You might have heard about ACH many times but if you still don’t use it as one of the payment methods at your coworking space, it means you miss some details. ACH can benefit invoicing at your coworking space in many ways—including reducing costs, automating payments and more. In this blog post, we'll go over what ACH is and how your business can take advantage of it.
ACH stands for Automated Clearing House. It is a system used by financial institutions in the United States to process electronic payments. The ACH is administered by the National Automated Clearing House Association (NACHA), a not-for-profit association representing virtually all U.S. financial institutions.
ACH transactions are frequently referred to as eChecks, direct deposit, direct debit, automatic withdrawal, and more.
ACH processes large volumes of credit and debit transactions very quickly. This makes it an efficient way to move money between accounts. ACH transactions are often used by:
Bank of America, Chase, Citi, Wells Fargo, US Bank, PNC, etc. ACH is a very popular payment processing method, so pretty much every bank in the US uses it.
If you need to send or receive money electronically, chances are your bank will use ACH to process those transactions. If you don’t see your bank on the list, just confirm that they participate in the ACH network.
ACH network was originally built for the US but is also accepted in Canada and a number of European countries.
There are two types of ACH payments: ACH credit and ACH debit.
ACH is one of the most secure payment methods available. It's been used for years by businesses and consumers to make payments online. ACH payments are processed through the Automated Clearing House network, which is a reliable system used by banks to transfer funds electronically. So you can rest assured that your ACH payments are safe and protected.
Though, as no system is infallible, it's always important to take measures to protect your information. Make sure you use a strong password and keep your computer security software up-to-date.
It depends on the financial institution. Some banks process ACH payments immediately, while others may take a few days. However, most ACH payments are processed within 48 hours.
Accepting ACH is advantageous for your coworking business in many ways including the following.
Even the sun has spots, so there are a few drawbacks to ACH payments.
For andcards customers it is really easy to start accepting ACH payments. The platform’s powerful billing automation allows spaces to generate invoices and collect payments through bank cards such as Visa and Mastercard. When tenants move in, you just assign a membership plan and andcards takes care of invoices and payment collection.
In addition to cards, users can connect their bank accounts for payment settlement. The process of adding an account is as easy as adding a card. When the account is connected, you will be able to charge it in a click, just like you do with members’ cards.
The feature is free to use on andcards side. Unlike other coworking management systems, andcards doesn’t charge any commission from customers for connecting or using ACH direct debit payments. You pay only Stripe’s payment processing fees that depend on the country but stay really low compared to cards.
Not an andcards customer yet? Schedule a one-on-one demo with our product expert to see how the system matches your unique use case.