You must verify a user’s account to accept an ACH Direct Debit payment or transfer. With Financial Connections, your customer authenticates their bank account and provides permission to share the details you need to charge their account, such as a tokenized account and routing number.
Collecting bank account details from a customer with Financial Connections can help you:
- Improve payment reliability by ensuring that a user’s bank account is open and able to accept ACH direct debits.
- Increase checkout conversion by eliminating the need for your customers to leave your website or application to locate their account and routing numbers.
- Save development time by eliminating the need for you to build bank account form validation when your customer enters account details.
Optionally, you can request permission from customer to retrieve additional data on their Financial Connections account. Consider accessing balances data and ownership information to optimize your payment integration.
Retrieving additional data on an account helps you in the following ways:
- Avoid fees from insufficient funds failures and protect your customer from overdraft charges by checking an account’s balances before initiating a payment.
- Reduce fraud by matching the account owner’s name and address to the information provided by your customer at checkout.
To verify a bank account to accept an ACH Direct Debit payment with Financial Connections, you must also use the Stripe Payment Intents API or Setup Intents API or a hosted Stripe payments interface such as Checkout or the Universal Payment Element.
Learn how to collect a bank account to accept an ACH Direct Debit payment.
Micro-deposit verification is also possible as an optional fallback method of verifying an account for this use case. The following shows how the micro-deposit flow looks: