One of the big advantages of modern payment processing systems is the amount of convenience and choice that’s now available to vendors and customers of vendors. This is especially true when it comes to the receiving of payments.
In the old days of the 20th century, setting a payment schedule consisted of little more than having reminders in place to alert people to when a payment date was arriving. When the date arrived, people still needed to take the time to actually manually enter in a payment as well as manually receive it. Today, with the automated clearing house, or ACH payment system, that chore doesn’t have to be there.
An ACH system is both cheap, since the fees for transactions are lower than credit cards, and benefits from options for automation. If you have a regular a client that pays you on a fixed schedule, there’s no need for both you and that client to repeat the same process every month of making and receiving a payment.
ACH systems can be set in place to completely automate this process to a schedule of your choosing. This means that nobody has to send reminders, or even take any action on the appointed day. Instead, the ACH itself will simply look for the required amount on the payment date, and conduct the transfer all by itself.
For people with regular schedules, this is a boon for everybody. No one has to send out reminders, no one has to feel embarrassed about missing a payment even though the funds were there, and everything is documented and easily traceable within the ACH system in the event that things need to be examined more closely.
If you have a series of payments that are on a regular schedule, then try automating them through ACH and see how it improves things for you.
Posted in Recurring Payments on Dec 20, 2016