The 8 Best ACH Payment Processors For Small Businesses

PaymentCloud Features

PaymentCloud stands out as one of the most reputable high-risk specialists we’ve found. In addition to offering ACH processing, the company can provide just about any service your business might need, including the following:

• Choice of Authorize.Net or USAePay payment gateways
• Included virtual terminal
• Extensive third-party shopping cart compatibility
• Credit card terminals and POS systems
• Chargeback protection and fraud prevention features

PaymentCloud Pricing

• No application fee
• No account setup fee
• Variable monthly account fee
• Other fees vary depending on your back-end processor

Contract Requirements/Warnings

PaymentCloud doesn’t disclose its contract terms, primarily due to the large number of acquiring banks and back-end processors it works with to get you approved for an account. While low-risk (and some high-risk) merchants will be offered a month-to-month contract with no long-term commitment or early termination fee, most high-risk businesses will have to accept a long-term contract. You should also be prepared to accept a rolling reserve when you first sign up for an account, although this requirement is subject to some negotiation in terms of its duration and how much money will be withheld from your funds each month.

Where PaymentCloud Really Shines

PaymentCloud is a high-risk specialist with an excellent reputation (Dharma Merchant Services and Stripe frequently refer high-risk businesses they can’t serve to PaymentCloud). The company offers ACH processing, either as an add-on to your existing merchant account or an ACH-only option for high-risk merchants who can’t be approved for a merchant account.

PaymentCloud’s virtual terminal can support ACH-related features upon request. The company boasts of getting ACH service up and running for businesses within 48 hours so long as you have a business checking account, photo ID, and a voided check. The company also enjoys a very positive reputation among users for providing great customer support — an unusual and hard-to-find feature in the payments industry.

National Processing Features

National Processing is a great option for small businesses looking to get a full-service merchant account at an affordable cost. In addition to an ACH processing option, the company offers the following key features:

• Authorize.Net payment gateway
• Virtual terminal included
• Credit card terminals and POS systems are available
• Mobile processing with Clover Go is available

National Processing Pricing

• $25 setup fee for ACH processing
• $15/month account fee for ACH processing
• 0-1.5% + $0.48/ACH transaction
• $3.50/returned ACH payment
• $15/ACH rejection
• $9.95/month for a merchant account (interchange-plus pricing)
• $59-$199/month for a merchant account (subscription pricing)

Contract Requirements/Warnings

You can usually get a month-to-month contract with National Processing as long as you’re willing to buy your processing hardware upfront. (eCommerce-only merchants, of course, won’t need any hardware.) If you’d like a free terminal, however, you’ll usually have to accept a three-year contract with a $295 early termination fee. Even with these provisions, the company is willing to waive the ETF in most cases — unless you’re switching to a competitor.

Where National Processing Really Shines

Not to be confused with the similarly-named National Processing Company, National Processing is one of the smaller processors on our list, but it provides a lot of value for your dollar.

The company offers ACH processing as an add-on feature, so it will cost you a little extra over what you’d pay for just a basic merchant account. However, its monthly fee for ACH processing and per-transaction charges make it one of the cheaper options on this list on a month-to-month basis. That’s a good deal if you’re not processing too many ACH transactions.

In addition to affordability, National Processing also excels in customer service, which we’ve found to be a critical feature for any merchant services provider.

Square Features

Small-business favorite Square has long been a great choice for businesses that only need to take an occasional non-cash payment. Square has evolved from a basic, mobile-only processing solution to a full-featured payments ecosystem and now includes the following major features:

• Credit and debit card processing
• ACH processing included with every account
• Complete line of Square terminals and POS systems
• Square Online Store for eCommerce businesses
• Basic Square Invoices feature included at no extra cost
• Analytics and reporting available through Square Dashboard

Square Pricing

• No setup fee
• No monthly fee
• 1%/ACH transaction (minimum $1 charge)
• No ACH reject fee
• 2.9% + $0.30/invoice paid via credit or debit card
• 3.5% + $0.15/invoice paid via card on file
• $50,000 maximum/ACH transfer

Contract Requirements/Warnings

Square is famous for not charging any monthly fees or requiring a long-term contract. While you can easily close your account without any problems, many merchants keep their Square accounts even after moving on to a full-service merchant account. It offers a handy backup solution if something happens to your primary account or you encounter technical difficulties with your processing hardware. Be aware that Square’s card readers and terminals are proprietary and won’t work with any other provider.

Where Square Really Shines

For Square Invoice users (such as freelancers, independent contractors, or professional services), ACH processing will be a welcome feature that gives your customers an additional way to pay you. ACH processing charges are competitively priced. The lack of an additional monthly fee for this service makes it a great choice for businesses that only occasionally accept an ACH payment.

Unfortunately, ACH payments can only be processed through Square Invoices, making it unavailable to eCommerce merchants using the Square Online Store to run their business. Also, ACH transfers take three to five business days to reach your bank account. At the same time, the account stability issues that Square is known for won’t be as much of an issue with ACH payments, as the funds are coming directly out of the customer’s bank account.

Host Merchant Services Features

Delaware-based Host Merchant Services (HMS) offers a full array of products and services for any type of business but is especially focused on the eCommerce sector. Major features include the following:

• Full-service merchant accounts
• Proprietary Transaction Express payment gateway & virtual terminal
• Authorize.Net and NMI payment gateways also available
• Extensive integration with third-party shopping carts
• Basic web hosting services included with all accounts
• Loyalty/gift card programs
• $100,000 data breach insurance policy included with all accounts

Host Merchant Services Pricing

• Interchange + 0.25% + $0.10 per transaction (retail)
• Interchange + 0.25% + $0.10 per transaction (restaurant)
• Interchange + 0.35% + $0.10 per transaction (eCommerce)
• $14.00/month account fee
• $5-$10/month gateway fee (additional per-transaction fee of $0.05-$0.08; only applies for third-party gateways)
• $24/year IRS 1099 reporting fee
• $15/incident chargeback fee
• No application or setup fees
• No monthly minimums
• No PCI compliance fees

Contract Requirements/Warnings

HMS offers month-to-month contracts with no long-term commitment. There’s also no early termination or account closure fee to worry about if you have to close your account for any reason.

Where Host Merchant Services Really Shines

With its roots in the web-hosting industry, Host Merchant Services is a technology-first provider that’s especially well-suited to online businesses. In addition to competitive interchange-plus rates for credit and debit card processing, the company offers ACH processing through either its proprietary Transaction Express gateway or third-party services such as the NMI gateway or Authorize.Net.

While the company provides extensive pricing disclosures on its website, it doesn’t specifically mention any costs for ACH processing. It’s likely that ACH processing services are only available as an optional feature offered through a third-party partner. As such, costs will probably vary depending on which partner is handling your ACH account. You can expect to pay both a monthly fee and a reasonable per-transaction processing charge — both of which will be disclosed in your contract before you sign up.

Stripe Features

Stripe has long been one of the dominant payment processors in the eCommerce world but has recently begun making inroads into retail payments. Here are the major features that Stripe has to offer:

• ACH processing included with every account
• Stripe Payments integrated payments platform
• Stripe Virtual Terminal
• Stripe Radar anti-fraud protection
• Broad support for international payments and local payment methods
• Stripe Terminal for card-present transactions
• Extensive library of APIs and developer tools
• Many ancillary services for establishing and running your business

Stripe Pricing

• No monthly fees for a basic account
• 0.8%/ACH direct debit transaction ($5.00 maximum)
• 1.2%/ACH direct debit transaction (two-day settlement)
• $1.50/instant bank account validation
• $1.00/ACH credit payment
• $5.00/check received
• $4.00/failed ACH direct debit payment
• $15.00/disputed ACH direct debit payment
• 2.9% + $0.30/online credit/debit transaction
• 2.7% + $0.05/in-person credit/debit transaction via Stripe Terminal
• Additional fees for optional add-on services

Contract Requirements/Warnings

Like most payment service providers (PSPs), Stripe has no long-term contracts or early termination fees. Billing is on a month-to-month basis, and you can close your account at any time without penalty.

Where Stripe Really Shines

eCommerce darling Stripe has an exhaustive list of features that can potentially meet the needs of just about any business. It serves merchants in over 35 countries and can process transactions in over 135 currencies and payment methods. ACH processing is included with every account at no extra cost, and processing charges are very competitive with what other payment providers can offer you. Like any payment service provider (PSP), Stripe accounts have a higher-than-average risk of experiencing a sudden hold, freeze, or termination. While this won’t be a problem for most businesses, you should still consider this factor when choosing between Stripe and a more traditional merchant account provider.

Stripe’s main draw is its outstanding integrated payments platform, which can seamlessly consolidate a wide variety of payment methods and offer unparalleled analytics and reporting data. Stripe also features great international support, although ACH transfers are a US-only payment method. With virtually endless customization options and a broad assortment of services to help you run your business, Stripe may be all you need.

Helcim Features

Helcim has long been one of our favorite merchant services providers for both Canadian and US-based merchants. The company offers full-service merchant accounts for less money overall than most of its competitors. It also provides a full range of features for most businesses, including the following:

• ACH payment processing included with all accounts
• Exclusive interchange-plus pricing for credit/debit transactions
• Hosted online store for eCommerce merchants
• Affordable Helcim Card Reader for in-person credit/debit transactions
• Integrated virtual terminal
• Proprietary Helcim POS software
• Online invoicing is included with all accounts

Helcim Pricing

• No monthly account fee
• No PCI compliance fee
• No monthly minimum
• 0.5% + $0.25/ACH debit payment
• $5/returned or rejected ACH transfer
• Interchange + 0.30% + $0.08/in-person transaction (volume discounts available)
• Interchange + 0.50% + $0.25/online transaction (volume discounts available)
• Helcim Card Reader ($109 each)

Contract Requirements/Warnings

Helcim offers a fully-underwritten merchant account with no long-term commitment and no early termination penalties. It’s one of the very few providers in the industry to provide a stable, full-service merchant account with no monthly account fees. While you will have to pay extra for some optional features, ACH processing isn’t one of them. It’s free, and all you have to pay are the transaction processing fees.

Where Helcim Really Shines

While all merchant services providers try to appeal to the small business community, Helcim is one of the few that actually offers a full range of services at prices business owners can afford. The company’s advertising transparency is among the best we’ve ever seen. Full pricing disclosures on the Helcim website break down exactly how much you’ll pay in fees and transaction processing charges. The lack of a monthly account fee for standard accounts makes it particularly attractive to very small or seasonal businesses that would otherwise be unable to afford a merchant account.

ACH transfers with Helcim are limited to a maximum of $25,000 each, although this limitation won’t be much of a problem for most small businesses. Funding times also run three to four business days, which is a limitation of the Automated Clearing House network. Also, be aware that Helcim does not accept high-risk businesses.

Durango Merchant Services Features

Durango Merchant Services has a reputation for excellent service for high-risk merchants and businesses seeking offshoring merchant accounts. Notably, Durango Merchant Services offers eCheck services (read our guide) as an alternative to traditional ACH processing.

Durango Merchant Services features include:

• Low-, high-risk, & international merchant accounts
• eCheck processing
• Support for POS, online, & mobile transactions
• Fraud protection services
• A variety of credit card terminals and POS systems are available
• Cryptocurrency support

Durango Merchant Services Pricing

• High-risk pricing varies from business to business
• No setup fee
• Some very high-risk businesses may require a rolling reserve

Contract Requirements/Warnings

Durango Merchant Services offers almost all of its customers month-to-month billing, including high-risk customers. However, some very high-risk businesses may have to agree to an industry-standard 3-year contract. As noted above, some very high-risk businesses may also be required to have a rolling reserve. A rolling reserve holds a percentage of your funds every month as a hedge against excessive chargebacks or your business going under. While you’ll eventually get your money, this can create cash flow problems in the short term.

Where Durango Merchant Services Really Shines

While the term “high-risk” is usually associated with credit card processing, high-risk businesses can also run into challenges getting approved for an ACH merchant account under NACHA guidelines. One way around this is through eChecks, which are offered by Durango Merchant Services. eCheck accounts can be up and running within 24 hours and function similarly to taking a customer’s check to the bank but through an electronic checking system.