Posted by NationalACH on Nov 06, 2010
Pricing for ACH accounts

What is ACH Processing?

ACH processing lets you automatically debit payments from buyers’ checking or savings accounts. Funds are then electronically deposited to your business bank account.  

ACH payments capture sales from shoppers who do not have cards, are maxed out on cards, or who simply prefer to pay using ACH direct debit.

ACH Lower than Card Rates

There are two elements in determining the pricing structure for ACH accounts.  First is the classification of the transaction.   Secondly, your type of business, including the product and service being sold.

Classification of  transactions is based the way in which consumer authorization is received.   Written authorizations received from customers to direct debit bank accounts are considered low risk transactions and have correspondingly low rates.

For example, most people have written authorizations for direct debit for car payments, insurance premiums, rent or mortgage payments.  It is unlikely that a consumer will revoke such transactions.  Rates for written authorizations are generally priced at a flat rate per transaction, based on the number of transactions processed each month.  Rates range from 50-75 cents per transaction.

ACH payments to accept checks online or check by phone orders online or by phone without written authorizations carry higher risk since there is no written authorization in place.  Rates for these types of transactions are often higher than for written authorization, but this is not always the case.

For example, for customers paying rent, household bills, school payments, subscriptions, memberships etc, rates are often still have flat rates.  These types of payments, whether made online, by phone, or by written authorization, are seldom revoked by consumers.

Businesses selling goods or services online or by phone have a different rate structure. The determining factors are the types of goods and services being sold, the cost of the item and the industry classification of the merchant. 

Standard risk accounts will have a nominal discount rate plus a transaction fee.  High risk merchants have higher discount rates than standard risk accounts.  


Regardless of rate structure, ACH processing always will cost you far less than credit card processing.  You can save 50-80% for ACH transactions compared to rates for the same transactions processed with credit cards.

Interested in reducing processing expenses with an ACH payments?