A written authorization is required and consumers can revoke the authorization as according to procedures in the authorization agreement.
Consumers benefit by reducing the time spent paying bills and by reducing postage costs.
Because of the benefits to consumers, businesses and financial institutions, Direct Payment usage is increasing rapidly. With an already high level of consumer awareness, and incentives such as postal rate increases, Direct Payment usage is becoming even more popular. Cost Analysis of Processing ACH Debits vs. Checks Total processing costs of ACH debits received by financial institutions generally range from about 3 cents to 8 cents, and averages 5.7 cents per item. In comparison, average processing costs for checks drawn on financial institutions generally ranges from about 6.5 cents to 13 cents, and averages 10.5 cents per item.