In today’s business environment, ACH payments, especially ACH same day payments, are revolutionizing the way in which companies manage cash flow and customer payments. According to NACHA, the use of same-day ACH payments in the third quarter of 2024 has increased by 67.5%. The total number of same-day ACH processed within this time period was 355.2 million.
For companies offering recurring services like monthly memberships, subscription-based offerings, or seasonal maintenance plans, ACH is not an option but a necessity. Consider the example of a landscaping company that thrives on recurring services like lawn maintenance, seasonal clean-ups, and regular garden care. They rely heavily on a steady income stream to cover everything from payroll and equipment maintenance to expansion plans.
Let’s check out the common payment challenges faced by them that can be solved with ACH payments.
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- Some clients may forget to pay or delay payments, leading to cash flow issues for a landscaping company. ACH debit allows for automatic withdrawals on scheduled dates. This ensures that payments are collected on time without needing to follow up.
- Landscaping companies may have to pay plant nurseries, garden centers, irrigation suppliers, and many others. If the company owner forgets to pay any of them by any chance, it can negatively impact the credibility of the company. ACH credit allows company owners to automate their payment processes. It involves pushing funds to the recipient’s bank account.
- Most payment methods involve high transaction fees that eat into profits. ACH transaction is one of the low-cost solutions that a landscaping company can have. It has lower fees compared to other payment options.
- With traditional payment methods, there is always the risk of late payments. The same-day ACH feature reduces this risk by ensuring that your payments are delivered within the next business day.
Now comes the question of how you can make ACH payments. And the answer is simple. Take a subscription to Zil Money!
Make ACH Payments Easily with the Platform
Landscaping companies can easily make ACH payments with Zil Money, especially since the platform is an official member of NACHA. NACHA is the governing body that controls and regulates the ACH network via which ACH payments are processed.
Typically, an ACH transfer would take three to five business days to reach the payee. However, if the payment is urgent, you can opt for same-day ACH, which delivers your payment within the next business day. This feature from the cloud-based platform makes sure that all your bills are paid on time.
This convenience of same-day ACH makes it one of the most preferred options for making B2B transactions. The value of total ACH payments processed in the third quarter of 2024 was $844 billion. This value is an increase of 38.8% compared to the same period last year.
How To Make Same-Day ACH Payments with the Platform
For making ACH transfers easily with Zil Money, kindly follow the given steps.
- Begin by clicking on the Home Page from the side panel.
- From the ‘pay from’ dropdown, choose from where you want your money to be deducted. You can choose among credit cards, wallets, etc.
- Choose same-day ACH from the ‘pay as’ dropdown.
- Select the card and the payee.
- Enter necessary details like amount, invoice number, etc.
- Add memo
- You have the option to add attachments, comments, remittances, etc.
- Now, you can save the details or send the ACH right away.
- Upload the invoice to verify and make the payment faster.
- Click next, add Signature, and click Verify.
All done!
Two Types Of ACH
The two types of ACH transfers are ACH debit and ACH credit. As mentioned before, ACH credit is used to push funds to the recipient’s bank account, and ACH debit is used to pull funds from the client’s bank account. ACH debit is commonly used for making recurring payments, whereas ACH credit is commonly used for payroll deposits, vendor payments, etc. You can make both ACH credit and ACH debit using Zil Money.
What happens when a business initiates ACH debit is that it requests the customer’s bank to transfer funds to the business’ account. This method ensures the timely collection of dues without requiring the customers to manually make each payment. On the other hand, when a business initiates ACH credit, it instructs its bank to send money to the recipient’s bank account. The benefit of ACH credit is that it ensures each of your employees and vendors are paid on time.
Alternative To ACH Available on The Platform
Zil Money offers multiple payment options in addition to ACH. The platform offers wire, credit card, printable checks, check by mail, eCheck, payment links, and many more. You can make all these payments at an affordable cost. The availability of these diverse options makes the platform truly comprehensive. In fact, the platform caters to the varying needs of businesses by providing various payment solutions. The cloud-based platform allows companies to choose the method that is best for their operations.
Conclusion
ACH payments, especially ACH same-day payments, can help businesses to quicken their payment process. In fact, same-day ACH is one of the most used payment methods in the US. Zil Money allows you to easily make ACH payments. The platform even allows you to make ACH debit and ACH credit.
