Send and Accept Verified ACH Payments Online

To accept ACH (Automated Clearing House) payments online, follow these four steps:

The first step is to set up a merchant account with a bank or payment processor, like Paynote, that supports ACH transactions

Collect the customer information you need to process ACH payments. This usually includes the customer’s name, bank account and routing number, and address. You’ll also need authorization to debit the customer’s account.

Next, choose the ACH processing method that suits your needs. Here are a few of the most common:

• Virtual Terminal: Virtual terminals allow you to enter customer payment manually into an online interface - like our proprietary Paynote Portal.
• Payment Gateway: A payment gateway integrates directly with your online store or website, allowing customers to make ACH payments through your site. It’s easy, efficient, and convenient.
• API Integration: If you feel more comfortable with more advanced integration, you can connect an ACH payment API (like our Paynote API) to your website or application.

Finally, follow the provided instructions on your chosen ACH payment method. These instructions will allow you to integrate the ACH solution into your website or system and start accepting ACH payments online.

If you want to accept ACH payments, you need a merchant account or an account with a payment processor that supports ACH transactions.

These accounts are provided and supported by banks or third-party processors, like Paynote, which may enforce their own eligibility requirements and restrictions - depending on the provider you choose.

While individuals and businesses can usually set up ACH payment acceptance systems, it’s important to note that the significant requirements vary.

Some payment processors, for example, require a particular duration of business history or a specific level of creditworthiness or transaction volume before they allow you to start accepting ACH payments.

To set up ACH payments on your website, follow these seven steps:

• Choose an ACH payment processor
• Create an account with your ACH payment processor of choice
• Obtain API Credentials
• Customize the payment experience through your payment processor
• Test the integration
• Double-check (and test) security and compliance features
• Provide customer support

In addition to the steps above, remember to review and comply with all legal and regulatory requirements associated with receiving ACH payments in your jurisdiction.

While the steps above are a general guideline, it’s important to note that specific steps may vary depending on the website platform you’re using and the ACH payment processor you’ve chosen to integrate.

As such, we recommend consulting your payment processor's documentation and support resources since these documents will provide more detailed integration instructions tailored to their services.

There’s no one-size-fits-all rule for how much ACH payments cost. In fact, the cost changes depending on variables like which payment processor you’re using, which merchant service provider you choose, and your specific business needs. 

Here are some common variables to consider:

• Transaction Fees. ACH transaction fees tend to be lower than credit card transaction fees. In most cases, they range from a few cents to a small percentage of the total transaction amount. Some providers charge a flat fee per transaction, while others provide tiered pricing based on total transaction volume.
• Monthly Fees. Some payment processors charge a monthly fee to cover access to their ACH payment services. This fee varies based on the provider and the features the provider is offering. Suppose you’re working with a platform that charges monthly fees. In that case, we recommend evaluating the fee carefully and considering whether it’s cost-effective (based on your transaction volume) in the long term.
• Setup or Integration Fees. Some providers charge one-time setup integration fees to cover the costs of onboarding a new account and integrating the ACH payment solution into your systems or website. That said, not all providers charge a setup fee, so we recommend comparing your options carefully.
• Return or NSF Fees. If an ACH transaction is returned because of insufficient funds or other reasons, the return may involve associated fees. These fees can vary depending on the provider. However, the provider usually passes those fees along to the merchant.

Whenever you’re evaluating ACH payment software, it’s critical to research and compare pricing structures and fee schedules to find the payment processor that best suits your business needs. Consider factors such as transaction volume, average transaction size, and other specific requirements you or your business may have. 

The terms ACH Payment (Automated Clearing House Payment) and EFT Payment (Electronic Funds Transfer Payment) are often used interchangeably. What most people don’t know is that they are not the same thing.

Here’s a quick breakdown of the differences between the two:

• ACH Payments. ACH payments are electronic funds transfers that pass through the US’s Automated Clearing House network. All ACH payments involve the transfer of funds between bank accounts. Today, people use ACH payments for various transactions, including direct deposits, bill payments, and B2B payments. ACH payments are most popular for domestic transactions within the United States and are subject to the rules and regulations outlined by the National Automated Clearing House Association (NACHA).
• EFT Payments. Electronic Funds Transfer (EFT) is a broader umbrella term than ACH. EFT encompasses various kinds of electronic methods, including ACH payments. Think of it this way: all ACH payments are EFTs, but not all EFTs are ACH payments. While ACH refers specifically to the Automated Clearing House Network, EFT refers to the electronic transfer of funds between financial institutions or bank accounts. EFTs can be either domestic or international transactions and may be conducted through different networks and systems, including the ACH network, wire transfers, card networks (like Visa or Mastercard), or other electronic payment systems.

To sum it all up, the term ACH payments refers to a specific type of EFT payment that utilizes the ACH network in the United States. The term EFT payments, on the other hand, refers to a much wider range of electronic funds transfers, including but not limited to ACH. EFTs can be conducted domestically and internationally through various electronic payment networks and systems.