With bank debits, you can pull funds directly from your customer’s bank account for both one-time and recurring purchases. Bank debits are often used by:
- Businesses collecting recurring payments from other businesses.
- Retail and services businesses that want a low-cost alternative to cards for large consumer payments, like rent or tuition.
Bank debits might not be a good fit for your business if:
- You deliver goods immediately after checkout because payment confirmation takes 3-7 days.
- Your business is sensitive to disputes—consider other payment methods because some bank debit methods favor the customer during disputes.
To initiate a bank debit, a customer enters their bank account details during checkout and gives you permission to debit the account. This permission is called a mandate.
To reduce fraud with some bank debits, verify the bank account before the payment by confirming micro-deposits or bank login. Verifying bank login can improve the user experience because customers pay by logging into their bank rather than entering bank account details.
You can use a single integration for all bank debits that works across Stripe products. With Stripe Checkout, you can add many bank debit methods by changing one line of code.
|Payment method||Customer country||PaymentIntents||Checkout||Invoicing||Connect||Subscriptions|
|Bacs Direct Debit||UK|
|SEPA Direct Debit||EU|
Contact us to join our beta for Pre-Authorized Debits (PADs), the Canadian bank debit scheme, or to request a new bank debit method.
Migrating from the Sources or Tokens APIs
If your current integration uses the Sources or Tokens API, we recommend following the migration guide to transition to Payment Intents and Payment Methods. Note that ACH is not yet supported on the Payment Intents API. Contact us to join the beta when it becomes available.