Category Archives: ACH Payment Processing

ACH Transfer| How They Processed and Work?

ACH transactions are computerized payments that provides benefits to customers and merchants in an inexpensive way. It is controlled by an automated clearing house network, funds are transferred directly from on bank account to another. This type of payment are automated or recordkeeping and offers an easy way of the electronic payment system. ACH payments are the most popular form of payment transfer method for many businesses that they can offer to their consumer, as it cost low transaction fees and convey predictable processing timelines.

Every year more than 25 billion ACH Transactions are been processed by the ACH network. Radiant pay facilitates ACH and Check Processing, stat testing the system with radiantay.com to know the better language of ACH Payments.

Now! How Does This ACH Network Work? Let Us Explain

Many business entities pay wages through direct deposit or let us say consumers pay bills electronically, nowhere ACH payments are responsible for those payments.

Some Takeaway of ACH Payments

  • It is an electronic bank transfer that is processed through the Automated Clearing House Network.
  • ACH Payments are most commonly used for employers to pay the payrolls directly into the bank accounts.
  • ACH transfers are inexpensive, quick, secure, and fast.
  • It is easy to keep the record of income and expenses with every transfer, however the bank creates an electronic record of ACH transfer.

Types of ACH Transfer

Gone those days when you have to walk-in for bill payments or wait for a check to clear, ACH transfer make life easier for consumer and merchants. One can conveniently transfer or receive the amount just sitting at home. ACH Network Processes two kinds of transaction i.e.

Direct Deposit

Direct Payments

Direct Deposit is a kind of electronic payment made from a business entity to the consumer. It includes:

Pay checks
Tax Refund
Interest Payments
Government Benefits
Annuity Payments

ACH Direct Payments can be used by single persons, businesses, and other entities to send money. For e.g, if you’re recharging your DTH Plan online with your bank account, that’s an ACH direct deposit.

ACH Processing for Ecommerce Business

ACH Processing for Ecommerce Business

The term ACH Processing offers great value to your business it gives you a reduction in processing fees that dramatically increase your sales. The establishment of ACH has gained huge popularity and helped many businesses to increase the revenues by setting up the recurring payments option for their valued customers.

Many business enterprises are using ACH Processing to process online payment for their e-commerce businesses. It has gained huge value in eCommerce as it accepts payment directly via a business website rather than accepting debit and credit cards. For the last few years, ACH Payment processing becomes the most valued and popular form of a method for accepting and making payments online. The method is very affordable and reliable for small businesses that are suffering from heavy processing fees, the best form of online payment that helps to save the transaction cost. 

ACH processing offers many benefits over the other payment option like discount rates, lower chargebacks, flexible and easy service, zero reserves, recurring billing and also offer hassle-free solutions. The processing services is known best for its saving on transaction fees, a merchant can improve the sales by 20% as it serves to all types of customers who do not own a credit card and unable to pay for the purchase of products and services, helping your company convert a significant amount of customers. 

Some Features of ACH Processing Includes –

  • Direct Deposit 
  • Electronic Fund Transfer 
  • Tax Saving 
  • Direct Payments 
  • Bill payments 
  • Local, state and federal tax payments 
  • B2B Payments 

ACH Networks allows you to transfer fund electronically into individual or company account. The ACH processing options help merchants and customers to provide better cash management capabilities to all who use it, thereby offering better and visible ACH transactions. Due to its consistent and secure method, the processing is highly safe and secure and there have not been any reports of missing funds or fraudulent activity in the history of ACH. 

Radiant Pay Offer Safe and Secure ACH and Real-Time Processing.

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How ACH and Check Processing Beneficial for Online E-commerce Store

ACH Payment Processing for E-commerceAlmost every potential customers have credit and debit cards in their pockets and many who do not owns both. ACH and electronic check processing offers you varieties of payment options and gives you the ability to augment your credit card payments by offering the same convenience to this large and underserved market—for less than half the cost of credit card processing.

Some Effective Benefits of ACH Payments


Effectual than traditional checks –
choosing the ACH payments is faster and secure than just to wait for a check to clear. Electronic check acceptance is higher security and priority than paper checks. Easy and fast clearing helps your cash flow.

Alternative Payment Options – E-Check processing offers varieties of payment options as best possible. Of course cards payments diversify the traditional payment acceptance but ACH Payments give customers without cards. It simply prefers to pay with bank debit card an alternative to cards.

Cost Effective – ACH payments are cheaper than normal card processing. Small and standard merchant’s flat rates can apply. For high-risk merchants, ACH payment processing rates are always less than cards.

High-Level Security – ACH Payment method is the most advanced and secure method of electronic fund transfer in the world. Millions of business, consumers, financial services, and government agencies use the ACH network to receive and send payments.

Modernized E-business with Electronic Check Processing

electronic-check-processingThe modernized world demands fast, easy, secure and convenient services in different industry sector. And yes, this modern payment technology enables many people to enjoy the benefits of easy, fast and secure payments.

The emerge of electronic check processing given huge advantages in the payment industry, turned paper work into electronic transfer. Electronic check processing also known as e-checks and became an essential part of modern businesses.

How can you Modernized Business by E-checks?

E-checks are classifieds as the most valuable and modern types of payment transfer system for hassle free and low cost method of getting paid quicker. E-payment helps merchants to settle transaction and meet the payment processing needs without obstacles. The e-checks started over traditional checks given comprehensive range of services.

Electronic check processing enables merchants to transfer funds electronically from one bank account to another. Electronic check processing use Federal Reserve Bank’s ACH to transfer funds. The merchants enjoy speedy deposit without wasting valuable time. The service provides benefit like minimize the risk of check stolen or lost.

Check processing solutions increase revenue, reduce overheads cost and time consuming process to transact funds from one account to another. The merchants able to give valuable time to material things in planning, pricing and quality of product and services.

Benefits of E-check Processing                      

Eliminates the daily trips to bank for deposits and payment transaction.

Reduce the time to have funds from checks deposited into a bank account.

Reduces the chances of check stolen, lost and bad checks

ACH transfer is less expensive and can be done in batches

 

Wire or ACH? Which Payment Transfer You Will Choose?

ACH and Wire Transfer Payments
Online Safe and Secure Money Transfer Services

Banks use Automated Clearing House to Transfer Funds Electronically from one bank to another in safe and secure way. In these digital economy people and business firms would like to receive payments through direct deposit. As they find more convenient these method rather than using checks. This electronic transfer of money from one place to another is called ACH OR Automated Clearing House. Whereas wire transfer allows you to move your money from your account directly into the account of someone else.

Let’s Checkout the Difference between ACH and Wire Transfer

ACH Transfer – The electronic transfer of funds from bank account to another. Payment transfer is not occurring on real time the transaction is settled on future date.  Transactions are entered with a date to settle which is normally the next day.  Payments are transferred by your banks in groups or batches along with all their other customer’s scheduled payments, usually at the end of the business day. ACH Transfer is less expensive and can be done on batches. ACH cost banks $0.035 per transaction or $0.025 per transaction in bulk. ACH Transfer is given to customers in between $0.10 and $2.50, depending on volume. ACH by definition is meant to be automated, and meant to be delayed settlement, thus the lower cost associated.

Wire Transfer – It is similar to ACH Payments but have some few differences. Wire transfer perform task on real time and cannot be done on batches, performed manually. Wire transfer is more expensive than ACH Transfer. When an individual make wire transfer, both account holders are verified with the exact money in the account. Wire transfers are fast and secure; and since they’re handled individually by the banks.

Transferring funds, either by ACH or wire, is generally safe when using a financial institution. However, if your computer has become infected with malicious software (malware), cybercriminals can steal usernames and passwords and defeat common methods of user authentication employed by financial institutions.