The Benefits of ACH Manager and Automating Your Banking

Being in business has both rewards and stresses. But your business banking should never be one of the stresses.

American Bank & Trust’s online cash management service called Business Solutions +PLUS offers a whole host of useful tools. Each one is designed to help streamline your business day. Today, we’re talking about the benefits of Automated Clearing House (ACH).

 

The Origin of ACH

The first automated clearinghouse in the United States formed in the 1960s by a group of banks in California. It was designed to be a replacement for check payments.

An ACH, or automated clearinghouse, is an electronic network for financial transactions. It’s a computer-based clearinghouse to process the exchange of transactions between participating financial institutions.

Many types of payments are made using ACH, including:

  • Tax payments
  • Direct deposits
  • Bill payments
  • Vendor or supplier payments
  • One time or ongoing expenses

 

When you conduct an ACH transfer, it simply indicates a transfer of funds to or from your bank account. For business, this type of cash management can prove time saving and profitable.

 

What is ACH Manager?

American Bank & Trust’s ACH Manager is your payables and receivables control center. With it, you can immediately access a total account overview. It’s seamless and available through AB&T’s Online Banking +PLUS.

With ACH Manager, you can input your own NACHA formatted files for streamlined processing. Otherwise, you can use the service in the more traditional way. Create batches and input individual item information.

Do it all with one window and a clear view of the process. Save time and energy while making your employees’ direct deposits and conducting other ACH transactions for your business.

 

How does ACH Manager Benefit My Business?

Most of your customers are used to ACH transactions as part of their regular banking routine. Lots of people prefer to “set it and forget it.” Consumer preferences aside, there are also several benefits to you as a business.

 

1. ACH is usually less expensive than credit cards or paper.

Credit card transactions average between 2 – 5% in charges to you. A paper check can be as high as $3 – $5 dollars between postage, printing, time, etc. Depending on your volume, ACH can be lower than $1 per transaction.

 

2. ACH transactions are quicker.

No more waiting for the mail, throwing checks in a pile, then driving to the bank. ACH gets rid of that entire process, giving you back time and money. That increases your cash flow.

 

3. ACH Manager makes it easier to manage your finances.

Our online dashboard of tools can handle a wide variety of your business’s reporting needs. Get a real time view, report, sort and update.

 

4. You’re more likely to get paid with ACH.

If your customer is on a recurring payment plan, for example, you don’t have to worry about the collection process. Also, credit card charges can be disputed for a number of reasons. ACH disputes are rare.

 

Get Back to the Business You Love

ACH Manager and American Bank & Trust can help you in a number of ways. Get back to the business you love, not the legwork of banking. Call a Business Banker at your local American Bank & Trust to see how.

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