Direct Debit and eCheck Processing

What is eCheck Processing and Direct Debit?

Direct debit, often referred to as ACH, eCheck or online check in the United States, is a form of payment where the customer gives you their bank account details along with permission to debit funds directly from their account.  The rules that govern direct debit processing and eCheck processing vary from country to country. Depending on where the customer lives and the type of permission given, direct debit can be used to pay an invoiced amount, to pre-pay an order or to arrange recurring payments. 

The Process

Account Information

You collect bank account information from your customers by mail, internet, telephone or fax, and then submit the information to a bank or payment processor, who collects the payment on your behalf.

To offer direct debit (or eCheck processing as it is known in North America), in most countries, it is necessary to print a direct debit permission, or mandate, and include it with your order form or invoice. In other countries, it is permissible to collect DD authorization by telephone or web. Depending on the country, there may be strict rules about the wording and layout of the authorization. PacNet will provide you with all the details you need.

Submitting Payments

Direct debit information can be securely submitted to PacNet via Raven Online. We process each batch of payments in the appropriate currency through our worldwide network of direct debit facilities. We report back to you promptly with notification of inaccurate account information or rejected payments.

Keeping Records

It is necessary to keep records of direct debit authorization on hand in case your customer’s bank would ever like to question a transaction. The period of time you must keep the authorization varies from country to country.

For further information about direct debit processing, including a complimentary consultation and indication of rates, please call or email today. We will be pleased to advise you as to whether or not direct debit is appropriate for your international campaigns.