The Michigan Liquor Control Commission recently issued administrative order no. 2023-01, which requires all wholesale beer and wine deliveries to retailers to be paid by electronic funds transfers (EFT). According to a Fintech blog post written by Wendy Turk, director of regulatory affairs, the requirement will go into effect on March 31, 2023, following a similar mandate from 2021 requiring that all wholesale spirits deliveries be paid by EFT. With this change, there is now a more uniform and modern process for buying beer and wine in Michigan.
The blog also stated that the Commission believes EFT payments help ensure the safety of delivery drivers and other personnel responsible for transactions. There is no longer a need for drivers to carry cash and be exposed to potential harm. In the administrative order, the Commission noted that EFT payments help speed up the delivery process, as there is less time needed to count payments at the time of delivery. This benefits both the wholesaler and the retailer. Using EFT payments for alcohol deliveries means that a check signer doesn’t have to be available when the delivery arrives.
Included in the order are these additional clarifications:
- The wholesaler licensee must initiate the EFT payment.
- The EFT payment transmittal to the banking institution must occur no later than the next banking business day.
- A single EFT payment may be made to a wholesaler licensee making deliveries to multiple locations of a chain retailer on the same business day.
Wholesaler licensees are responsible for selecting a third-party payment processing company to facilitate EFT payments. Luckily for Michigan retailers, Fintech is a trusted and established EFT payment processor with a strong footprint in the state.
Fintech customers can log in to their accounts to add their beer and wine distributors.
For over 30 years, Fintech has led the charge to revolutionize operational efficiencies across the beverage alcohol industry.
