> ## Documentation Index
> Fetch the complete documentation index at: https://docs.withacclaim.com/llms.txt
> Use this file to discover all available pages before exploring further.

# ACH Debit

> Collect USD payments directly from bank accounts in the United States using ACH debit. Suitable for recurring and high-value transactions.

ACH Debit is a direct debit payment method that allows you to **collect USD payments from bank accounts in the United States**.

It is commonly used for **recurring payments**, **bill payments**, and **high-value transactions** where bank-based payment is preferred over cards.

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## How ACH Debit works

ACH Debit follows the standard direct debit flow: **authorize**, **initiate**, and **settle**.

1. **Collect authorization**
   The payer provides consent to debit their bank account. This is typically done through a hosted or embedded flow.

2. **Initiate the debit**
   Once authorized, you initiate a payment against the payer’s bank account.

3. **Settle funds**
   Funds are transferred through the ACH network over several business days.

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## Requirements

To process an ACH Debit payment, you typically need:

* Bank account number
* Routing number
* Account holder name
* Authorization (mandate) from the payer

Additional requirements may apply depending on the use case.

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## Timing and settlement

ACH payments are not instant and follow standard processing windows.

* Settlement typically takes **1–3 business days**
* Processing times may vary based on submission timing and bank cutoffs
* Funds are not guaranteed until settlement is complete

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## Returns and reversals

ACH payments can be returned after initiation.

Common return reasons include:

* Insufficient funds
* Invalid account details
* Authorization issues

Returns may occur **several days after the original payment**, depending on the return code and rules.

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## Authorization and mandates

ACH Debit requires payer authorization before initiating a payment.

Authorization includes:

* Consent to debit the account
* Agreement to ACH network rules
* Record of authorization for compliance

Authorization can be collected through a **setup request** or during a payment flow.

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## When to use ACH Debit

ACH Debit is best suited for:

* Recurring payments
* High-value transactions
* Reducing payment processing costs
* US-based payers using bank accounts

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## Comparison to cards

| Feature        | Cards     | ACH Debit                    |
| -------------- | --------- | ---------------------------- |
| Payment type   | Push      | Pull                         |
| Currency       | Global    | USD                          |
| Authorization  | Immediate | Requires prior authorization |
| Settlement     | Fast      | 1–3 business days            |
| Failure timing | Immediate | Possible delayed return      |

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## Best practices

* Collect and store authorization before initiating payments
* Validate bank details before submission
* Account for settlement delays in your workflows
* Monitor returns and handle them appropriately

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## Summary

* ACH Debit allows you to collect USD payments from US bank accounts
* It requires payer authorization and operates on a pull model
* Settlement takes 1–3 business days and may include returns
* It is ideal for recurring, high-value, or cost-sensitive payments