Features - Accept Payments

ACH Payment

ACH Payment Processing
Collect directly from a bank account

Save money on processing fees

PaySimple ACH payments only cost a flat $0.55 compared to the $1.22 it can typically cost to process a paper check, making it a cheaper alternative to debit or credit card transactions.

This is from the use of a flat fee instead of charging a percentage of the transaction. For larger payments, your savings are further increased and as you have more customers, those fees can add up!

For example, on a $500 transaction and a $1,000 transaction, the cost to process each ACH payment would still only cost you $0.55.

With ACH payments you can:

  • Cut down on processing costs for all payment types
  • Eliminate time-wasting trips to the bank by converting paper checks to an ACH transfer
  • Improve cash flow and receive payments quickly
ACH payments are a flat $0.55 compared to paper checks which can cost more.
ACH provides flexible payment options for you and your customers.

Provide flexible payment options

ACH payments are perfect for subscriptions, memberships, and other recurring payments.

You'll only have to accept payment information once before using a schedule to automatically collect funds in the future.

You'll love getting paid on time and your customers will appreciate how simple making payments can be. They give you their information once, and there's no more searching for their checkbooks or remembering it's time to pay a monthly bill.

ACH payments give you:

  • An alternative to debit or credit card payments with direct debit
  • Better customer service with more flexible payment options
  • The ability to accept payments over the phone, online, or in person

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Prevent fraud with ACH payments

ACH payment processing keeps you and your customers safe through secure systems that encrypt all payments.

Once account information is entered, only computers process it moving forward. This reduces the risk of prying eyes or a paper check being left in an unsecure area.

ACH payments are also automatically tracked back to your customer records. With no manual reconciliation, your records will be less error-prone and customer information will be securely stored for future payments.

ACH payment processing maintains security by:

  • Providing NSF or failed payment notifications with 2-3 days
  • Giving you real-time transaction status updates
  • Creating less touch points during processing
Keep customer payment information secure by using ACH payments and minimize the touch points during processing.

What does ACH stand for?

ACH stands for Automated Clearing House and is a centralized electronic funds transfer system that connects financial organizations nationwide. Billions of transactions are processed each year through the ACH network and it supports more than 20% of all electronic payments in the US.

ACH payments processed through the PaySimple system are processed using this secure, highly-reliable network, and it is also the same network used by federal bank and government institutions to securely transfer funds. The Federal Reserve acts as an ACH Operator through which banks transmit or receive ACH entries.

How does ACH work?

Put simply, the ACH network moves money from one bank account to another – electronically. Below is a detailed illustration showing what happens when your customers pay using ACH. An ACH payment works by electronicaly moving money from a customer's bank account to yours through a centralized transfer system.

1. As the originator you would initiate a direct deposit or direct payment transaction through PaySimple using the ACH network.

  • The Originator can be any individual, corporation or other entity that initiates entries into the Automated Clearing House Network.

2. The ODFI (Originating Depository Financial Institution) enters the ACH entry at the request of the originator and batches these entries to then send to an ACH operator at regular intervals.

  • The Originating Depository Financial Institution (ODFI) is a participating financial institution that originates ACH entries at the request of and by (ODFI) agreement with its customers. ODFI's must abide by the provisions of the NACHA Operating Rules and Guidelines.

3. ACH transactions are sorted and made available by the ACH operator to the RDFI (Receiving Depository Financial Institution).

  • The Receiving Depository Financial Institution (RDFI) is any financial institution qualified to receive ACH entries that agrees to abide by the NACHA Operating Rules and Guidelines.

4. Your customer's account, the receiver, is debited by the RDFI and funds are distributed to your bank.

  • The Receiver can be any individual, corporation or other entity that has authorized an Originator to initiate a credit or debit entry to a transaction account held at an RDFI.

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