Your guide to accepting ACH payments

How Your Business Can Accept ACH Transfers

Consequently, ACH processing has become a trusted way for people and organizations to move money digitally. More recently however, banks have come to allow same day ACH payments or next-day ACH transfers that take only one to two business days. So as long as the electronic payments request is submitted before the cutoff for the day, it’s possible for the money to be received within 24 hours. Finally, they’re a lot less expensive than using paper checks or paying credit card fees—even before you consider the tremendous hidden costs involved in manual systems.

NSF and chargeback fees can quickly ding your bottom line, so you’ll need to look at your ACH account statement regularly to make sure they’re not occurring too often. You don’t need to convert every sale to an ACH transaction, but where appropriate, consider the following options. In addition to geographic restrictions, there are a couple of other considerations to keep in mind relating to your customer base and types of sales. Dock David Treece is a contributor who has written extensively about business finance, including SBA loans and alternative lending. He previously worked as a financial advisor and registered investment advisor, as well as served on the FINRA Small Firm Advisory Board.

Faster Payouts

Even if you already have a merchant account for credit card sales, you’ll have to set up a separate account for ACH payments. This should not be an onerous amount of work to keep track of, but it is another financial asset you’ll have to monitor.

This is good for consumers as well, who benefit through savings passed on from businesses in the form of discounts, bonuses, and rewards. Other businesses can create their own rewards programs—similar to Drop—that benefit their users, boost brand loyalty, and promote customers to make the switch to ACH payments. For frequent shoppers, the minimal amount paid out via a one-time bonus should yield a high ROI, as the merchant’s savings per transaction accumulates over time.

Best Emergency Business Loan Options For Your Small Business

Processing ACH payments should be a smooth, seamless process, and it should also be easy to set up recurring purchases for your customers. Check ach transfer to see whether your ACH provider offers customer service support and other resources to help you in the early days of receiving ACH payments.

  • If you can’t accept ACH, read on to learn what you need to do to offer your customers this payment option.
  • That doesn’t mean you won’t need to put in a little effort — but don’t worry, it won’t be too hard.
  • The most common methods are through an ecommerce software, virtual terminal, or sales or CRM software like Salesforce.
  • We believe that the pros of ACH payment acceptance far outweigh the cons.
  • Today, ACH is pervasive in day-to-day operations for small business owners.
  • If you have a payment processor, then you don’t need an ACH account per-se.

With just a fast online application, we can get you set up and integrated within 48 hours. ACH payments experience less fraud than any other payment processing method. Your business involves recurring payments or subscriptions.Accepting ACH payments means your customers don’t have to remember to dig out their wallets every month. With HubSpot payments, you pay 0.5% of the transaction amount, with a cap of $10 per transaction. There are no monthly fees, setup costs, or hidden charges, so you only ever pay for the service when you need it.

Should you accept ACH payments for your business?

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