At Union Community Bank, we are always looking for ways to improve banking for business owners. To simplify direct deposits and payments, we offer access to an electronic payment delivery system called the Automated Clearing House.
The Automated Clearing House (ACH) is an electronic payment delivery system under the auspices of NACHA (National Automated Clearing House Association), a governing body of banks and processors. The ACH allows for both business to individual and business to business payments. Learn more about how the ACH Payment system can benefit your business and simplify your payment system with ACH Direct Deposit and Payments today.
Union Business to Individual ACH Payments
The movement of funds from a business/organization to an individual replacing cash or check payments. The most common ACH Credit payment is Direct Deposit of Payroll to employees. Other ACH Credit payments include: Travel/Business Expense reimbursement, Dividend Payments, and Refund Payments.
Business to Business ACH Payments
The movement of funds from a business/organization to another business or organization to fund a subsidiary/division/location or to replace other payment options for trading partners, vendors or suppliers. An ACH Credit Payment is a less expensive alternative to a wire transfer for large dollar disbursements.
Union ACH Direct Deposit/Payments
- Cost Reduction/Containment – May reduce (or control) overall payment collection or disbursement costs (electronic processing vs. paper transactions)
- Collection/Payment Automation – The use of ACH services allows businesses/organizations to automate transactions which may in turn reduce their internal processing costs