5 Benefits of using ACH Transfers for your Business

Automated Clearing House (ACH) solutions are a key part of the business. With ACH payments, you can debit or credit directly to your customer’s bank account without using a check or other old payment options. This payment method can save you and your customers time and money and, at the same time, improve security and convenience. Let’s have a look at what ACH is.

What is ACH?

This electronic network allows funds to be moved directly between two bank accounts using ACH (“Automated Clearing House”). NACHA (“The National Automated Clearing House Association”) has experienced tremendous growth since its founding in 1974. 26.8 billion ACH transactions were processed in 2020, amounting to $61.9 trillion. An account transfer system through an employer is the most common example of an ACH payment.

Here are five benefits of using ACH payment to increase customer satisfaction.

Five Benefits of Using ACH payment

1.Reduce Cost

ACH processing actually reduces the cost, especially for developing companies. Credit card fees are usually 2.5 to 3.5% of the transaction amount, which is quickly cumulative. The cost of the business check is estimated to be between $4 and $20, taking into account the time employees spend creating, mailing, and matching checks. On the other hand, ACH processing fees are typically less than one dollar per transaction. As your business grows and the number of transactions increases, the savings from ACH can significantly reduce overhead.

2. Faster and Easier to Handle

Electronic payments such as transfers of ACH can be processed more quickly and efficiently than traditional payment methods by check. Unlike checks, ACH transfers allow you to:

• Be free of time constraints on mailing a check
• Free from loss
• Not require any kind of manual entry

3. Better Cash Flow Managing

ACH payments allow for better management of funds and more stable cash flow both in receiving and remitting funds. With ACH payments, you can receive money directly from your customer’s bank account, so you don’t have to worry about when you’ll receive your check. If you use ACH payment to pay a supplier or vendor, you can schedule your payments to be processed on the payment date and keep your funds in your account as long as possible. In both cases, you can maximize value, decrease the uncertainty, and simplify the accounts payable and receivable functions.

4. Remotely Payments

Credit cards can also be paid online or by phone, but ACH is a convenient alternative for customers who do not want to share or do not have credit card information. So, in this case, ACH is the best option to pay.

5. Save Time And Reduce Manual Errors

With ACH payments, paper checks are eliminated, so you don’t have to go to the bank and then save your time. Thus, employees can spend their valuable time on other essential tasks. Additionally, ACH checks can be processed faster. By digitizing the payments via ACH, it is possible to reduce manual errors and the time it takes to correct them.

Let’s Start with Metaprise!

Because many small businesses are vendors, Metaprise also provides a simple and free payment link, allowing customers in your business to pay at ACH without revealing the banking information of your business. In addition, Metaprise provides an easy way to receive and send ACH payments to users such as companies, freelancers, and experts.

Final Words

ACH payments provide both sender and receiver with the opportunity to save time, reduce costs and leverage the convenience of e-payments. You should consider implementing ACH Payments for the benefit of both yourself and your customers based on these five benefits mentioned above.