To accept ACH payments for invoices, connect a payment processor that supports ACH, such as Stripe, to your invoicing tool, and let clients pay from their US bank account through a link on the invoice. ACH usually costs much less than card processing, especially on large invoices.
For service businesses sending invoices in the thousands, the difference between card and bank fees adds up fast. Here's how ACH works, what to watch for, and how to set it up.
ACH vs card payments
| ACH bank payment | Credit or debit card | |
|---|---|---|
| Processing cost | Usually low, and sometimes capped | A percentage of every payment, plus a fixed fee |
| Time to settle | A few business days | Usually a day or two |
| Best for | Large invoices, retainers, recurring billing | Smaller invoices, clients who want to pay by card |
| Where it works | US bank accounts | Worldwide |
| Main risk | Returned payments, for example insufficient funds | Chargebacks and disputes |
How to start accepting ACH payments
- Choose a processor that supports ACH. Stripe supports ACH Direct Debit, and many invoicing tools connect to it.
- Connect it to your invoicing. So every invoice can carry a pay-by-bank option.
- Have clients verify their bank account. Usually through instant bank login or small test deposits, done once.
- Send invoices with a pay link. The client chooses bank payment and confirms.
- Watch for settlement. The payment shows as pending until it clears, then paid.
Tips for getting clients to pay by bank
- Pass on card fees, but not bank fees. If you add a processing fee to card payments and waive it for ACH, clients have a reason to choose ACH.
- Save the account for next time. A verified bank account can pay future invoices in one click, or automatically.
- Use it for recurring work. Retainers and monthly invoices are ideal for automatic bank payments.
- Invoice promptly. ACH takes a few days to settle, so don't add a delay of your own.
How Clientary helps
Clientary connects to your own Stripe account for online payments, so clients can pay invoices by ACH as well as card, PayPal, or SEPA Direct Debit. Clients verify their bank account once and save it, you can waive processing fees for bank payments, and saved accounts can be charged automatically on recurring invoices and retainers. Clientary takes no cut of your payments.
