Attention Merchants! At Payleap, we insist that you have a business checking account to make and receive payments, and your bank must allow this account to be credited and debited via ACH methods. But what is the ACH? And what are the ACH credit and debit processes? The benefits? Let’s investigate.

The ACH or Automated Clearing House network is a government-enforced, nation-wide electronic funds transfer (EFT) system that is used by major financial institutions, government organizations, businesses and individuals in the United States. It allows participating financial institutions to distribute electronic credit and debit entries to bank accounts and to settle such entries (source). It is regulated by the NACHA, The Electronic Payments Association and the Federal Reserve. This type of electronic payment has gained wide popularity because it is a money-saving alternative to credit and debit cards, and paper checks.

The ACH debit/credit system is a convenient, quick and secure way to make or receive an online payment. According to ElectronicPayments.org, it costs a business approximately $1.22 to process a paper check. By using Payleap, the cost of a transaction is merely $.0.30. Having an ACH business account paired with Payleap’s progressive services will not only save you money, it will keep you from tiresome bank visits. Billing and collection routines will be ultimately shortened, and customers will be able to decide between making a payment online, by phone or in person. Options equal happier customers!

Almost every United States bank and credit union is a member of the Automated Clearing House. So, chances are your account is already an ACH checking account, and an invaluable, smart relationship with Payleap is at your fingertips.

Tags: ACH, automated clearing house, making online payments, Online Payment Processing, receiving online payments