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When making a purchase with e-cash, the user transmits the relevant amount of tokens to the merchant who relays them to the bank for verification and redemption. Since e-cash is not a physical object, a complex series of serial numbers are used to assure that each e-cash "coin" can only be spent once. Users seeking privacy in their transactions can not use credit cards as they are highly traceable. E-cash however, can be made to behave like regular cash through the use of blind signatures which allows banks to check the tokens are valid but prevents them from matching the tokens to the person they issued them to.

Other advantages of e-cash are the relatively low transaction costs and the fact that it can be divided into smaller denominations than are used in the real world. This makes it suitable for use in low value transactions such as paying for a stock quote or news article. These small denomination tokens are known as microcash and transactions with them are called microtransactions or micropayments.

The major disadvantages to e-cash is that there are currently very few banks that issue it or Web stores that accept it.

Electronic Checking
In virtually all aspects an electronic check has the same features as a paper cheque. Indeed, in its simplest form some systems merely require the customer to fill out a form in the Web store. This data is then transferred to the merchant where it is converted in to a paper cheque by using blank cheque forms in a standard office printer; the check is then submitted to a bank for payment as normal.

A further level of security can be obtained by utilising third parties who provide additional services such as verification.

The Redi-Check system allows customers to enter their checking account information at a secure site - they need never repeat this information to any Internet merchant - and then chooses a unique user name and password. A customer wishing to make a purchase from a participating Web store simply completes the merchant's online order form. The order information is then submitted to Redi-Check's secure server where it is verified.

The CyberCash PayNow system is basically an extension of their credit card wallet. After users register for the PayNow service, their checking account(s) information is electronically stored in an encrypted format in their wallets. When making a purchase at a participating Web store, the customer elects to use the PayNow system and enters a pre-assigned user ID and password to review their billing information. The user then clicks on a "pay button" to pay the entire amount of the balance due, or enters the amount he or she wishes to pay. The CyberCash Wallet opens and prompts the user for a Wallet password. The user enters the password, selects a payment instrument, and confirms payment.

Other Payment methods
Commerce on the Web is still in its infancy, and many customers will wish to use more traditional payment methods. You therefore need to ensure you are able to accept payment in as many ways as possible, for example credit cards via the telephone or COD.