ACH Payroll Processing & Fedwire Blog

ACH Payroll Processing & Fedwire Blog

In Growth Mode? Consider These Things Before Choosing an ACH Processor

Monday, October 05, 2015
In Growth Mode? Consider These Things Before Choosing an ACH Processor

By Brandon Orr, Regional Manager
In today’s world of payroll, choosing the right ACH direct deposit payroll processor can be a time consuming and tedious task. If your company is in growth mode, below are 3 questions to ask your sales representative before making a decision.

Do You Have Dollar Volume Limitations?

Many banks and third party ACH processors have certain guidelines in place to help mitigate risk. One of the most common stipulations a bank or other third party processors will impose is a daily dollar volume limitation. Whereby, the Service Bureau has a cap on the dollars that can be processed on a daily basis. As you are in growth mode, whether by acquisition or traditional sales, the dollar volume you will process as a result of bringing on new business will increase as well – resulting in hitting a daily threshold.

How Well Do You Know My Industry?

Many payroll service bureaus seek out ACH processors who are the least expensive. From time to time you will need assistance or have questions regarding the processing of your transactions. As the processing of ACH transactions is a vital part of the services a payroll company provides, you should have a partner that has experts onboard that can answer any and all questions you may have. To avoid being transferred from department to department, ask up front, how well do you know the payroll industry? Do you have a department or team of people that are solely dedicated to assisting your ACH clients when there is an issue or question?

Are You Bonded & Insured?

We can all agree that the payroll industry is an extremely competitive market. Not only must service bureaus strive to maintain their competitive edge in the marketplace by staying up to date with the latest technology, but they must also give end user clients a sense of security. A crime bond will do just that. Partnering with an ACH processor that has a crime bond should be a requirement as you complete your due diligence process. A crime bond will protect client funds in the event the third party processor creates some sort of felonious activity while the client funds are in their possession. With a crime bond, you can promote and market that you’re bonded. This will help to drive more business and place the service bureau on an even playing field amongst much larger payroll companies. Keep in mind that ACH transactions processed by banking institutions are not insured through the FDIC.

Contact us to learn more about ACH payroll processing for high growth companies


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