Check By Phone

Check By Phone

Looking for a check by phone payment processor?  You’ve come to the right place.  NationalACH provides check by phone payment processing for all industries, including high risk merchants.

  • Low Rates. Contact us today for a free, no obligation rate comparison.
  • Fast Approvals. Speed time to market & get more sales quicker.
  • Quick Settlements. Get your money faster.
  • Unlimited Virtual Terminals. Securely enter check by phone orders safely and securely.
  • Level 1 PCI-DSS Gateway. Exceeds the most stringent standards for secure payment processing.  Protect your business and your customers
  • Account Verification. Verify routing & account numbers.  Ensure accounts are open & in good standing.  Keeps your returns low, saves you money on payment processing, and improves cash flow
  • Robust Reporting. Access all payment data easily in any format you desire.  Customize reporting to meet your requirements.
  • ID Verification. Confirm customers are who they represent themselves to be.
  • Customer Service Pros.  Highly trained representatives dedicated to your satisfaction.  Get the help you need when you need it.

What is a Check-by-Phone Merchant Account?

Accepting check by phone payments gives customers another convenient way to purchase from you.  Orders are securely entered into a virtual terminal. Payments are automatically debited from the buyers’ bank accounts on a one-time or recurring basis.  Email receipts of transactions can be sent to customers. 

Check by phone merchant accounts are available to businesses in all types of industries.  Still, high risk merchants have different requirements than low or standard risk merchants. 

When shopping for a check by phone merchant account, it is important that you understand how the electronic checks are processed.  Before making a decision, confirm that the way the electronic check by phone transactions clear on the back end.  High risk merchants require a different method of processing electronic check by phone transactions than do low or standard risk merchants.

What Types of Businesses Benefit from Check by Phone?

Merchants across all industries accept check by phone payments. 

  • Low Risk Merchants. Checks by phone is ideal for utility services, such as phone, water, cable gas and electric.  Other low risk industries include insurance, mortgage payments, property management companies, and bill payment services.  ACH check by phone services are great for low risk merchants.  Same day ACH debits and credits make ACH payments faster than ever before.
  • Standard Risk Merchants. Checks by phone are great for mail order, call centers, ecommerce, retailers, business sales, service companies, and any business that wants to expand sales channels to accept phone orders.  ACH check by phone services can be a good fit for standard risk merchants if returns & revokes stay within the ratios required by, the governing body of the ACH network.
  • High Risk Merchants. Companies that experience high returns or revoked transactions also accept check by phone payments.  High risk merchants may qualify for ACH check by phone services.  However, most high risk merchants need specialized processing that can accommodate higher returns & revoked transactions. 

Specialized Check by Phone Services for High Risk Merchants

NationalACH offers high risk merchants check by phone merchant accounts that accommodate higher returns and revoked transactions than any other payment method. 

All check by phone payments are processed and cleared through the electronic echeck processing account.  The electronic check processor assumes the responsibility for chargebacks & returns.  Cleared funds settle to your business bank via an ACH credit, similar to how card processing funds are settled. 

High risk merchants with higher returns and revoked transactions love the freedom of processing check by phone transactions.  Revoked and returned transactions permitted are significantly higher any other way of processing payments. 

There are no industry restrictions.  All businesses classified as high risk merchants are welcome to apply.

Benefits of Check by Phone

Capture More Sales.  Get additional sales from customers who do not have cards or are maxed out on cards. And many consumers simply prefer to pay you through a bank account rather than a card.

Satisfy More Customers. Over 95% of all US households have bank accounts and can take advantage of a check by phone payment option.  Check by phone can be used to accept payments from savings, checking, personal or corporate accounts.

Last Minute Payments. Check by phone is a good way for customers to make last minute payments and avoid late fees.  Perfect for any type of bill payment. Billers can add a “convenience fee” for check by phone transactions to cover payment processing costs.

Shorten Collection Times. If you collect overdue accounts receivables, ask customers to give you a check by phone. Get rid of excuses such as “the check is in the mail.”

Multi-Channel Payment Processing. All check by phone accounts includes the ability for you to accept checks online. Your customers can pay through your website or you can take an electronic check by phone.

ACH Check by Phone Payments

Check by phone payments can be processed through the ACH network.  ACH is good option for low risk merchants since it is easy for these businesses to maintain the low ratios for returned and revoked transactions required by NACHA, the governing body of the ACH network.  Some standard & high risk merchants also qualify for ACH check by phone services. 

To maintain an ACH check by phone merchant account, revoked transactions must stay below 0.5%.  Depending on what is being sold, it can be challenging for both standard & high risk merchants to comply with this requirement.  Returned transactions cannot exceed 15%, which can prove difficult to achieve for certain standard & high risk merchants. 

Some standard risk retailers, eCommerce and MOTO merchants report that ACH check by phone is too restrictive due to the extremely low threshold for revokes.  As a comparison, card brands permit twice the number of chargebacks than allowed by the ACH network. 

Companies working with sub-prime customers such as loan modification; credit repair; student loan relief, collection agencies; and lenders experience higher revokes & returned transactions due to the demographic of the customer base.  And often cannot comply with ACH requirements, no matter how hard they try.

Additionally, some high risk merchants may be unable to obtain ACH check by phone merchant accounts due to the industry type.  Examples include, but are not limited to: travel; adult entertainment; cryptocurrency; precious metals; nutraceuticals; MLM, and computer services.


Applying for Your Check by Phone Merchant Account

Applying for check by phone payment processing is a straight forward process.  You simply submit an application along with supporting documents.  Account approvals take 3-5 business days from the time the completed file is received. 

Supporting documents include:  Color copy of driver’s license or passport for the signer on the account; voided check from the bank to which processing funds will settle; 3 months business bank statements; 3-6 months of payment processing statements; and business formation documents such as Articles of Incorporation of LLC.

It is important that the signer on the account has good personal credit.  If credit is not good, consider adding a co-signer who has good credit.

Bank statements should show positive cashflows.  Ensure that bank accounts have enough money to support the processing volume being requested.

Ecommerce merchants that accept checks by phone need to have fully operational websites.  Make sure that all pages display correctly and that all links work well.   

Post refund and privacy policies on websites.  If products are being shipped, include shipping information.  Make it easy for customers to contact you by clearly displaying contact emails, customer service details, and hours of service.

Companies without websites are asked to provide marketing materials, sales agreements, executive overviews, or other information on products or services.  This helps the underwriting team understand what is being sold and the terms and conditions associated with the sale.


Tips for Check by Phone Processing Approval

Underwriters sometimes or email the business to determine the level of customer service being provided.  However, you will not know the contact is from an underwriter.  It will simply appear to be a normal customer contact.

During the underwriting process, answer calls & emails promptly.  If calls are forwarded to voice mail, the message should include the name of your company and when the caller can expect a response from you.  If email auto responders are used, confirm the receipt of the email and when a response will be sent.  Then respond to all inquiries as promised.

These days, underwriters conduct online searches for reviews on the company, products, and owners.  It’s wise to do this yourself prior to submitting an application so you’ll know what’s out there. 

Of course, most companies will not have perfect reviews.  Still, if negative comments are uncovered, respond to them respond in a polite and positive manner.  This helps demonstrate that you care about your customers and your reputation.   


Why Choose NationalACH for Check by Phone Payments?

The following are reasons merchants choose our check by phone payment processing services.

  • High Volume Capacity. Get the processing volume you need to manage & grow your business. 
  • Multiple Banks.The check by phone gateway is connected to multiple financial institutions, ensuring that processing continues uninterrupted. 
  • Multiple Sales Channels.  Accept checks by phone. Integrate echecks with eCommerce. Upload batch files to secure servers for bulk processing.
  • Returns & Revokes Flexibility. Check by phone for high risk merchants permits higher returns and revoked transactions than any other payment method. 
  • Electronic Check Verification. Transactions are verified through multiple proprietary databases.  Quickly identify good electronic check orders and decline bad ones.   
  • Superior Customer Service. Get the answers you need or the help you want from experienced represent ivies committed to your success. 
  • Recurring Billing.  Great for memberships and subscriptions. Convenient for customers who order reorder on a regular basis.  Split higher cost items into smaller installment payments. 
  • Competitive Rates. Transparent rates keep your processing expenses under control.   

Want to see NationalACH in action?

See a Free Demo

Contact us at 855-562-ACH2