How to Accept Direct Debit Payments
Contact your bank., Sign up with an ACH, BACS (Bankers' Automated Clearing Services) bureau or similar payment processing service., Link your ACH or BACS account to your bank account., Begin processing direct debits from authorizing customers by...
Step-by-Step Guide
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Step 1: Contact your bank.
Get a Service User Number (SUN) or Automated Clearing House (ACH) account number for your business banking account, as you need this to enroll in direct debit programs.
Confirm with your bank that you have the proper account to accept direct debits.
Ask your bank if they use AUDDIS (Automated Direct Debit Instruction Service).
This will save time with bank transfers and eliminate paperwork. -
Step 2: Sign up with an ACH
Automatic payment processing requires enrollment and sometimes a contract with a service provider other than your bank.
The electronic funds transfer networks work in co-operation with banks to transfer funds from the payers account to the payees account. , Ask your business banker to confirm that your automatic clearing service account number is routed to your bank account.
Once that is done, ask your ACH provider to confirm your bank account.
Some providers will do a small transfer to confirm that your account is working. , Merchants in the United States must acquire the payer's routing number and the bank account number.
In Europe, merchants need a SUN and payer's consent. , Once you provide your customer's account information to your BACS or ACH service provider, it usually takes a minimum of 3 days for the money to go into your bank account.
There are 3 steps to direct debit processing: submission of payment to BACS or ACH, processing and clearing.
After these steps are accomplished, you will see the payment in your account. -
Step 3: BACS (Bankers' Automated Clearing Services) bureau or similar payment processing service.
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Step 4: Link your ACH or BACS account to your bank account.
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Step 5: Begin processing direct debits from authorizing customers by acquiring automatic billing or direct debit authorization information--most importantly
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Step 6: the customer's bank account number.
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Step 7: Process direct debits.
Detailed Guide
Get a Service User Number (SUN) or Automated Clearing House (ACH) account number for your business banking account, as you need this to enroll in direct debit programs.
Confirm with your bank that you have the proper account to accept direct debits.
Ask your bank if they use AUDDIS (Automated Direct Debit Instruction Service).
This will save time with bank transfers and eliminate paperwork.
Automatic payment processing requires enrollment and sometimes a contract with a service provider other than your bank.
The electronic funds transfer networks work in co-operation with banks to transfer funds from the payers account to the payees account. , Ask your business banker to confirm that your automatic clearing service account number is routed to your bank account.
Once that is done, ask your ACH provider to confirm your bank account.
Some providers will do a small transfer to confirm that your account is working. , Merchants in the United States must acquire the payer's routing number and the bank account number.
In Europe, merchants need a SUN and payer's consent. , Once you provide your customer's account information to your BACS or ACH service provider, it usually takes a minimum of 3 days for the money to go into your bank account.
There are 3 steps to direct debit processing: submission of payment to BACS or ACH, processing and clearing.
After these steps are accomplished, you will see the payment in your account.
About the Author
Kayla Hughes
A passionate writer with expertise in lifestyle topics. Loves sharing practical knowledge.
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