Why ACH Payments?
Automation is the driving force behind how we get paid and how we pay for goods and services. Paper checks have been almost completely replaced by electronic transfers in the consumer arena, and business-to-business payments are headed the same direction. A recent survey showed that less than one-third of B2B payments in the U.S. and Canada are made by check -- a nine-point decline since 2019.
An ACH payment is a specific type of electronic payment -- funds are moved from one bank account to another through the Automated Clearing House (ACH) network. You've probably been using the ACH network for years without realizing it. Direct payroll deposit and automatic payment of utility bills are examples; sending money with PayPal is another.
The benefits of making ACH payments are many:
The great news is that PowerShift supports ACH payments! When you create an ACH batch in in Vendor Payments (NC) and select invoices to pay, you specify the payment date: this is the date funds will be transferred from your account to the vendor's. When the payment register is updated, PowerShift creates an ACH file to send to your bank. Vendors receive email notification of invoices paid, discounts taken and other details.
We can help you get started making ACH payments. Contact Helpdesk to find out more.