp. has emerged as the leading provider of these services in an industry characterized by smaller, "mom-and-pop" operators.