Electronic transfers are run through the Automated Clearing House or ACH network. Transactions can be transferred between company accounts, to employees, or from consumers. The service can be rewarding for your business since many types of ACH transactions exist. Payments can be initiated online, at a company location, or through a traditional bank. The electronic transfer is sent to the originating bank for verification and then travels across the network to your financial institution. Consumer funds are moved into your bank account by the processing provider. The transactions can be in the form of a transfer, debit, payment, or online purchase. You can use these processing choices to pay employees, allow consumers to make purchases, or to pay other businesses.
When You Accept Online Payments: Why Are ACH Services a Good Customer Option?
ACH transfers move money between accounts by verifying availability, removing the funds from the originator, and placing the money into a destination account. Once this type of payment is set up, it does not require any additional steps. Debits and payments are both forms of ACH. A debit can be any purchase or scheduled reimbursement made by a consumer. It allows funds to be withdrawn from the account automatically without any further action. Payments can include automated bill pay, payroll, and memberships. They may be initiated by a company or consumer and allow a specific amount of funds to be deposited into an account on a set date.
To accept online payments from your customers, you must have at least one method of compensation available. You will receive more business if customers are allowed to pay by credit, debit, or ACH. Internet processing allows your business to move bank funds by using a third party merchant service provider instead of being limited to going directly through a financial institution. Not every customer will have a credit card present for making an online purchase. You have to provide them the option of drafting funds from their bank account in some manner to ensure you are not turning business away. Most card processing services can be set up to accept online payments in the form of debits and credits. Processors have the ability to interact with any bank by communicating over the ACH network for purchases or payments.
ACH transactions are secure, convenient, eliminate paperwork, and remove the need to run to the bank every day. They can be used to pay your staff, facilitate online business, or to make processing regular consumer payments easier. This simple process begins by creating a transaction in to the provided terminal. The transaction is then transferred to the Federal Reserve to complete authorization. A cleared payment will be deposited into your merchant account in an average of three business days. AVPS offers multiple electronic check solutions at an affordable rate. You can make use of our services to convert paper checks, take direct debits, perform payroll, or even to accept checks online. We supply advanced processing options to meet the growing needs of your business. Call us today to begin taking advantage of our many ACH processing services.