ACH Direct Debit

What is ACH Direct Debit?

ACH (Automated Clearing House) Direct Debit is a payment method that allows merchants to withdraw funds directly from a customer’s bank account. It is commonly used for recurring billing, subscriptions, and invoice payments.

Note: ACH Direct Debit is not a real-time transaction. Funds settlement typically takes several business days, and transaction status may remain pending for a period of time.

ACH Object

To initiate an ACH Direct Debit, you must submit an ACH object as part of your API request. The object contains the customer’s bank account information:

{   
	"routingNumber": "string",   
	"accountNumber": "string",   
	"accountType": "string" 
}

Field Descriptions:

• routingNumber(string): The 9-digit ACH routing number of the account.
• accountNumber(string): The US bank account number from which the payment will be debited. The length should be between 4 and 17 characters.
• accountType (string): Bank account type. Possible values: Checking or Savings.

Transaction Lifecycle

ACH transactions progress through the following statuses:

• Pending– The transaction has been initiated, but final confirmation is not yet available.
• Paid– Funds have been successfully collected from the customer’s account.
• Noncollectable – The debit failed and funds could not be collected (e.g., due to insufficient funds or invalid account).

Webhook for Final Status

Since ACH is not real-time, your system must listen for updates via webhook to determine when a transaction has reached its final status.

Please subscribe to the InvoiceStatusChanged webhook to receive these updates.

➡️ View webhook documentation

Account Verification

Account verification is optional, but highly recommended before initiating a payment. Verification helps reduce fraud and prevent failed transactions.

• Provider Selection: Choose between GIACT and Worldpay via the portal (Settings → Merchant Settings). Only one provider can be active at a time, but you can change it if needed.

  

• Endpoints: Verification is performed via dedicated API endpoints.

If verification fails, we recommend not proceeding with the debit request.

Processing Time

ACH Direct Debit is a batch-based system. Processing and settlement typically occur over several business days. Timing may vary depending on the customer’s bank and other factors.