As we enter the final month of 2021, many merchants are zeroing in on plans to drive their businesses forward in 2022. If your goals include improving customer experience and trimming costs, then implementing an ACH payment solution should be at the top of your list.

The ACH network enables safe, fast direct payments, with the capability to reach all U.S. bank and credit union accounts. Nearly 27 billion ACH payments were made in 2020 alone, representing a value close to $62 trillion.[1] Among consumers using ACH for transactions with merchants, internet purchases are the fastest-growing channel: In 2020, online payments on the ACH network totaled $3.75 trillion, representing year-over-year growth of 13%.[2]

Let’s look at five ways ACH payment solutions can fuel success for your business in 2022.

1. ACH costs are significantly lower than credit cards.

It’s no secret that credit card interchange fees are expensive for business owners—and fees are expected to continue climbing, pinching business margins even more.”

ACH-based payments offer an advantageous alternative: Rates can be up to 75% cheaper than interchange fees. The savings are even greater when compared to PayPal. With the ACH network, you can preserve your cash flow and direct your dollars toward profitable projects—not interchange fees.

Adding an ACH payment option can also reduce the costly, frequent headaches associated with credit card chargebacks and time-consuming disputes. With ACH, disputes are notably more limited and streamlined, and there are no chargebacks.

2. ACH payments are fast and safe for merchants.

The modern ACH network offers multiple settlement windows per day, which means funds are made available to merchants the next banking day, or sometimes even on the same day.

Some ACH payment processors also offer ways for merchants to reduce their risk. Warranty programs, for example, eliminate the need for collections by guaranteeing payment even if authorized ACH transactions are returned unpaid due to stop payment orders, insufficient funds, closed or fake accounts, and other acts of fraud. Certain ACH payment providers further reduce risk for merchants by screening transactions against consumer databases to identify high-risk transactions.

3. Integration is a cinch.

Most ACH payment providers integrate easily with your existing website, mobile app and shopping cart. With straightforward, powerful APIs and helpful development kits, it’s easy to get up and running—so easy, in fact, that a single developer can integrate most solutions in less than one week. Well-built APIs also make ongoing maintenance easier by cutting down on manual tasks related to reconciliation and monitoring payments.

4. ACH delivers a smooth, seamless experience for customers.

When it comes to online payments, customers demand a fast, frictionless experience. Getting users signed in and authenticated is quick and easy: Customers can access the service through open banking with their online banking credentials, or manually with their account information.  Authentication happens in a matter of seconds.

Customers’ banking information can be kept safely on file for faster future checkout—a feature that drives convenience for customers and sales growth for merchants.

5. ACH promotes responsible spending.

Because ACH payments are direct transfers from a bank account—not a form of debt—they can be a helpful tool to empower customers to spend responsibly. The simple format makes it easy for customers to manage their account balances and budgets.

Merchants can feel confident in offering a payment option that supports smarter spending. Plus, some ACH payment providers offer consumers the option to break a purchase into multiple interest-free payments via a Buy Now, Pay Later solution, giving shoppers more flexibility to spend what they want, when they want.

To learn more about ACH payment solutions for your business, contact us.