ACH Payment Processing Benefits
The Automated Clearing House (or ACH) is an electronic network for transferring funds from one bank account to another. In the early 1970s, the ACH created a solution for merchants processing large volumes of checks. ACH processing allows merchants to process checks in large batches, whether they are accepting payments from customers or issuing paychecks to employees.
In the 21st century, however, with the world of e-commerce processing millions of transactions a day, the payments landscape has changed. ACH process had become a slower payment processing option compared to credit card processing, causing merchants to favor the faster method. However, the payments industry has found that ACH processing is an inherently safer way to send money between customer and merchant. Plus, with same-day processing on the horizon, it may be more beneficial for merchants to invest in ACH payment processing.