The 9 Best ACH Payment Processors For Small Businesses
These competitively-priced ACH processors are suitable for all types of small businesses in the US and even a global option in Stripe.
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Expert Analyst & Reviewer
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If you collect payments online, your customers are likely accustomed to using credit or debit cards, PayPal, or even digital wallets (such as Apple Pay or Google Pay). However, some of your customers may be quite open to authorizing a simple bank transfer via the good old ACH (Automated Clearing House) Network.
Paper checks are going the way of the dinosaur, but bank-to-bank transfers that bypass card networks (such as Visa and Mastercard) are alive and well. These ACH payments are commonly known as eChecks, and you’re probably already paying some of your own personal or business bills this way. If you’ve used direct deposit to distribute or collect a paycheck or have ever received a tax refund directly into your bank account from the IRS, you’ve used the ACH Network. As you may know, ACH has some advantages over card-based payment methods for some types of transactions, making it a valuable option when it comes to low-cost, recurring payments.
How do you compare ACH service providers and choose the best one for your business? Read on!
Learn More About Our Top Picks
| Company | Best For | Next StepsBest For |
|---|---|---|
PaymentCloud  | Best for high-risk businesses. | Best for high-risk businesses.
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National Processing  | Businesses that need ACH as a supplementary payment option. | Businesses that need ACH as a supplementary payment option.
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Stax by Fattmerchant  | Best for high-volume US merchants. | Best for high-volume US merchants.
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Square  | Best for very small or seasonal businesses. | Best for very small or seasonal businesses.
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Stripe Payments  | Best for global businesses. | Best for global businesses.
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Other Featured Options:
- Dharma Merchant Services: Best for nonprofits.
- SeamlessChex: Best for eCommerce businesses that want non-traditional ACH payments.
- Helcim: Best for Canadian merchants.
- Dwolla: Best for businesses that need ACH as their primary payment option.
Read more below to learn why we chose these options.
Table of Contents
Why Does Your Business Need ACH Processing?
You may be wondering why an old, dated payment transfer method like ACH is something you should consider using. But ACH is actually alive and well. Chances are, you’re already using ACH to add cash to a digital wallet or to automatically debit some of your monthly expenses from your account.
According to a study by Nacha, there were 7.3 billion ACH payments made in the third quarter of 2021, up 7.7% from 2020. While the biggest increase was in the P2P category, B2B ACH payments grew by 18.7% to 1.4 billion, with the method becoming an increasingly popular way to pay suppliers.
One of the biggest benefits of ACH payments is cost. ACH fees vary, but they are consistently cheaper than credit or debit card payments, making them a more cost-effective way to go cashless – if a bit more ponderous. While ACH payments are unlikely to completely replace credit cards, particularly in your retail transactions, they can add convenience for your customers while also reducing your costs.
The 9 Best ACH Processing Companies
Because most businesses will want to include ACH processing as part of a merchant account for credit/debit card processing, it’s best to find a reputable company that can provide both of these services in one package. ACH processing is usually a paid add-on, but some providers will include it for free with your account.
We’ve reviewed a large number of merchant services providers that offer an ACH processing option. Below are the best providers that offer the most complete and competitively-priced ACH processing services:
1. PaymentCloud
PaymentCloud
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Best for high-risk businesses.
It’s easy to offer excellent rates to businesses that don’t come with a lot of risks. Giving high-risk businesses a square deal, however, takes a special kind of merchant services provider. PaymentCloud is a high-risk specialist with an excellent reputation (both Dharma Merchant Services and Stripe frequently refer high-risk businesses they can’t serve to PaymentCloud).
PaymentCloud also offers ACH processing, which can be especially helpful to businesses that may have a hard time processing credit cards. PaymentCloud’s virtual terminal can support ACH-related features upon request. The company boasts of being able to get 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.
Unfortunately, as is typical for a high-risk service, PaymentCloud doesn’t disclose much information about its rates publicly, making it difficult to do a one-to-one comparison.
Pros
- High-risk specialization
- No account setup fee
- Reasonable rates and fees
- Excellent customer support
Cons
- No publicly disclosed pricing
2. National Processing
National Processing
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Businesses that need ACH as a supplementary payment option.
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. You’ll get interchange-plus pricing with reasonable month-to-month billing.
National Processing offers ACH processing as an add-on feature. The company advertises a $15/month and $0.48 per transaction rate, making 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.
The only real downside to National Processing is that it does charge an early termination fee in some cases. This is usually for customers who sign a long-term contract in exchange for getting a free terminal.
Pros
- Interchange-plus pricing
- Month-to-month billing (in most cases)
- Good reputation
Cons
- Long-term contracts required to get a free terminal
- Early termination fee charged in some cases
Get Started with National Processing
3. Stax By Fattmerchant
Stax by Fattmerchant
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Best for high-volume US merchants.
Stax by Fattmerchant manages to perform the impressive feat of having a sense of humor and transparent pricing — both are extremely rare in a merchant services company. Stax also stands out as one of only a few providers to offer membership pricing. This means that instead of marking up your rate over the interchange rate, Stax charges a higher monthly subscription fee. As you might guess, this makes Stax a better deal for businesses that process a high volume of card transactions.
So what about ACH? Stax offers ACH processing as part of its Stax Pay software suite, which starts at $99/month for the Growth plan. You’ll also pay a transaction fee of 1% on each ACH transaction up to a maximum of $10.
Like the rest of Stax’s services, this relatively high monthly subscription, combined with a low per-transaction processing rate, makes it a better fit for high-volume companies than those that just need to cash the occasional eCheck. It’s also only available to US-based merchants.
Pros
- Transparent membership pricing
- Month-to-month billing with no early termination fee
- Next-day funding options
- QuickBooks integration
Cons
- US-based merchants only
- Not suitable for low-volume businesses
Get Started with Stax by Fattmerchant
4. Square
Square
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Best for very small or seasonal businesses.
Small-business favorite Square has long been a great choice for new businesses with no prior processing history and those that only need to take an occasional non-cash payment. In addition to being able to accept credit and debit card payments, Square now includes ACH transfer processing with every account. 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.
For Square Invoice users (such as freelancers, independent contractors, or professional services), ACH processing will be a welcome addition that gives your customers an additional way to pay you. All ACH transfers cost 1.0% per transaction to process, and take 3-5 business days to reach your bank account. While this rate is on the high side, remember that Square doesn’t charge any monthly fees to maintain your account. ACH payments must be at least $1.00, and no more than $50,000 per single transaction. Square’s ACH processing service does not support partial payments at this time.
While Square is rather notorious for having more account stability issues than traditional merchant accounts, experiencing a sudden account hold, freeze, or termination is less likely with ACH because the funds are being withdrawn directly from your customers’ bank account.
Pros
- No monthly fees
- Robust standard features
- Predictable flat-rate pricing
- Month-to-month billing with no early termination fee
Cons
- Account stability issues
- Not available to most high-risk industries
- ACH payments only available through Square Invoices
5. Stripe
Stripe Payments
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Best for global businesses.
If you’ve bought something online with a credit card, there’s a very good chance your payment info has passed through Stripe’s infrastructure at some point. More of a payment platform than a payment service, Stripe has an exhaustive list of features that can potentially fill most niches. It serves businesses in over 35 countries and can process transactions in over 135 different currencies and payment methods.
Stripe can process ACH payments without any special fuss, but its pricing system can be a little confusing. An ACH Direct Debit is charged 0.8% of the transaction, capped at $5. ACH credit is assessed $1 per credit payment. It’s a little more expensive to process checks, with a $5.00 fee charged per check received.
Stripe’s main weakness is that, as a payment service provider, it suffers from account stability issues. This makes it a bad fit for high-risk businesses. You’ll also want to work with a developer to get the most out of Stripe.
Pros
- Predictable flat-rate pricing
- Excellent international support
- Excellent subscription services
- Advanced reporting tools
Cons
- Account stability issues
- Not available to high-risk industries
- Needs technical skill to implement
Get Started with Stripe Payments
6. Dharma Merchant Services
Dharma Merchant Services
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Best for nonprofits.
Dharma Merchant Services shows up in a lot of our lists, and for good reason. It’s a transparent payment services company that offers interchange-plus pricing with no application fees, no annual fees, and no monthly minimums. Ideally, these are things you want from any merchant services company you subscribe to.
Dharma offers ACH processing through one of several programs. The first is MX Merchant, which allows you to accept ACH payments ($25 monthly) through the same portal as your credit card processing. Transaction fees are as follows:
- Transactions less than $100: $0.40
- Transactions from $100-$1000: 0.10% + $0.40
- Transactions greater than $1000: 0.20% + $0.40
The second program is through Telecheck for Clover (1.5% + $0.20/transaction). Finally, you can use the Dharma/NMI Gateway ($20 monthly, $0.35/transaction) to accept eChecks. The best option for your business will probably depend on whether you own the hardware (in the case of Clover) or if you want to accept paper checks as well as eChecks.
While Dharma Merchant Services is a great deal overall, it doesn’t work with high-risk companies, and low-volume merchants can probably get away with a cheaper service.
Pros
- No annual fee or monthly minimum
- Month-to-month billing with no early termination fee
- Interchange-plus pricing for credit/debit card processing
- Outstanding transparency
Cons
- Not available to high-risk or international merchants
- ACH support requires an add-on service
Get Started with Dharma Merchant Services
7. Seamless Chex
SeamlessChex
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Best for eCommerce businesses that want non-traditional ACH payments.
As we mentioned earlier, ACH payments are actually a very old method of transaction. Sometimes its age shows. There are, however, companies like Seamless Chex that seek to smooth over some of the weaknesses of eChecks. Seamless Chex allows merchants to accept direct payments on eCommerce shopping carts and its built-in virtual terminal.
Seamless Chex offers three different plans, two of which have multiple tiers for scaling purposes. Paynote plans are for businesses with limited eCheck processing needs. These plans range from $14.99 – $99.99 per month, with transaction fees ranging from 2% for the cheapest plan to 1% for the most expensive. The Seamless Chex plans (not to be confused with the company itself) are for businesses that process more eChecks. These range from $24.99 – $99.99 per month, with no per-transaction prices given upfront.
Finally, there’s the Seamless Merchant plan, which combines ACH payment processing with merchant services for credit card processing:
- 2.75% + $0.15 for debit and credit card transactions
- 1% for ACH transactions
- $25.00 monthly account fee
Pros
- ACH support for shopping carts and POS systems
- Scales well
- Predictable flat-rate pricing for merchant services
- Month-to-month billing
Cons
- Monthly fees
- May be expensive for some users
- Only available to U.S. merchants
8. Helcim
Helcim
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Best for Canadian merchants.
Calgary-based 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 that come with true month-to-month billing and interchange-plus pricing. Advertising transparency is among the best we’ve ever seen, with full pricing disclosures on the company’s website. As an added bonus, the company no longer charges a monthly account fee for standard accounts. This feature makes it particularly attractive to very small or seasonal businesses that would otherwise be unable to afford a merchant account.
Helcim includes ACH processing as a standard feature of its accounts, and doesn’t charge a monthly fee for this service. Processing charges are a flat 0.5% + $0.25 per transaction. Transactions currently cannot exceed $25,000 each, but this limitation won’t be much of a problem for most small businesses. As we’ve noted above, ACH transfers are slow, with funds taking 3-4 business days to be deposited into your account.
Pros
- Month-to-month billing with no early termination fees
- Excellent customer support
- Support for international payments
Cons
- Not suitable for high-risk industries
9. Dwolla
Dwolla
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Best for businesses that need ACH as their primary payment option.
Most of the services we’ve covered so far offer ACH payments as part of a larger mix of payment services that are centered around credit card processing. But what if you don’t need credit card processing? That’s where a service like Dwolla comes in.
Dwolla deals exclusively in ACH payments. Most prospective Dwolla customers will be interested in Dwolla’s Pay-As-You-Go program (the paid plans range from $250/month to a jaw-dropping $2,000/month for custom pricing). For no monthly cost, you’ll be able to process ACH transactions for 0.5% per transaction (min $0.05, max $5). Even at the Pay-As-You-Go level, it’s cheaper than many payment processors that offer ACH, so the company is worth considering even if you already have eCheck capabilities.
If your business is large enough for the Scale plan’s monthly fee to make sense, you can get fixed-rate ACH processing. You’d have to be doing a lot of transactions for that to make sense, however.
Pros
- Pay-as-you-go ACH processing
- Many developer tools available
- White-label solutions available
Cons
- No credit or debit card processing
- Paid plans are very expensive
- Only available in the U.S.
Types Of ACH Services
For businesses that accept payments online — through electronic invoices, a virtual terminal for keying-in payments, a website or web form, or any other methods — there are a few common pathways to setting up ACH payments. Approval for adding ACH processing to your account also requires a separate (and more intensive) underwriting process since ACH payments allow you to transfer funds directly out of your customers’ bank accounts.
You’ll need two primary components to accept ACH payments, which may or may not be provided by the same entity:
- A payment gateway (the software that transmits payment data)
- An ACH processing account that’s connected to your gateway
Below are a few of the most common ways merchants can accept ACH payments:
What To Look For In ACH Processing Services
Now that you know where to look for an ACH payment provider, how do you know if you’ve found a good one? Here are some important considerations and tips to guide you:
- Reasonable Rates: An ACH processing rate can come as a percentage, a flat fee per transaction, or both. In most cases, especially as your transaction size increases, a flat fee will be preferable to a percentage charge. Sometimes, ACH transactions are even free if you’re already paying for credit card processing through the same company. Remember that your ACH rates should be lower than for credit card processing in the vast majority of cases!
- Reasonable Fees & Overall Cost: While rates are important, don’t get too caught up in this one figure. Watch out for hefty application or setup fees or a high annual or monthly fee for a service that provides little value for the price. Ask about the cost of any add-on products or services that may or may not be mandatory for your business, as well as the charge for incidentals, such as ACH reversals and ACH returns. For more information on the types of fees to look out for, check out the Pricing section of our ACH guide.
- Helpful Features: This depends on your business type and circumstances, so consider the features both you and your customers need most. Do you need a virtual terminal for manually entering MOTO transactions? An ACH gateway that handles complex recurring billing configurations? A gateway that comes pre-integrated with the shopping cart or website builder you’re already using? Auto-reconciliation of invoices or advanced reporting tools? Expedited deposits? A check guarantee or check verification service to protect yourself in a high-risk industry? Shop around to see what features are out there and avoid paying for extras you don’t need.
- User-Friendliness: Again, think about ease of use both from your perspective and the perspective of your customers. Find out what personalized help or support documentation is available for the initial deployment and ongoing troubleshooting of the system. How much tech-savviness do you need to work with your ACH gateway? Talk with your provider and ask to see examples of all the available tools in action.
- Advanced Integrations & Developer Tools: Some ACH payment providers not only integrate with websites and shopping carts but also with services that automate and streamline authorization and bank verification for ACH. For example, Plaid is a popular ACH integration that facilitates the authorization of funds and validation of bank accounts without requiring the customer to go look up an account or routing number. Meanwhile, if you work with a software developer to customize and run your website, we’d definitely recommend getting their opinion when deciding on an ACH service.
How Do I Find The Best ACH Processor For My Small Business?
The high cost of processing credit cards has long plagued both large and small businesses alike. Especially when compared to accepting card payments in person, the cost of accepting plastic online can be particularly painful. Is it any wonder that direct bank-to-bank transfers that are batched and processed via the Automated Clearing House Network have steadily increased in popularity over the years, despite the arrival of newer, snazzier-sounding payment technologies onto the scene?
When looking for an ACH payment provider, we’d suggest starting with your current merchant account or payment gateway provider. If you’re just getting started with an online business, we encourage you to be open to accepting as many payment methods as you can. The more options you provide, the better you’ll reach customers. In this case, you’ll want to pick a provider that has a good track record of serving businesses like yours, with competitive rates and, ideally, no long-term contract.
ACH processing is just one of several alternative payment methods that have become more popular in recent years due to the steady growth of the eCommerce business community. Also, the steady increase in the cost of accepting credit cards has led many business owners to seek out ways to avoid them by offering additional payment methods that aren’t as expensive to process. For more information on eCheck & ACH processing, as well as newer alternative payment methods, please consult the following articles:
- The Complete Guide to B2B Credit Card Processing, ACH Payments, & Other B2B Payment Methods
- ACH VS Wire Transfers: What’s The Difference For Sending & Receiving Payments?
- The Complete eCheck Payment Guide
- What Are Alternative Payments? 10 Alternative Payment Methods To Know About
- What Is A Payment Link & How Do You Use One? 6 Best Pay-By-Link Options For Small Business
Common Questions About Online ACH Processing
In Summary: The 9 Best ACH Processing Companies
- PaymentCloud: Best for high-risk businesses.
- National Processing: Businesses that need ACH as a supplementary payment option.
- Stax by Fattmerchant: Best for high-volume US merchants.
- Square: Best for very small or seasonal businesses.
- Stripe Payments: Best for global businesses.
- Dharma Merchant Services: Best for nonprofits.
- SeamlessChex: Best for eCommerce businesses that want non-traditional ACH payments.
- Helcim: Best for Canadian merchants.
- Dwolla: Best for businesses that need ACH as their primary payment option.
Frank Kehl
Expert Analyst & Reviewer at Merchant Maverick
Frank Kehl has been researching and analyzing merchant services, payment gateways, and international money transfer services since 2015. He has a Bachelor of Science degree from Penn State and a Juris Doctorate from the Ventura College of Law.
View Frank Kehl's professional experience on LinkedIn.
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What does “account stability issues” mean?
Hi Jeff,
In this post, we describe account stability issues like this:
“Third-party processors are vigilant in guarding the risk profile of their merchant accounts. They tend to hold, freeze, or terminate a merchant’s account whenever they detect any unusual activity, such as attempts to process a single transaction that’s much larger than what the merchant typically averages.”
Hope that helps!
Thank you for your articles…as a start up service business (and with others in my category I am searching for a solution for all of us) this is the dilemma/question. As contractors for an institute, the institute has instructed we bill them through PayPal invoice. Where we are all start-up practices, many with manual to a variety of different invoicing systems, we’re looking for the possibility of receiving the contracted rate without the fees debited that PayPal charges. Is this possible or is the moving of money always with a cost? Your article on Zelle was helpful although the institute banks with a non-participating bank. Grateful for your anticipated help🙏
This comment refers to an earlier version of this post and may be outdated.
Hi Christine!
For businesses, moving money, accepting payments, etc. will almost always cost money. Accepting credit card payments will always cost money because the banks demand a cut. It’s just a matter of whether a business accepts it as part of doing business, or if they can and choose to pass those costs onto the customer. It’s a lot harder to pass on those fees in a B2B space, unfortunately. You could take a look at Dharma or National Processing, who might have invoicing solutions where you can potentially get lower interchange rates, as well.
This comment refers to an earlier version of this post and may be outdated.
National Processing charges the following:
Setup Fee: $25.00
Monthly Fee: $15.00
Transaction Fee: Payments above $5,000.00 is 1%
The information in the chart above is incorrect.
This comment refers to an earlier version of this post and may be outdated.
Hi Curtis!
Good catch and thanks for pointing it out! We’ll be updating the entire article soon. Stay tuned!
This comment refers to an earlier version of this post and may be outdated.
HI Rose, I’ve read a few of your ACH / echeck articles, very educational and super helpful. I’m in need of a good invoice/payment solution for our clients. Unfortunately i’m having a difficult time in finding the right solution for our business. 90% of our business has avg invoice size > $140k, 10% of our business has invoices avg $8k. Our bank does not have a great solution. Quickbooks (not our primary solution) can not process payments/invoices > $50k. Any ideas? Your advice would be greatly appreciated.
This comment refers to an earlier version of this post and may be outdated.
Hi, David!
Thanks for your question; we have a few recommendations that may be a good solution for you! PaymentCloud may be a great fit because historically they do well with these types of higher ticket transactions. A few other great options you may want to look into are National Processing and Dharma, mainly because they have a great team who would be helpful in finding a solution for you, or pointing you in the right direction if nothing else. Best of luck in finding the right fit.
This comment refers to an earlier version of this post and may be outdated.
Awesome, thanks Rose!!!!
This comment refers to an earlier version of this post and may be outdated.