Some companies have customers send payments directly to a post office box address maintained by a bank. This is called a(n) ________ system.
A) direct deposit
B) funds transfer
C) lockbox
D) interbank transfer

Question

Quizplus · Accepted Answer

A lockbox system is when a company has their customers send payments directly to a post office box address maintained by a bank. The bank collects the payments and deposits them into the company's account. The other options, direct deposit and interbank transfer, would involve the customer initiating a transfer of funds from their own account to the company's account, which is not how a lockbox system works. Transfer funds could refer to both direct deposit and interbank transfers.

Some Companies Have Customers Send Payments Directly to a Post