Non 3rd party ACH processing
 

Is it do-able?

Is there any way to get setup to process ACH without going through one of these third party processors?

No drama = No reply

People expect it from you.

Consider this a gift from me... Bump

:glugglug

I've never really investigated this, but I don't see why it wouldn't be possible. Talk to your bank.

Years ago, my wife took a magazine subscription over the phone from some shady company and gave them our checking account info. Instead of billing us, they wrote "tele-checks" against our account. If I recall correctly they were pretty normal looking checks, except they were unsigned and had some verbage about taped voice authorization.

Yeah, I had a friend a few years ago who in addition to IBill, was taking checks. He was simply taking the routing info and account info and crap from a form on the website and literally printing up the drafts and cashing them. Bank was all confused at first when he would walk in with a few hundred checks for 9.95 that he had printed himself, but once he explained it they were all good. I know that is not ACH however.

I am guessing to get plugged into the ACH system is similar to getting a merchant account, but Ill be damned if I can find anything online about it. Just a whole lot of people providing third party access to it. And judging from the looks of these outfits, its cant be that hard.

Getting hooked up to the system is one thing (and I dont really want to talk to my bank, I am in podunk Washington now and my ass walking in and wanting to shove smut through their system is not a conversation I am eager to have), integrating it into your website is another.

Sad isnt it. I am a typecast board whore.

Or I dont think it exists. Is any porn site doing their own ACH? Tell me who, I want to talk to them please...

LABRET = MEAT LOVING HOMO


(hope this helps get you some more replys :winkwink: )

I know we can send ACH payments, never asked about doing ACH debits. I'll ask our accountant tomorrow about that.

Labret - you are basically correct in the assumption that in order to participate in the ACH system (without using a 3rd party) you would need to have your bank sponsor or set up a program for you. After signing your life to the fact that you will play by the NACHA rules as they relate to accepting payment, getting consumer authorization, blah,blah . . you will generally need to post a reserve deposit. The amount you deposit then determines how much daily/weekly/monthly limit you are allowed to process through the system. Of course, just like a merchant account, the bank will be all over you if your declines (checks that attempt to process that had bad routing numbers/account numbers) and your returns (i.e. chargebacks) exceed "normal" parameters.

Let me know if you want more details.

R

Thanks Ron. You as well Rodent

Sounds difficult. Can any bank hook you up, or are there specific banks just as there are specific merchant account banks?

This NACHA, I just looked at their website, what are their feelings on porn?

Can you do ACH offshore?

(1) In theory - any bank could set this up for you. The larger banks, Wells, B of A, etc are more receptive - but are more conservative in their underwriting (need strong bus track record, financials, etc). I have seen some smaller banks such as BankNorth out East do these as well as super regionals like US Bank.

(2) They don't look into the issue of what is run through the system so long as it conforms to guidelines, etc

(3) US Bank = US ACH. Offshore banks can do Direct Debit (ACH) with consumers in other countries, i.e. the EU but depending on the country, bank regs may require that you get a signed "mandate" from consumer before debiting account. Offshore banks can't process US consumer accounts

You might consider talking to Telecheck as well, FDR is bound to have a product that will do this, and they don't mind adult.

Contact someone from achchex.com by phone.

Fees are damn near nothing (by comparison), but it's still basically 3rd party.

I think most 3rd party adult ACH companies are acutally 4th party and use a mainstream 3rd party ACH gateway anyway.

Going "direct" with ACH requires a few hoops to be jumped through in order to get hooked up directly to the FRB/ACH. Not worth it when there are sooo many 3rd party ACH gateways out there who's fees are peanuts.

Labret gets my MAN panties wet

Lab--
We set up third-party processors with ACH solutions...and it's a major pain, let me tell you. Most legit banks do not want adult trans, do want a large reserve and require strict financials as well as NACHA compliance...

MUCH easier to simply add Electra's or Paycom's product line to your offerings and pay the fees....IMHO...

Hit me up Labret on icq, 97282074 might have some info that can help.

Spoke to telecheck on the phone a while ago they dont do adult.

Yes Labret.....there is a way to do ACH that is NOT third party. We help people with getting there own ACH solutions.....as well as their own merchant accounts, both in the US, the EU and the Far East.
We can also provide gateway and fraudscrubbing technologies and we have recently partnered with a company that can provide you with 24/7 customer service for your customers to help keep your chargebacks down.

Send me an email if you get a chance:

[email protected]

ACH processing has many variables. The ACH network is very different from the credit card network. Once a credit card is authorized in real-time, the only potential result going forward is a charge-back. With ACH, there is only limited real-time authorization, and everything else is subject to return by the receiving depository financial institution (RDFI).

Proper ACH processing requires knowledge of all the nuances and subtleties of every Bank, S&L and Credit Union in the US. There is no standard for how each bank facilitates ACH requests and many institutions do things differently. For instance, many banks do not use the same ABA for the ACH as is printed on a their consumer's checks. Many credit unions (and some other, smaller financial institutions (FI's) use a correspondent bank. And, some FI's do not participate in ACH at all.

Failure to deal with these factors results in a returned check - many times on entries that could have been successful. It is crucial to create and maintain a database of NOC's, bank account to ABA structure (MOD 8, 10, 12); bank account length and structure, non-participating bank discovery and conversion, and ABA substitution to create the best potential conversion ratio for ACH.

Your bank will not do this for you.

There are many banks that hold themselves out as ODFI's, however, the majority of them are "old school". Their systems were designed for PPD transactions and are not equipt to offer you solutions in a non face-to-face environment.

We have integrated into several merchants ODFI's so these merchants could enjoy the benefits of our gateway, front-end tools and other solutions while securing a direct ACH relationship with their existing bank.

It can be an expensive route to go considering the alternatives. Feel free to contact me and I will give you my opinion on what the best way to go is for your application.