What is electronic funds transfer primarily used for?

Electronic funds transfer (EFT) is primarily used for transferring funds electronically between accounts or entities. This method allows for quick and efficient movement of money without the need for physical checks or cash transactions. EFT systems facilitate various types of payments, such as direct deposits, wire transfers, and automated clearing house (ACH) transactions, making financial processes faster and often more secure compared to traditional payment methods.

This method significantly reduces the time and resources spent on manual processing, benefits businesses by improving cash flow, and provides a convenient means for individuals to manage payments. The other options describe functions that are either not related to the electronic movement of funds or pertain to manual processes, which do not capture the essence of what electronic funds transfer is designed to accomplish. Among those alternatives, issuing paper checks involves physical documents, handling patient billing disputes relates to customer service rather than payment transfer, and tracking patient payment history does not directly involve transferring funds.