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Automated Debits
Does Your Business Experience These Problems?
- You invoice your customers every month and wait for the payments
to come in the mail. (The SBA indicates the cost of an invoice is $2.50).
- Some customers claim the invoice is "lost", forcing you
to issue a second invoice.
- You never know when the payments will arrive each month.
- You can’t plan for future
growth or pay your accounts payable on time.
- You have expensive employee time just on follow-up with
customers.
APS can solve these problems.
- Our Automatic Debiting Service can eliminate the expense of
invoicing your customers.
- Your cash flow is increased because your accounts receivable are
credited to your account on the due date each month.
- Your customers love the convenience and save time and money by
not having to write a check.
- You are assured of all your money each month - no chasing down
payments - no collection efforts.
- You never have to issue another invoice, saving time and allowing
you to concentrate on running your business.
How it Works
- You choose either paper drafts or electronic funds transfer
(ACH).
- Either install the APS
AutoTransfer software and send your data
each billing period to APS or APS will maintain your customer data on our computer and create
the debits each billing period.
- Either way, the debits to your customers' accounts and
the credit to your account occur on the date the debits are due.
- Customers’ bank
statements reflect the debit, and, if a draft is printed, it is included
with the statement.
- You receive a report listing all customer debits and appropriate
totals.
- You can get an electronic paid file to automatically post
payments to your A/R system, eliminating the cost of manually posting payments.
All that is required is a written authorization from your customers to debit
their account. APS will assist you in designing the forms and the legal wording
required.
Cost
- Drafts
- There are no initial or sign-up fees.
- Transaction fees are based on monthly volume and range from
$.75
to $1.00 per draft.
- Minimum monthly fee is $25.00.
- Electronic Funds Transfer (ACH)
- Transaction fees are based on monthly volume and range from
$.45
to $.80 per transaction.
- Return fees for NSF, NOC or other returns are
$10.00 per return.
These fees can be passed on the customer.
- For risk management reasons imposed by the Federal Banking
System, client may be required to maintain a specified amount of funds on deposit, the
amount being determined by the amount of the monthly debits and other factors.
- There is a minimum
monthly fee of $25.00.
- APS will contractually require the right to debit client's
account on a monthly basis for services rendered and, for ACH clients, per occurrence of a
return or other fee charged to APS over and above the normal fees, except in the event the
charges are due to error on the part of APS.
Automatic debiting is clearly cost effective when you compare the cost of an
invoice at $2.50 with either paper drafts or ACH and you improve your cash flow by getting
your receivables on the date they are due.
APS - Using technology to meet the most needs of business.
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