High Volume Merchant Accounts

High Volume Merchant Accounts

Echecks Boost Profits for High Volume Merchants

High volume merchants discover that adding electronic check processing is one of the easiest ways to increase sales and profits.  

The ACH network the oldest and most reliable electronic payment method available in the United States. As the ACH network continued to expand over the years, it managed to preserve its versatility and dependability.

For high volume merchants, using ACH payments is extremely beneficial in converting shoppers to buyers. 

A Snapshot of the ACH Network

While the overall results for 2015 are still not in, the processing capability and outstanding potential of the ACH network are illustrated by the results of 2014. In April 2015, the National Automated Clearing House Association announced that in 2014, the ACH network facilitated 23 billion payments, which is a 1 billion increase compared with year of 2013.

The WEB transactions represent one of the most promising segments, as they went up by 10.2% in the same interval. The introduction of Same Day ACH will further improve the efficiency of the network by allowing all parties involved to move funds with the speed that is needed in our fast-paced modern times.

High Volume ACH Payments for Your Business

You will find multiple advantages in using ACH payments on your website. The popularity of electronic check payments among consumers results from the favorable way it compares with credit card payments.

Not having to provide card information introduces a degree of convenience that makes a great deal of difference when the customer reaches the checkout page. High volume merchants discover that the fees for ACH payments are considerably lower compared with the ones for credit card payments.

ACH payments provide higher security to both you and your customers through its low chargeback and fraud rate.

ACH payments are compatible with the increasingly popular subscription-based business models through its recurring payment option.

Conclusion

Once implemented, ACH payments make an enormous difference in terms of profits for high volume merchants.  

ACH processing accounts give you an affordable way to accept payments. And ACH merchant accounts are easier to obtain than card processing accounts.  

Offering your customers the ability to pay you with an ACH echeck on your website increases your sales while  lowering  your processing expenses.  

Are you interested in adding ACH echecks to your high volume merchant account?  

Contact info@NationalACH.com today.

Preventing ACH Payment Fraud

Innovation within the payment industry frequently leads to the opening of new opportunities for fraudsters. In order to avoid the costs associated with fraud attacks, all parties involved in the payment process need to improve their fraud prevention strategies.

Fraudsters display unparalleled resourcefulness when it comes to discovering and exploiting loopholes.  The best moment to do so is when the payment environment undergoes some major change.

How ACH Fraud Is Possible

ACH merchant account fraud can be perpetrated both over the phone or on the internet.

For example, in a common fraud scheme, the fraudster will convince the account holder to disclose their confidential financial information over the phone.  The information is then used to defraud the account holder.  

The most sophisticated type of ACH fraud involves the infection of computers with a virus that will start looking for specific keystrokes performed by victims while they log into their bank accounts. Fraudsters will use this information to create their own login credentials and transfer funds from the hacked accounts to their own untraceable overseas accounts.

It is not surprising that the volume increase of ACH payments has been going hand in hand with a proliferation of fraud attempts. Since fraudsters rely on the human factor to pull off their fraud attacks, raising awareness about fraud and popularizing means to protect oneself from them seems to be the right way to go.

The Information Security Media Group carries out a yearly survey of banking institutions that is meant to provide an overall industry perspective on fraud and how it evolves. The 2014 Faces of Fraud survey shows that the biggest stumbling block against fraud prevention is the lack of awareness among customers regarding fraud, and their unwillingness to accept additional security features or more sophisticated authentication methods.

Impact of Same-Day ACH on Fraud

Lack of customer awareness places additional burdens on financial institutions and companies to prevent fraud through other means, such as data analysis, automated software, or manual review. The introduction of Same-Day ACH, a new feature that will decrease the settlement time of ACH payments, will prove to be a game changer in terms of fraud prevention as well.

Guardian Analytics describes some possible scenarios that Same-Day ACH will make possible. Fraudsters will most likely try to take advantage of the spike in volume that will occur right before the deadline for transaction submission. For example, they might submit a high number of relative low-value transactions or they might take the time to harvest information about the account holder that would enable them to create payments which will seem legitimately enough to pass a fast review.

Prioritizing Fraud Prevention

A comprehensive fraud prevention strategy includes customer profiling, real-time transaction monitoring, data analysis, and secure authentication.  Guardian Analytics suggests that the successful strategy after the introduction of Same-Day ACH should rely on the automation of some existing fraud prevention tasks, which should enable financial institutions to assign more resources to complex behavioral analytics.

Regardless what strategy financial institutions will eventually implement, the introduction of Same-Day ACH will confirm the widely-accepted assumption that fraud is a constantly changing phenomenon.

Do you want to prevent fraudulent ACH payment transactions and safeguard your business?

ACH Processing Authorization

Authorization for Online ACH Processing

ACH payment processing authorization is required with specific language that authorizes a merchant to process an electronic payment ACH debit transaction on behalf of the consumer. This provides a sample ACH authorization and confirmation for merchants that accept checks online with ACH payments.

Sample ACH Processing Authorization

Transaction Authorization:  By clicking the “authorization” button below, I confirm that I am the owner of the account identified by the numbers entered above and authorize this merchant to convert my account information entered above into an electronic debit to, my account for the amount of this transaction. In the event that my electronic debit is returned unpaid, I agree that a returned item fee also may be debited from my account electronically. The amount of the fee will be determined by the state where my billing address is located.  Further, by submitting a transaction, I expressly authorize this merchant to obtain a report of my check-writing history to prevent fraud and for other authentication purposes.

Confirmation Notice. Thank you for your order   Please print a copy of this receipt for your records.

Your transaction at www.merchant.com was authorized on (date).  For your records, the item(s) purchased include(s):

1 item $XX.xx
1 product $XX.xx
    Total $XX.xx

and will be shipped to:

Any Consumer
12345 Any Street
Their Town, State, Zip

Payment for this transaction will be processed electronically, debiting the (Total) amount stated above from the account of, (Name of Consumer) , on, or soon after, one business day from the date you authorized this transaction. You gave your authorization on (date) to electronically debit your account when you clicked on the “I Authorize This Transaction” button.  Make sure you void the check submitted for this transaction, so as to avoid re-presentment of the same check elsewhere.

Please be advised that this transaction should appear on your next bank statement in the electronic debit section (where you normally see your ATM transactions).  The transaction information should include the merchant’s name, the posting date, the check number you entered at the time of the transaction, and the amount of the transaction as stated above.

If you have any need to contact us regarding your transaction (including to correct any erroneous information or to request a refund, you may do so by calling us at, (800) 555-1234, or e-mail us.

Conclusion

ACH payments on the checkout page are one of the quickest ways for online merchants to boost sales. ACH echecks are used by millions of US shoppers to pay for goods & services.  

Accept checks online and watch your sales grow.

Interested in increasing profits by accepting ACH payments online?

Contact info@nationalach.com