You’ve setup a website and now you would like to accept payments via check. However, there are a few things you’ll want to know about accepting ACH payments. Before you do anything else, make sure you read the rest of this article. It will discuss a few important things you should know.
How Do You Accept ACH Payments
One of the first things you should know is how to actually accept ACH payments, especially online. There’s two ways you can go about it, you can use a merchant account provider or a different entity altogether, such as a standalone ACH processor or a bank. There are many providers that allow you to accept ACH payments, so make sure you research a few payment processors that allow you to accept ACH payments.
If a payment processors accepts ACH payments, then they will mention it. Usually they refer to this as accepting e-checks. Note, different processors charge different fees in regards to processing ACH payments.
How Are Payments Processed
Your business can process ACH payments in a few ways. There are pros and cons of each way. With that said, the three main ways to do it include:
1. Check Scanner- This allows you to make ACH transactions digital. The way this works is you scan the check in the scanner and then the check is remotely deposited. You do need a ACH processing account to do this.
2. Virtual Terminal- This method involves keyed-entries. You type in payment information from your computer, and this is how you process the payment. This method is ideal for order taken over the telephone or for mail order payments.
3. Website Payments- Payment processors such as PayPal allow you to accept ACH payments. Different online payment processors charges different fees. Therefore you want to compare online payment processors before deciding which one you should use to accept ACH payments.
Another thing you should know about is the processing times. Different services and methods will have different schedules in terms of being paid. Do take note that it can take a bit of time before you are finally paid and have the money in your account.
Generally speaking, it’s longer to get paid via an ACH payment than it is for a credit card payment. You can expect to be paid within 3-5 days after accepting ACH as a payment. However, it could take longer than that, but there are case where it will be less than that. If you are patient and don’t mind waiting a few days before you’re paid, then this probably doesn’t bother you much, otherwise you should think twice about accepting this form of payment. Contact us for more information
Accepting ACH payments is something all businesses should do, including small and medium-sized businesses. There are many people who prefer to pay by checks, therefore it makes sense to offer it as a way to pay. With that said, all you have to do now is find and choose a payment processor that accepts ACH payments. For know more detail The southern institute will guide you.