Electronic Funds Transfer (EFT) is an electronic payment system used to transfer money between financial institutions and other organizations. The purpose of EFT is to facilitate the efficient exchange of funds, reduce paperwork associated with manual payments, and provide a more secure payment method than traditional cheques or cash transactions. EFT utilizes technology such as Automated Clearing House (ACH), Electronic Data Interchange (EDI), and bank-to-bank transfers to make secure payments quickly and accurately. EFTs are commonly used for online purchases, direct deposits, bill payment services, and cash management systems.