to pay over the Internet, writes Mairi Mallon Cheques and debit cards could be a thing of the past if Bermuda embraces its first Internet payment system.

Bermudians will now be able to pay bills, transfer money, settle shop accounts in shops and monies owed to individuals at the touch of a button.

Bermuda Financial Network, which currently runs the cheque validation service used on the Island called Easypay, has now launched an electronic payment service on the Internet.

The company hopes to tap in to a market which is potentially worth just under $1.5 million to the business.

"Both corporate customers and consumers can sign up for the service to pay their Bermuda bills or transfer money between their checking and savings accounts via instructions they give over the Internet,'' said Alvin Wilson, vice president and managing director of Bermuda Financial Network. "This is the first time this is available in Bermuda.'' Easypay will now allow customers to log on to their Internet accounts and either pay Visa, American Express or Master Card bills, settle bills directly with shops, transfer money between the two banks as well as paying sums of money directly into bank accounts.

The service, called Easypay and accessed through www.easypay.bm, costs $9.95 a month for an unlimited amount of transactions. Businesses can hook up for $19.95 a month, but will not be charged for customers using the system.

"It is a good gift for the merchant community,'' said Mr. Wilson. He explained that currently banks charge between 1.25 and 1.5 percent on each transaction on a debit card, and 2.5 to 5 percent on a credit card sale.

According to Mr. Wilson, the new system will mean that the retailer will not have to pay if the Internet is used to settle accounts.

He said:"For local businesses, Easypay is the most economical way of receiving payments. Easy pay is free to the entire local merchant community.'' And customers can avoid the $10 charge levied by banks as money is transferred from Bank of Bermuda to Bank of Butterfield or vice versa, according to Mr.

Wilson. And transfers can also be made to the local deposit companies.

The company hopes to tap the estimated 12,000 Internet users on the Island to bring millions. But Dal Tucker, president of Bermuda Financial Network said: "We would be glad to have 20 percent of that.'' The business is operating with eight employees, and all transactions will take place automatically. The company hopes it will avoid hackers by keeping the Internet service separate from its core business.

Mr. Tucker said: "We could have spent half a million on developing a system, but this way we provide for no electronic interference at all.'' He added: "With this system you can pay your laundry bill, rent, credit cards or pay money to a friend directly into their account.'' ends