Authorizing a Bank Account for ACH/EFT Payments
Before ACH/EFT transactions can be processed, the customer must complete the Bank Authorization. This is a mandatory standard for ACH/EFT payments. The workflow for authorization is as follows:
- Bank account details are entered.
- The customer can add an ACH/EFT payment method from their customer portal account, or;
- The business may add an ACH/EFT payment method under the customer record.
- The payment processor will make a microdeposit into the customer’s bank account.
- This is usually a $0.01 deposit.
- The deposit will have a transaction number or statement descriptor that includes a 6 letter code starting with “SM”.
(Example: SMABCD-UNIT TRAC – ACCTVERIFY-ST-AB1C23DEF4567)
*Note - this may look a little different depending on the bank.
- The customer will receive the following email with directions for authorization.
- The customer will need to click the "Authorize Now" button in the email. This takes the customer to a page to enter the 6 digit code from the deposit in their bank account as noted above.
Below is the page the customer sees when they click the “Authorize Now” button.
Once the account has been authorized, ACH/EFT payments can be processed.