That’s why the cashier will hand the paper check back to the customer after they run it through the check reader. The main difference is that an eCheck is a digital version of a paper check that’s predominantly used for one-time payments and no banking data is stored. The prices listed in our chart above give a good idea of what to expect—but always check with your specific payment processor for details. Dharma Merchant Services offers the option to integrate ACH.com, a dedicated ACH payments processor, on your dashboard. Some processors like Helcim will allow you to turn on ACH Payments with just a button or a toggle on your dashboard. There are others like Stripe that require more in-depth coding.

Nacha views ACH payments as secure because data is handled electronically and transactions pass through far fewer hands compared to paper checks. Plus, when it comes to payroll management, offering direct deposit through ACH can be a major benefit for your team. A QuickBooks survey found 75% of employees prefer to receive their pay via direct deposit. There’s no need to distribute and collect paper checks on payday when ACH funds are deposited directly into their checking accounts.

Nacha Launches New Campaign Highlighting the Many People Benefiting from Direct Deposit

You can then set the payment schedule as stipulated in your authorization form and receive ongoing ACH payments. In order to reduce payment delays and the risk of incurring NOC fees, it’s important to familiarize yourself with why, and to regularly monitor and address unresolved rejections. Here’s what you need to know about accepting ACH payments at your business.

The only difference would be costs, which are typically based on your provider and your processing volume. Small businesses would likely use standard or starter plans that included ACH payments, while large corporate businesses are most often on custom plans based on transaction volume. An ACH fee cap is a way to prevent ACH fees from going over a certain amount.

Incentivize Customers To Use ACH Payments

Additionally, if you plan to make ACH transfers through your savings account, there is a limit of six transactions per month. This rule is in accordance with Federal Reserve Board Regulation D. According to the Association for Financial Professionals, the median internal costs for sending and receiving ACH payments is $0.29 while external costs are around $0.27. Merchant Maverick’s ratings are editorial in nature, and are not aggregated from user reviews. Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services.

Authorize.net deposits the $200.00 into Dr. Brightsmile’s account. Authorize.net submits the $200.00 to Joe’s bank via the ACH network. Once the transaction is complete, Joe receives confirmation the bill has been paid. Joe authorizes Dr. accepting ach payments Brightsmile’s practice to pull the $200.00 from his checking account. We think businesses are as unique as the people who run them. Get individualized content on the topics you care about most by telling us a little more about yourself.

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If you’re just getting started with an online business, we encourage you to be open to accepting as many payment methods as you can. The more options you provide, the better you’ll reach customers. In this case, you’ll want to pick a provider with a good track record of serving businesses like yours, with competitive rates and, ideally, no long-term contract. When comparing different payment processing companies and applications to one another, we consider numerous data points. Each provider is judged on its own merits and how well it stacks up to industry standards; then it is weighed against the other providers on the list. Square is one of the most accessible ways for new businesses to accept credit cards and, as it turns out, ACH payments as well.