Going Digital: Understanding Merchant Services Providers

Posted on May 8, 2025

Cash has long been king, but its reign is quickly winding down.

Today, customers increasingly prefer electronic or digital payment methods for several reasons: ease of transfer, remote purchase capabilities and security, to name a few.

If your business doesn’t already accept accept credit cards, debit cards and other electronic payments, you’ll want to rethink that strategy before falling further behind—digital transactions accounted for 30% of all point-of-sale (POS) transactions and 50% of all online sales in 2023, and those shares are only expected to increase.

To get your company online, able to accept digital payments, you’ll need to partner with a merchant services provider (MSP). And, especially if you’re new to the online payments world, with all its regulations, compliance requirements and data protection laws, you’ll need to make sure and choose the right payments partner.

What Is a Merchant Services Provider?

A merchant services provider is a go-between company that acts as a mediator between your business and credit card companies and/or banks. If your company wants to accept multiple forms of payment beyond cash, it needs to work with a partner that offers secure merchant services.

The goal of most MSPs is to facilitate and secure the payment process for companies and their customers. Along with acting as the intermediary between banks and your company, an MSP may also allow you to connect your online and physical stores’ payment systems, ensure you stay compliant with security regulations and offer customer support.

Depending on your needs, your MSP may provide services such as payment processing, payment gateways, POS devices and merchant accounts.

Merchant Account Provider vs. Payment Gateway

Payment gateways and merchant account providers fall under the merchant services provider umbrella. In some cases, an MSP may provide both payment gateway and merchant account services.

Merchant account provider: Your company will need a merchant account to accept credit and debit cards. The merchant account provider holds funds for you while bank authorization occurs. Once the authorization is complete, the money is transferred from the merchant account to your bank account.

A merchant account isn’t the same as a typical bank account. While the money in the account technically belongs to your business (provided the credit or debit card company approves the transaction), you can’t directly access the money and withdraw it as you would funds in your savings or checking account.

Instead, you must rely on the account provider to transfer the money from the merchant account to your business bank account. The merchant account provider subtracts any fees related to the transactions from the balance before transferring the funds to your bank.

You need to have a merchant account before you can accept credit and debit cards. Some merchant account providers also offer payment processing services and products such as card readers, point-of-sale systems and mobile payments.

Payment gateway: This merchant service allows your company to process credit and debit cards, as well as other types of electronic payments. Online shopping, in-store shopping and paying with a credit or debit card in-store wouldn’t be possible without payment gateways.

Payment gateways provide software that transfers data about a transaction between parties. When customers provide their credit card information online, that information travels along the payment gateway to the issuing and acquiring banks. The payment gateway encrypts the card information, protecting it from third-party interception.

How Does a Merchant Services Provider Work?

As the go-between for a business and a bank, the merchant services provider facilitates payment transactions. While a lot goes on behind the scenes when a customer makes an electronic payment, the process itself typically lasts just a few seconds. A merchant services provider goes to work once a customer provides payment information:

The MSP sends the payment information to the acquiring bank.
The acquiring bank passes on the payment details to the issuing bank to get authentication and approval.
The issuing bank either approves or denies the payment.
The approval or denial gets sent to the acquiring bank, which sends the information to the MSP.
If the payment is approved, the merchant account receives approval and confirmation of the transaction.
The money is transferred from the customer’s bank account or credit card to the merchant account.

Merchant Services Pricing

Several pricing models are available for merchant services. The exact pricing structure can vary based on your agreement with your MSP and based on the volume of your transactions, historical risk and claims in your sector and specifics of your operation.

How Quickly Can You Get Started With a Merchant Services Provider?

If you’re ready to work with an MSP, the first step is to gather the information the provider will need to review your company and confirm you’re eligible to receive its service. Providing as much information as possible on your application helps streamline the process, meaning you can start more quickly.

Some of the documents you’ll want to include with your MSP application are:

Your business tax ID
Your website
Your mailing address
Your business’s bank account information

What Types of Businesses Can CSG Forte Help?

If your business wants to accept more forms of payment, the team at CSG Forte can help. We offer merchant services for small- and medium-sized businesses. We’ll help your company accept electronic payments, including credit and debit cards, in-person payments, online payments and over-the-phone payments. You’ll get peace of mind that your transactions are secure, and your customers’ payment data is safe. If you have any issues with our merchant or payment processing services, our customer service representatives will assist. We help you with troubleshooting issues and provide tools to support you with customer disputes.

FAQs

Have questions about working with a merchant services provider? Check out our answers to some of the most frequently asked questions.

Do I Need a Merchant Services Provider?

If your business wants to accept credit and debit cards or other forms of electronic payments, you’ll need to work with a merchant services provider. While you’ll need an MSP, the type of MSP your business requires can vary depending on the services and the type of payments you want to accept.

What’s the Difference Between a Merchant Services Provider and Merchant Account Provider?

A merchant account provider is a type of merchant services provider. A merchant account provider can give your company access to a merchant account. Some merchant account providers also handle payment processing, but not all do.

What’s the Difference Between a Payment Service Provider and Merchant Account Provider?

A merchant account provider gives your company access to its own merchant account. Payment service providers can also provide access to a merchant account, but the account won’t exclusively belong to your business. Instead, a payment service provider groups businesses together and uses the same merchant account for them. Working with either a payment service provider or merchant account provider allows your company to accept electronic payments, although it typically takes longer to receive an account from a merchant account provider than to be approved by a payment service provider.

How Can I Know My Payment Platform Is Secure?

Security is critical. Customers want to feel confident their payment information is safe from hackers, and companies want to know that the MSPs they work with prioritize security. To ensure payment security, all payment details should be encrypted during transmission and when the system is at rest. Fraud management tools are also important, and the MSP should comply with all industry standards.

How Do I Choose a Merchant Services Provider?

Choosing an MSP can be a straightforward process. You need to assess your organization’s needs and determine which types of payments you wish to accept, then do your research and look for a provider that fits your needs. Also, consider how you want to accept payments, such as online, in person or over the phone. Pay attention to the security measures the provider has put in place, the fee schedule and the amount of customer support the MSP provides. It is useful to look for an MSP that can integrate with your existing systems or provide ample support to help you migrate over.

Choose CSG Forte for Merchant Services

Take the steps toward achieving a simpler payment process by choosing CSG Forte as your merchant services provider. Contact us today to start your application or learn more.

 What Are the Economic Impacts of the Federal Government Going All-Digital?

Posted on May 7, 2025

As the adoption of digital payment methods continues to increase, the long-held phrase “cash is king” isn’t as true as it once was. In fact, consumer usage of cash at point-of-sale (POS) locations in the United States dropped by 13% between 2018 and 2024. And paper checks are also used less frequently: From 2000 to 2015, the number of checks written by U.S. consumers plummeted by 63%, from 19.3 billion to 7.1 billion. As of 2022, U.S. consumers wrote an average of just 15 checks per year.

Today, most checks are written by businesses or the government, according to data from the Atlanta Federal Reserve. And that’s about to change.

On March 25, the President signed an executive order mandating all federal departments and agencies end their use of paper checks for all disbursements and switch to electronic payments by September 30, 2025. This significant move aims to modernize how the government handles money, transitioning from outdated paper-based payments to fast, secure electronic payments. The potential economic benefits of this transition are substantial, with officials promising the transition will reduce costs, enhance efficiency and improve financial management across government operations.

Cost Savings

The shift from paper checks to electronic payments is expected to yield considerable cost savings for the federal government. Paper-based payments impose unnecessary costs and delays, and increase the likelihood of fraud, lost payments and theft. Processing payments through traditional methods can cost as much as $20 per transaction, compared to about 30 cents per digital transaction. By eliminating the need for paper checks, the government can significantly reduce administrative overhead and operational expenses. Additionally, automated workflows free up government staff for higher-value tasks, further contributing to cost savings.

In addition to the considerable cost savings, the transition to electronic payments promises significant time savings opportunities for the federal government. By replacing paper-based processes with digital solutions, government operations can be streamlined and modernized, reducing manual handling, minimizing errors and speeding up transaction times—while not directly related to saving money, these changes will provide cost savings over time.

Efficiency Gains

Digital payments offer numerous efficiency gains that can transform government operations. Electronic payments streamline processes, reduce manual handling and improve cash flow management. Faster transaction times and increased accuracy are among the key benefits, reducing the risk of errors and enhancing resident accessibility. For example, agencies with automated workflows receive fewer payment-related inquiries. By integrating modern payment solutions, government agencies can improve their operational efficiency while fostering better constituent relationships through more convenient and secure payment options.

To facilitate this significant transition, it is crucial for government agencies to adopt innovative payment solutions that can seamlessly integrate with existing platforms and streamline operations. Implementing such digital payment systems requires robust security measures to protect sensitive information, reduce errors, and ensure compliance with industry standards. By leveraging modern technology, agencies can accelerate the shift to electronic payments, enhance efficiency and provide residents with more secure and convenient services.

Easier Management

Switching from paper checks to digital payments brings transformative advantages for managing accounts and reducing fraud and overhead costs. Digital payments simplify account management by automating processes, reducing the need for manual data entry, and enabling real-time tracking of transactions. This shift minimizes errors and enhances accuracy, ensuring that financial records are always up-to-date and easily accessible.

Fraud reduction is another critical benefit of digital payments. Paper checks are susceptible to theft, forgery, and other fraudulent activities. In contrast, electronic payments offer robust security measures such as encryption and authentication protocols that protect sensitive information and mitigate fraud risks. This transition reduces the likelihood of lost payments and unauthorized access to financial data, safeguarding both government funds and constituent information.

Let CSG Forte Help Your Agency Go Digital Now

CSG Forte’s modular payment solutions are designed to meet the specific needs of government agencies, ensuring a smooth transition to digital payments. Forte offers robust security measures, including Level 1 PCI compliance and end-to-end encryption, to protect sensitive information during transactions. Their payment processing solutions are fully integrated into platforms like CivicPlus Pay and WasteWORKS, reducing manual processes and errors. Forte’s APIs and responsive design ensure easy integration across departments, accelerating the time to market for new payment solutions. By partnering with Forte, government agencies can leverage their expertise to implement secure, reliable, and efficient digital payment systems tailored to their unique requirements.

The recently issued executive order mandating the switch to electronic payments presents a significant opportunity for the federal government to modernize its payment systems, reduce costs and enhance efficiency. CSG Forte’s payment solutions provide the necessary tools and support to ensure a successful transition, helping government agencies achieve their goals while improving constituent services.

Contact our team today to learn more about how we can help you prepare for the federal government’s all-digital shift, and check back here soon to get an update from Forte leadership on how the change will affect companies like yours.

What Is ACH Prefunding?

Posted on May 5, 2025

Automated Clearing House (ACH) transactions are booming. In 2024 alone, the ACH network transferred 8.6 billion commercial and government direct deposit payments (totaling $15.8 trillion) for things like payroll, retirement distributions, Social Security and tax refunds. Imagine what would happen if the money wasn’t there to back those payments. Banks, who are ultimately on the hook, would be in hot water.

That’s where ACH prefunding comes in. Prefunding ACH transactions guarantees there’s enough money in the payer’s account before the payments are approved—reducing the credit risk and keeping the system running smoothly.

Keep reading to learn how ACH prefunding works and why it matters for banks, businesses and payees.

What Is ACH Prefunding?

ACH transactions refer to the electronic transfer of money between bank accounts. ACH transactions move funds electronically through the ACH network to cover a range of payments, such as direct deposit of paychecks, recurring bill payments and online purchases.

ACH pre-funding is a financial practice used primarily when processing ACH credit payments (when money is “pushed” from one bank account to another through the ACH network). To prefund ACH transactions, the financial institution debits the funds from the originator’s (the party sending the money) account in advance, guaranteeing sufficient funds are available to cover the outgoing payments.

How ACH Prefunding Works:

Initiation of ACH credit transaction: A company, agency or individual (the originator) initiates an ACH credit transaction to send funds to another party. This could be for payroll, vendor payments, Social Security payments or other large disbursements. The payer or the payer’s processing partner provides an originating depository financial institution (ODFI) with the payee’s account information, the amount to be sent, a categorization code and a target settlement date.
Funds verification: The ODFI verifies that the originator’s account has enough funds to cover the total amount of the ACH credit transaction.
Prefunding process: Instead of immediately sending the ACH transaction, the ODFI prefunds the transaction. This means:
1. The ODFI debits the originator’s account for the total amount of the ACH credit transaction—usually one or two days before the effective date of the ACH transaction (when the funds are intended to be available to the recipient).
2. The funds are then held in the ODFI’s settlement account until the credit file is released by the ODFI.
Settlement: On the effective date, the ACH network processes the transaction, transferring the funds to the receiving depository financial institution (RDFI), which then credits the recipient’s account.

What Are the Benefits of ACH Prefunding?

ACH pre-funding is a safety measure that adds a step in the ACH credit process to guarantee the availability of funds by debiting funds from the originator’s account prior to releasing ACH credits.  Prefunding ACH transactions decreases the bank’s credit risk associated with ACH origination by reducing the risk of the originator’s account having insufficient funds at the time of ACH prefunding settlement. If the originator doesn’t have sufficient funds in its bank account on the effective date, the ODFI is responsible for those transactions.

Prefunding ACH transactions offers several other advantages for financial institutions, businesses and recipients:

Guaranteed settlement: Funds are verified and secured before processing, eliminating the risk of rejected payments due to insufficient balances.
Lower return rates: Prefunding guarantees that the originator (sender) has the necessary liquidity, reducing ACH returns.
Faster settlement times: Prefunding ACH transactions supports smooth and timely settlement. Prefunded ACH credits often qualify for same-day or next-day availability of funds.
Better cash flow predictability: Businesses can accurately forecast outgoing payments without surprises.
Improved vendor and payee trust: Employees, suppliers and contractors get paid on time, strengthening business relationships.

What Are the ACH Originator’s Responsibilities?

In the ACH payment process, the originator is the individual, business or entity that initiates the ACH transaction. Originators have several responsibilities within the ACH process, including:

Authorizations: Obtain the proper authorizations from the transaction recipient to originate one or more entries to the recipient’s account. Provide authorization to the bank within a specified time, if requested to do so. Retain proper authorizations for at least two years following the termination of the authorization.
Security: Protect the recipient’s banking information. Protect sensitive financial data, including employees’ identities and credentials.
Account updates: Make necessary changes to the payee’s account information within a specified time frame or prior to the next origination, when notified.
Transactions: Send ACH entries on the correct date and cease entries when notified. Notify the recipient regarding changes in transaction amounts or dates. Prefunding ACH transactions minimizes changes in transaction dates.

What Happens if Prefunding Fails?

If the originator’s account doesn’t have sufficient funds for the ACH credit payment during prefunding, the bank sends a notification indicating the ACH transaction failed funding attempts. This notification will also indicate a specific date/time by which the originator must fund the account. If funding doesn’t occur before the cutoff, the ACH payment will fail and the originator must reinitiate the payment. If sufficient collected funds are still not available before processing begins on the evening before the file settlement date, the file may not be processed.

How to Reduce ACH Fraud Risk

ACH credits are becoming a prime target for business email compromise (BEC), a scam where fraudsters posing as executives or (more commonly) vendors send emails to trick employees into making unauthorized payments. According to the 2025 Association for Financial Professionals’ Payments Fraud and Control Survey Report, 63% of respondents cited BEC as the number one avenue for attempted and actual payments fraud, with ACH credits the second most vulnerable payment target (reported by 50% of respondents, behind wire transfers at 63%).

While ACH prefunding doesn’t prevent fraudulent transactions (it just makes sure the money is available for transfer), originators and financial institutions can take these steps to reduce ACH fraud risk:

Perform an internal risk assessment and controls evaluation: What types of controls are in place to combat ACH origination fraud?
Strengthen identify verification before sending payments: Know to whom the money is going before sending payments.
Implement security measures: It’s imperative that you protect employees’ computers and credentials.
- Regularly update firewalls and anti-virus, anti-malware and anti-spam protections.
- Protect and keep confidential all user IDs, passwords and authentication methods.
Send alerts: Do this when an employee’s password has been changed, or when an ACH credit transaction has been generated.
Monitor accounts online daily: Review the balances and account transactions so you are aware of all ACH transactions, even when they have not yet posted to your account. Early detection of fraud is critical to minimize the damage.
Use dual-approval procedures: One bank employee generates the ACH batch and a second employee logs in and approves the batch.

Send and Receive ACH Secure, Reliable Payments With CSG Forte

CSG Forte makes it simple to disburse funds and collect payments instantly and reliably via ACH transfer. You can make payments to a supplier, to your employees or as a refund to a consumer just as easily as you accept customer payments.

CSG Forte supports same-day payment options to make ACH transfers even more convenient. Our payment platform protects financial data and provides payment confirmation, offering account status validation and account ownership solution, as well. These features reassure users that payments reached the right recipient.

With CSG Forte, it’s easy to accept—and make—digital payments. Ready to get started?  Contact us today.

Pay Later: Why Allowing Installment Payments Is Good for Healthcare Providers

Posted on May 2, 2025

Not long ago, a patient in Austin, Texas, walked out of a specialist’s office without getting the care she needed—not because she lacked insurance, but because the $1,100 out-of-pocket cost for a procedure wasn’t something she could afford that day. The front desk offered a credit card form and a sympathetic shrug. That provider likely lost more than just a payment—they may have lost a patient for good.

Stories like this are increasingly common. As deductibles climb and insurers shift more costs to patients, Americans are struggling to pay medical bills on time—and providers are feeling the consequences. According to a 2024 report from the Commonwealth Fund, 38% of U.S. adults said they or a family member had postponed or skipped needed care due to cost in the year leading up to the study. This means that providers that don’t offer flexible ways to pay may be watching revenue slip through the cracks.

That’s where installment payments come in. By offering patients the option to split medical bills into manageable chunks, providers reduce friction at the point of payment—and increase their chances of getting paid, in full and on time. More importantly, they meet patients where they are.

At CSG Forte, we’ve made installment flexibility a core part of our payments solutions. It’s one of the features that sets us apart—along with 99.99% uptime reliability, robust authentication rates and a network of over 20 top-tier processing partners. Our goal isn’t just to process payments. It’s to help healthcare organizations improve the entire patient financial experience, from the first invoice to the last payment.

Read on to explore why installment payments are becoming a must-have—and how providers can implement them without adding operational complexity.

Why Patients Want (and Expect) Installment Options

Healthcare costs in the U.S. have been climbing for years—but the way we pay for care hasn’t kept pace with patient needs. With the rise of high-deductible health plans, even insured patients are routinely hit with four-figure bills. That financial pressure is changing expectations.

Patients today expect the same flexibility from their healthcare providers that they get from retailers and utility companies. According to a 2023 report from PYMNTS and Experian Health, 61% of consumers would switch healthcare providers to one that offers more appealing payment experiences—and installment plans top the list of features they want.

For many patients, installment payments aren’t just a nice-to-have—they’re the only way to move forward with care. Offering a “pay later” option can mean the difference between a patient booking a follow-up or delaying treatment altogether. This is especially true for younger generations. Millennials and Gen Z, who are now the largest segments of the workforce, are more likely to expect digital-first, financially flexible payment experiences—and less likely to tolerate rigid systems.

At the same time, providers are navigating new pressures of their own. Offering installment payments is a practical way to reduce the number of bills that go unpaid or get sent to collections. It also sends a clear message to patients: we’re working with you, not against you.

CSG Forte Checkout is designed to meet this moment. By integrating customizable payment plans into your payment process, you can accommodate a wider range of patient financial situations without sacrificing control or compliance. Installments help reduce friction, build trustand ultimately boost retention.

And in a world where care quality is often judged as much by the billing experience as by clinical outcomes, that matters more than ever.

How Offering Installments Helps Providers Get Paid Faster and More Reliably

In healthcare, delayed payments don’t just affect the finance team—they affect the entire organization. Revenue that doesn’t come in on time puts pressure on staff, interrupts cash flow and can even hinder a provider’s ability to expand services or invest in new technology.

Offering installment payments helps solve this problem. By making bills more manageable for patients, providers increase the likelihood of on-time—and in-full—payments. That means fewer accounts sent to collections, less staff time spent chasing balances and more predictable revenue.

At CSG Forte, we’ve designed our payment solutions to turn flexibility into a financial advantage. Our platform supports installment options that are easy to set up, automate and track, so providers don’t have to worry about losing control over the billing cycle. And with 99.99% uptime reliability, your systems are always ready to take payments—day or night.

Benefits of Offering Installment Payments with CSG Forte:

Faster payment cycles: Less friction means patients pay sooner.
Higher collection rates: Smaller, automated payments are easier to manage.
Improved patient experience: Reduces stress and builds loyalty.
Lower administrative burden: Fewer follow-ups, less manual processing.
Better forecasting: More consistent cash flow makes planning easier.

Beyond the technology, Forte’s white-glove service ensures that implementation is seamless and support is ongoing. Whether you’re a large health system or a mid-size practice, we work with you to make payment flexibility a sustainable part of your operations.

And as industry consolidation and competition ramp up, providers who offer a smoother, more empathetic payment experience will have a clear edge. Today’s patients aren’t just choosing where to get care—they’re choosing how they want to be treated after the visit ends.

Operational Simplicity: Integrating Installments into Your Existing Systems

Healthcare organizations often hesitate to add new billing features out of concern for operational disruption—but offering installment payments doesn’t have to mean overhauling your tech stack. With the right partner, it can be fast, flexible, and seamless.

Forte’s installment capabilities are built to plug into your existing workflows with minimal friction. That’s possible because of our strength across gateway orchestration and payment processing. We’ve built a robust network that connects to more than 20 top-tier processors, allowing you to route transactions intelligently, maximize uptime, and avoid vendor lock-in. This flexibility is a major differentiator, especially in an industry where every second of system downtime can delay revenue collection.

Our gateway’s uptime (99.99%) ensures that your payment infrastructure is always ready—no matter the day or hour. Whether patients are making payments at the front desk, online, or via mobile devices, Forte ensures the transaction is processed quickly and securely.

CSG Forte is more than just a plug-and-play solution; it becomes an extension of your team. Our implementation specialists and account support ensure your system is tailored to your specific needs and optimized from day one.

When payment technology aligns with your workflows instead of interrupting them, everybody wins—especially your patients and your bottom line.

Security, Compliance and Trust—Backed by Forte Reliability

When healthcare providers introduce new payment options like installments, they’re not just adjusting how revenue comes in—they’re also taking on new responsibilities around data security, fraud prevention and regulatory compliance. Patients are entrusting you with both their health and their financial information. You need a payments partner that takes that responsibility as seriously as you do.

Forte’s infrastructure is built for that trust. Our payment authentication rates exceed 90%, helping to ensure that transactions are secure from the moment they’re initiated. We’re compliant with all major industry standards, including PCI DSS and HIPAA, and we provide detailed audit trails for every transaction. That means peace of mind for both your finance team and your compliance officers.

Security isn’t just a back-end concern—it directly impacts patient confidence. According to the 2024 Healthcare Consumer Payment Survey, nearly 70% of younger patients say they are more likely to complete a digital payment if the process feels secure and professional. That trust translates to better payment rates, fewer abandoned transactions and a stronger relationship with your patient base.

Just as important: Forte’s platform is built with resiliency at its core. We ensure that patients can pay whenever it’s convenient for them—whether that’s during lunch, after work or in the middle of the night. No downtime means no revenue gaps. Our real-time alerts and transparent reporting also give you visibility into every dollar moving through your operations.

Ready to empower your patients—and your bottom line? Forte’s installment-ready payment solutions gives providers the tools to offer smarter payment options without compromising on compliance, security, or service. Whether you’re part of a growing health system or a regional clinic looking to modernize, we’ll help you move fast, stay safe, and keep your revenue flowing.

Let’s talk about what that could look like for your organization. Schedule a conversation with our payments experts today.

Real-Time Payments: How Can Your Businesses Use Them?

Posted on April 17, 2025

Although traditional payment options are still around, consumers and businesses want improved payment methods to send and receive money faster. Real-time payments are a popular solution that have been available to consumers for nearly a decade, offering payments that are transferred and settled almost instantly. Since the real-time payment network is expected to grow domestically and internationally, businesses must understand what it is and how to leverage it to improve operations. Explore our guide for everything you need to know about real-time payments.

What Are Real-Time Payments?

A real-time payment is a near-instantaneous payment between two parties. Its name comes from the fact that initiating, clearing and settling a payment occurs in real time, taking only a matter of seconds to complete.

All real-time payments follow International Organization for Standardization (ISO) 20022, a global financial messaging and payment systems standard. Its consistent, data-rich messaging format allows real-time payments to process quickly, which reduces errors, prevents processing delays and enhances security.

Real-time transfers operate on an open-loop system, meaning payments are withdrawn from the payer’s account directly instead of relying on a prepaid balance.

The real-time payments rail is the network that makes these payments possible. The network processes orders all day, every day, year-round, so you can send and receive real-time payments at any time.

Faster Payments vs. Real-Time Payments

Though faster and real-time payments seem similar, these terms are distinct with key differences. Real-time payments are a form of faster payments, but not all faster payments are real-time payments.

Faster payment solutions are options that use an accelerated payment rail to post payments quicker than traditional payment rails but are not instantaneous. They are faster because they message transactions quickly but do not settle them in real time.

Examples of faster payments include:

Same-day ACH payments by the National Automated Clearing House Association (Nacha)
Peer-to-peer (P2P) payment apps like PayPal, Venmo and Zelle
Debit push payments like those by Mastercard and Visa

Real-time payments are posted and settled in real time, so the payee can receive money almost instantly. Examples of real-time payments include the RTP network and FedNow.

Benefits of a Real-Time Transfer

Real-time payments offer several advantages, including:

Almost instantaneous credit: Real-time payments are one of the fastest options available, with payments received and settled almost instantly. The real-time payment network is also available outside standard business hours and on weekends and holidays. People and businesses can send payments anytime and receive money right away without waiting for the money to be credited to the account.
Better liquidity management: For businesses, near-instant payments support their cash flow. Instead of funds locked in processing between accounts, funds are credited to the receiving account immediately. This factor is especially beneficial for small businesses with a smaller cash flow.
Cost savings: Real-time transfers save businesses money because this method is more cost-effective than traditional payment options. Printing and mailing a paper check takes more time and risks printing errors that delay payment. Transactions that fail to post and need to be fixed manually can become costly. The real-time transfer network eliminates these drawbacks.
Improved communication: With traditional payment methods, communication flows in one direction—from payer to payee—and any further communication about the payment has to happen outside the platform. As a result, issues with the payment can take longer to resolve. Real-time transfers allow both payer and payee to communicate, and quick payments improve payment efficiency.
Irrefutable payments: Real-time payments are irrefutable or irrevocable. Once the payer sends money, they cannot take it back or reclaim it. This factor is important in business because they can send and receive payments on delivery of a product or service. Instant payments also make it more difficult for parties in a contract to go back on the agreed terms.

Merchants Using Real-Time Payments

In the business-to-business (B2B) market, banks, merchants and companies across industries recognize these benefits of real-time transfers. Customer demand for real-time payments has increased, and governments around the world support this payment solution. As a result, more and more businesses are using this network for their payments.

In 2024, the U.S. real-time payments market saw significant growth, with the RTP network experiencing a surge in both volume and value. Specifically, the RTP network logged 343 million transactions valued at $246 billion. The Federal Reserve’s FedNow Service also contributed to this growth, with 1.5 million settled payments in 2024, according to American Banker.

The retail and e-commerce industry accounted for 30% of global revenue from real-time payments in 2024, the biggest share of any market. The desire for quick payment settlements from merchants and the growth of mobile-based shopping have contributed to this growth. Banking, financial services and insurance will likely increase their share in the coming years as they work to adopt real-time transfer options for their customers.

How Businesses Use the Real-Time Network

As real-time payment adoption has increased, businesses have found ways to take advantage of the network for B2B transactions. P2P payment apps are integrated with the real-time payment network to make transfers nearly instantaneous. Companies can use this network on P2P apps to make B2B payments, which is easier and quicker than manual processes.

Companies can also use real-time payments for B2B uses like:

Confirming payments
Adjusting the timing of payments
Managing liquid funds
Paying bills
Reviewing payment data

The Future of Real-Time Payments

Given that real-time payments are increasingly adopted by businesses and expected by consumers, this payment method will continue to improve and become the norm for digital payments. In the U.S., the RTP network—and FedNow soon—will encourage developments in real-time payments and support more users and transactions.

As more companies and people use the real-time payment network, security will become increasingly important. Financial technology is a popular target for hackers, but appropriate safeguards can keep payments secure. Fraud detection software like behavioral analytics and machine learning identify fraudulent transactions. Some governments have mandated or are considering legislation for real-time payment security.

As the use of real-time payments becomes more popular, traditional payment methods like paper checks have decreased. Checks are common in B2B transactions, but their processing costs and timeline are prompting more companies to consider electronic payments. In consumer transactions, the use of paper checks has been diminishing for decades.

Choose the Real-Time Payments Platform From CSG Forte

Manage your company’s payments with CSG Forte’s cloud-based payments platform. You can unify all your company’s transactions onto one platform and use APIs to integrate its functionalities with your platforms. As a result, you can manage your entire transaction life cycle with:

Simplified payment operations by managing transactions and disputes
Informed customer insights backed by data
Enhanced reporting and analytics
Reduced payment platforms and logins

With Forte, you’ll have more time to spend on your business because our platform will monitor and manage your payment data for you. See how our platform works by scheduling a demo with our team. Sign up today for your payment platform solution.

Debunking ACH Payment Myths: What You Should Know

Posted on April 16, 2025

What’s the most valuable non-cash payment channel in the United States? Most people would say credit cards—and most people would be wrong. It turns out  Automated Clearing House (ACH) payments are the most valuable non-cash payment channel. Even though more credit and debit card than ACH payments are transacted each year, ACH payments are worth much more on average.

While debit cards account for 81% of non-cash payments, ACH payments totaled $86.2 trillion in 2024. So, why don’t ACH payments get the (ahem) credit they deserve? Despite existing for half a century, there are still some persistent ACH myths. These include ACH payments taking too long or being too hard to set up.

Here, we’ll explore three popular misconceptions about ACH and explain both why they persist and the truth about ACH processing.

Let’s dig into each of these myths in more detail.

ACH Myth 1: ACH Payments Aren’t Viable for One-Time Payments

Consumers don’t know what ACH is, but they know how it affects their lives. It’s often how they receive their paychecks (via direct deposit) or how they make recurring utilities or government payments.

Businesses are much more familiar with ACH payments, which can be made over credit or debit. But what they may not be aware of is how to use ACH for one-time payments—and how it can save them money. Given that bank account information is saved and high fees can add up over repeated transactions, the appeal of ACH for recurring payments is clear.

Consider large transactions worth hundreds of thousands of dollars or more. No one wants to pay a 2.5% processing fee when that amount climbs to five figures. If businesses choose to use ACH processing on the backend, that means lower fees for the end customer.

Whether for real estate purchases, medical billing, bulk supply orders, or other large purchases, the fee difference between ACH and other types of payment processing can be sufficient reason even if it is only once.

Myth: Busted

ACH payments are viable for both recurring and one-time payments, especially when dealing with large transactions.

ACH Myth 2: Customers Don’t Want to Connect to Their Bank Accounts

You may have heard that most consumers are unwilling to enter bank account information and prefer to provide their credit card. This may be true for some, but given the growing adoption of digital wallets, making payments online can be much less work than writing a paper check. Instead of having to track and write out specific information each time, customers can choose a saved account to make a payment from.

While storing bank data can be a concern, more of your customers have their bank account information available than ever before. From a payee perspective, this simply looks like an automatic withdrawal from their account. When you choose to use ACH for your payment processing, you can benefit from the cost benefit of ACH processing without causing extra hassle for your customers. But convenience isn’t the only factor at play.

Even though consumers have become accustomed to processing and convenience fees, everyone likes saving money. When using ACH to power your payments, you can make transactions more profitable without passing the hidden fees associated with credit card payments onto them.

According to Jeff Kump, Head of Payments at CSG Forte, “We’ve heard from a number of clients that customers were happy to link their bank accounts, especially when it let them save money on fees for big purchases.”

Myth: Busted

Customers are happy to connect their bank accounts for ACH payments, even when the benefits are hidden in the backend.

ACH Myth 3: ACH Payments Always Take Between Three and Five Days to Process

ACH payments have a reputation for taking several days to process. Depending on the vendor, that can sometimes be the case, but it doesn’t have to be.

While many ACH processors do offer overnight and multi-day ACH processing, they can also process payments on the day they were made. According to Nacha, the organization that oversees all ACH payments, there were more than 1.2 billion same-day ACH transactions processed in 2024.

To account for the growing volumes and values, Nacha in 2022 increased the same-day ACH payment limit to $1 million. It seems likely that this trend will continue as the security and ease of same-day ACH payments are proven time and again.

Despite the convenience, only one vendor (CSG Forte) offers in-house same-day ACH capabilities. This isn’t to say that no other vendor offers same-day ACH capabilities, but only CSG Forte builds, maintains, and delivers this capability within the same organization.

Myth: Busted

While some ACH payments can still take several days, including those over $1 million or processed by certain vendors, it is possible to process ACH payments on the same day.

Confirmed: The Truth About ACH

ACH is a topic that can still be confusing, even for payments experts. We hope that this blog has cleared up a few of the most common myths about ACH payments. To recap:

ACH is great for one-time and recurring payments alike.

Customers have a low-effort way to connect their bank accounts for ACH payments.

With the right vendor, ACH payments of up to $1 million can be transacted on the same day.

At CSG Forte, we believe the payments experience can be simpler and more secure. Do you want to learn more about ACH and how it can help organizations like yours? Collect ACH payments cost-efficiently with CSG Forte.

Understanding Electronic Bill Payments: A Comprehensive Guide for Governments

Posted on April 15, 2025

Government entities are entrusted with the responsibility of managing taxpayer money wisely, so any investment in new technology must demonstrate a clear value proposition. Electronic bill payments offer a modern solution that can streamline operations, enhance efficiency and save money. By adopting digital payment methods, governments can improve the way they collect revenue, reduce manual handling and paperwork and provide a convenient and accessible way for residents and businesses to pay their bills.

But many government entities and departments remain largely reliant on outdated payment methods, such as mailing and processing paper checks, accepting in-person payments and conducting phone transactions—all of which are inefficient and inconvenient. And while up-front investments in expensive tools, like an online payments platform, must be carefully considered, keeping the status quo could be even more costly: According to recent data, government employees spend 10 to 20 hours per week fielding payment-related calls—that’s valuable employee time that could be spent on more complex, meaningful tasks.

Not only that, but without a robust digital payment infrastructure, governments risk missing out on collecting revenue altogether, or may experience collection delays. So, while the up-front investment in a digital payments platform can seem hefty, adopting electronic bill payments streamlines the way government agencies operate, making the process smoother and more efficient for constituents and employees while also saving money.

What Are Electronic Bill Payments?

Electronic bill payments involve transferring funds or exchanging money through digital channels, eliminating the need for physical methods like cash or checks. These transactions are facilitated by electronic systems that require collaboration between banks, financial institutions, payment processors and digital platforms.

Completing an electronic bill payment transaction typically involves several steps. After receiving the bill, the customer initiates the payment by providing the necessary payment information, such as bank account details, credit card number or digital wallet credentials. The payment gateway then verifies these details, checking for available funds and other authorization factors. Once the payment is authorized, the payment processor orchestrates the transfer of funds between the payer’s and payee’s accounts. Finally, both the payer and the payee receive a notification or receipt confirming the successful completion of the transaction.

Electronic bill payments offer numerous advantages over traditional payment methods. They are faster, more secure and cost-effective, making them an attractive option for both consumers and businesses. For government agencies, adopting electronic bill payments can lead to increased efficiency in processing payments, reduced manual handling and paperwork and improved cash flow management, plus ease of reconciliation and auditing, which improves visibility and makes transparency much easier to achieve. Additionally, electronic bill payments provide a convenient and accessible way for residents and businesses to pay their bills, which can help reduce late payments and improve overall satisfaction with government services.

By leveraging digital channels and secure systems, electronic payments streamline collections and offer a convenient alternative to traditional payment methods. As we move forward, it’s essential for government agencies to embrace these technologies to enhance their operations and better serve their constituents, who are largely accustomed to paying online—and want to be able to do more of it, In fact, 93% of consumers believe “all governments, including municipal governments,” should offer a digital payment option for constituents, according to data from PayPal/Logica Research.

Why Electronic Bill Payments Are Essential for Governments

Increased efficiency in processing payments: Electronic bill payments streamline the payment process, reducing the need for manual handling and paperwork. This leads to faster processing times and fewer errors, allowing government agencies to allocate resources more effectively and focus on other critical tasks.
Convenience for residents and businesses: Electronic bill payments provide a convenient and accessible way for residents and businesses to pay their bills. They can make payments anytime and anywhere, using various digital channels such as online portals, mobile-friendly pages and automated phone systems. This flexibility helps reduce late payments and improves overall satisfaction with government services.
Improved cash flow management for government authorities: By adopting electronic bill payments, government authorities can benefit from faster payment processing and more predictable cash flow. This enables better financial planning and management, ensuring that funds are available when needed for essential services and projects.

Introducing CSG Forte BillPay

With decades of experience in the industry, CSG Forte knows payments. Our comprehensive BillPay platform is designed to streamline and enhance the payment process, focusing on efficiency, security and user experience.

CSG Forte BillPay offers a range of features that can be configured to cater to each customer’s unique needs and is scalable as your company grows. Here are some of the standout features that make CSG Forte BillPay a game-changer for government payment systems.

Flexible payment options: CSG Forte BillPay supports a variety of payment methods, including online, in-person, over the phone, text-to-pay and via digital wallets. This flexibility ensures that constituents can choose the payment method that best suits their needs, leading to higher satisfaction and on-time payments.
Recurring payments: Our platform allows for easy scheduling and maintenance of recurring payments. This feature is particularly beneficial for offices that handle regular payments, such as taxes, utility bills and licensing fees. By automating these payments, agencies can reduce administrative burdens and improve cash flow.
Bill presentment: CSG Forte BillPay offers digital invoice access and a guest checkout option, making it easy for constituents to view and pay their bills online. The platform supports custom file formats and easy user interface (UI) customization, ensuring that the bill presentment process aligns with the agency’s branding and operational needs.
Fast and flexible integration: The platform is designed for quick and seamless integration with existing systems. With support for custom file formats and easy UI customization, government agencies can implement CSG Forte BillPay without significant disruptions to their current operations.
Enhanced security and compliance: BillPay prioritizes security and compliance, offering features such as account ownership verification, fraud prevention tools and secure point-of-sale (POS) devices. These measures help protect sensitive information and ensure that government agencies remain compliant with industry standards and regulations.
Centralized payments hub: The platform provides a centralized hub for managing all payment operations, including reconciliation, reporting and chargeback management. This centralization simplifies administrative tasks and reduces the risk of errors, allowing government agencies to focus on their core responsibilities.

CSG Forte’s comprehensive payment solutions extend beyond just streamlining bill payments. Our decades of experience in processing millions of transactions and managing billions of dollars in payments allows our team to offer reliable and scalable solutions for government agencies, ensuring adaptability to changing needs while maintaining cost efficiency. Here are some of Forte’s key features:

Seamless integration with government platforms: Easily manage payments collected through CSG Forte’s flagship programs. The integration capabilities reduce manual processes and errors, providing a seamless experience for both the agency and the residents.
Comprehensive payment solutions: Accept Automatic Clearing Housing (ACH) payments, debit and credit cards, digital wallet payments and in-person cards through our point-of-sale (POS) devices. This flexibility allows government agencies to offer constituents multiple convenient payment options, enhancing overall efficiency and satisfaction.
Proven reliability and scalability: We process more than 214 million transactions annually and manage $98 billion-plus in payments for more than 130,000 merchants across various industries, including government. This experience and capacity allow CSG Forte to scale alongside government agencies, adapting to their changing needs while reducing complexity and cutting costs.

How Forte Delivers for the City of Kinston

CSG Forte’s partnership with the city of Kinston, North Carolina, has produced amazing results for the municipality. City leadership wanted to offer residents electronic payment options for utility bills, civil service fees, recreational activities and other city services. After integrating electronic payment processing options, Kinston saw 41% year-over-year growth in the number of transactions processed. The city also received positive feedback from residents who appreciated the ease of making payments through the online portal.

How did Forte produce such dramatic results? Our development team created programming to bridge the gap between Kinston’s enterprise resource planning system and its payment interface. CSG Forte’s Secure Web Pay (SWP) Checkout tool now redirects payers from the city’s website to a secure third-party webpage to complete their transactions, allowing the city to begin accepting online card and eCheck payments without spending money or committing technical resources to developing their own webpage to process payments.

CSG Forte also launched an online and interactive voice response (IVR) utilities billing solution for Kinston using a convenience fee model and provided comprehensive technical support following implementation. By processing more payments electronically, Kinston staff now handle less cash and fewer checks, reducing bank fees and saving time.

As you can see, adopting electronic bill payments is a game-changer for government agencies. By streamlining the payment process, governments can boost efficiency, cut down on manual handling and paperwork and improve cash flow management. This not only saves valuable employee time but also makes life easier for constituents who expect to be able to pay their bills conveniently and securely through their preferred digital channels. And while the upfront investment in a digital payments platform might seem significant, the long-term savings and improved operational efficiency make it a smart move.

To learn more about how CSG Forte BillPay can help your government agency transition to electronic bill payments, download our government-specific eBook or sign up for a demo to learn more about CSG Forte’s comprehensive features designed to cater to your unique needs.

What Should Government Agencies Require from Their Electronic Payments Provider?

Posted on April 14, 2025

Government agencies face both significant challenges and exciting opportunities in payment processing. Traditional methods of handling payments, including in person and by calling the agency, are increasingly considered inefficient by constituents used to myriad online payment options for most private-market transactions. Not only do processing payments through traditional methods cost more—as much as $20 per transaction compared to about 30 cents per digital transaction—they’re also prone to errors.

Processing payments manually is incredibly labor intensive. In fact, nearly four out of 10 respondents to one survey of government agencies reported their staff members spent between 10 and 20 hours per week taking in-person and phone payments. Local governments, which are typically strapped for cash, stand to lose substantial revenue each year by relying on traditional (antiquated) payment systems.

Digital payments offer numerous benefits, including faster transaction times, increased accuracy, reduced risk of fraud and enhanced resident accessibility. By integrating modern payment solutions, government agencies can improve their operational efficiency while also fostering better constituent relationships through more convenient and secure payment options.

As we delve into the features government agencies should look for in an electronic payments provider, it’s crucial to understand the significant positive impact these digital solutions can have on both operational costs and overall revenue management. Read on to learn more.

Improved Security and Compliance

Security and compliance are paramount for government agencies that want to handle electronic payments. CSG Forte offers robust security measures to ensure that sensitive information is always protected. For example, CSG Forte’s BillPay offers:

Level 1 PCI compliance: Earning Payment Card Industry (PCI) Data Security Standard (DSS) certification is the highest level of security standard for payment processors, ensuring that all transactions are handled with the utmost care and protection.
End-to-end encryption: This technology safeguards data by encrypting it during transmission, making it virtually impossible for unauthorized parties to access or misuse the data.
Data tokenization: This process replaces sensitive information with unique tokens, further enhancing the data security.

By choosing CSG Forte, government agencies can confidently process electronic payments, knowing that they are backed by industry-leading security measures and compliance standards.

Access to a User-Friendly Interface

Government agencies must be equipped and able to serve a vast range of constituents—from the most technologically-savvy users to individuals who don’t own and barely use a computer. That is why creating an accessible, user-friendly payment interface is essential for government agencies. CSG Forte BillPay offers an intuitive and easy-to-navigate platform that enhances the user experience for both residents and government agencies.

The Forte interface is designed to simplify the payment process, making it accessible to users of all technical levels. Residents can easily make payments online, and government employees can efficiently track and manage transactions, reducing the time they spend taking payments over the phone and increasing their time availability for completing more important tasks that require human intervention.

Seamless Integration with Existing Systems

One of the key advantages CSG Forte BillPay offers is its ability to seamlessly integrate with existing government platforms. This ensures that agencies can continue to use their current systems while benefiting from the enhanced BillPay features and capabilities.

By reducing manual processes and minimizing errors, BillPay helps streamline operations and improve efficiency. This means government agencies and their employees can focus more on serving their constituents and less on managing payment processes.

Customer Service and Support

CSG Forte is committed to providing exceptional customer service and support to government agencies. Their dedicated support teams are available to assist with any issues or questions that may arise, ensuring a smooth and efficient payment processing experience.

Having access to dedicated support teams means that government agencies can rely on expert assistance whenever needed. This support helps to minimize downtime and ensures that any technical issues are resolved promptly.

By choosing CSG Forte, government agencies can benefit from reliable and responsive customer service, enhancing their overall payment processing experience.

Get Started Today

While government agencies must take care to wisely spend taxpayer dollars, adopting and onboarding CSG Forte BillPay is a straightforward process. The easily implemented system provides a wealth of resources to assist agencies during the implementation process, ensuring a smooth transition and successful integration.

And even after the payment platform is live, your agency staff doesn’t have to navigate it alone: In addition to CSG Forte’s helpful customer service, we also offer relevant internal resources and guides to help navigate BillPay setup and customization. These resources are designed to provide comprehensive support and address any questions or concerns that may arise during the implementation phase.

One of the most pressing issues that government agencies face is the need to provide constituents with a convenient and efficient way to manage payments and billing information. CSG Forte BillPay addresses this problem by offering a digital portal where constituents can easily access one-time or recurring payment pages. This portal allows users to check amounts, payment dates and manage their payment options with ease. By utilizing this feature, agencies can significantly reduce the administrative burden on their staff and provide a seamless payment experience for the public.

From improved security and compliance to a user-friendly interface and seamless integration with existing systems, CSG Forte BillPay provides a comprehensive solution that meets the needs of modern government agencies. By adopting CSG Forte BillPay to take advantage of these benefits and improve their overall payment processing experience, agencies will be able to streamline their operations, reduce costs and provide a better experience for their constituents.

To learn more about how CSG Forte BillPay can help your government agency transition to electronic bill payments, download our government-specific eBook or request a demo to explore our comprehensive features designed to cater to your unique needs.

What Can ACH Processing With a Nacha-Preferred Partner Do for Your Business?

Posted on April 10, 2025

While digital payments have been around for decades, in the four short years since the pandemic made digital payments a bigger part of everyday life, Automated Clearing House (ACH) payment processing has become an integral part of digital commerce. The ACH Network—which is the only payment system that reaches all U.S. bank and credit union accounts—securely handled 31.5 billion payments valued at $80.1 trillion in 2023. In 2024, ACH payment volume increased 6.8% to $86.2 trillion—and its popularity is only expected to grow.

But as with any payment acceptance method, the stakes are incredibly high. Online shopping scams were the second-most common type of fraud reported to the Federal Trade Commission in 2023, which was the first year total reported fraud losses reported topped $10 billion. This heightened fraud risk and the financial damage that comes with it is why industry leaders lean heavily on payments partners preferred by Nacha, the nonprofit governing body behind the ACH Network.

So, let’s learn more about what ACH processing is, how ACH processing can impact your business, and why you should choose a Nacha-preferred payment partner to handle your company’s transactions.

What Is ACH?

ACH processing is a popular, reliable way to securely send and receive money—and you probably already use it more often than you know. For example, when your paycheck is deposited into your checking account, your employer is depositing your pay via ACH processing. If a customer makes a payment for your goods and services, the bank associated with your customer’s credit or debit card can deposit your funds directly to your business account using ACH processing.

ACH was designed to support increasing payment volumes as the world began to transition to automated payments. In the 1970s, financial transaction volumes were difficult to manage with early computer infrastructure. As a result, the Federal Reserve (i.e., the Fed) stepped in to fund an automated system of computer programs specifically designed to process and settle payment claims between financial institutions.

With ACH, merchants can process check and card payments without making authorization requests to credit card networks or issuing banks. Instead, ACH processing goes through the Fed or the ACH Network to secure payments from a receiving depository financial institution (RDFI). The RDFI then posts the payment into the requestor’s account.

This eliminates the need to pay network fees to a credit card company, meaning ACH payments cost much less to process. This saves merchants money with every transaction.

Nacha has repeatedly raised the daily transaction limit for ACH. This means that not only do ACH payments cost merchants less, but they can also accept much larger payments (up to $1 million per day) and recognize revenue faster.

ACH vs. Credit Cards: What’s the Difference?

No matter what payment options you offer, customers want to pay in the most convenient way for them. Often, this means they will use a credit card or another form of digital, contactless payments. But added convenience can also add costs. So what happens when a credit card payment is processed in the traditional way?

The customer places an order or makes a purchase. The card information is received at point of sale.
The merchant checkout accepts the card information and sends it to a service to manage the interactions with the merchant’s bank.
The service sends the information securely to the merchant’s bank processor.
The merchant’s bank processor contacts the credit card network, like Visa or Mastercard.
The credit card network sends the request to the issuing bank for the customer’s credit card.
The issuing bank determines if the purchase is authorized and returns that information to the credit card network who sends it back to the merchant’s bank process.
The merchant’s bank sends to the merchant’s point of sale confirming if the payment is approved or declined.

Each of these steps adds cost. Each of these steps adds cost, as each entity involved in the transaction must get paid. Therefore, eliminating steps via adopting ACH processing reduces expense on top of adding efficiency.

ACH Processing

At first glance, the ACH payment process looks very similar, but there are a few core differences.

The ACH processing starts the same way at the point of sale before entering a processor’s system. But that’s where the similarities end.

The customer makes a purchase. The account information is received at point of sale.
The merchant checkout accepts the account information and sends it to a service to manage the ACH transaction.
The ACH processor handles confirmation by contacting the originating depository financial institution (ODFI) for origination of the payment.
The ACH payment request is sent through the ODFI, which requests settlement from the Fed.
The Fed confirms that the payment is valid with the RDFI.
The RDFI responds, by communicating back down the chain in reverse to approve or deny the payment.
Funds are sent directly to the merchant’s bank account.

These last three steps are what make the difference in cost and security between ACH and traditional credit card payments. Because ACH avoids navigating several fee-incurring steps, the result is less costly and more reliable, especially when dealing with high transaction amounts as large as $1 million.

Standard vs. Same-Day ACH Processing

One major benefit of ACH processing is the speed a merchant can receive customer funds. For most ACH processors, funds may be available as soon as the next business day, depending on when the transaction occurred. Same Day ACH, which is newer, allows merchants to receive funds the same day the purchase was made.

Why does Same Day ACH processing matter? It’s simple: Same-day processing means merchants collect funds faster. This maximizes the benefit generated from ACH payments. Effectively, Same Day ACH lets merchants access payment funds quicker so they can invest in their businesses quicker. The increased cashflow from faster processing and fewer fees than processing credit card payments means that businesses who use Same Day ACH can get back to doing what they do best and worry less about transaction costs.

However, most payment processing companies do not offer Same Day ACH. And if they do, they do not own the technology. Merchants that work with payment processors that don’t own the technology are subject to additional fees for processing Same Day ACH.

CSG Forte is different. CSG Forte’s same-day ACH technology gives merchants the ability to receive funds quicker and more economically than they would by working with other payment processors.

3 Reasons You Should Only Choose Nacha-Preferred Payments Partners

Speed isn’t the only feature merchants should look for when shopping for a payments partner. Security and reliability are equally important. That’s why when considering payment processing options for your business, it’s crucial to understand the benefits of working with a Nacha-preferred partner. While there are many additional reasons (peace of mind at the top of the list), here are three of the most important reasons to stick with Nacha-preferred providers.

They validate everything: The payment processors that want to align with Nacha need to go through a strict validation procedure. Nacha also updates and develops more stringent rules and standards to offer the best possible security to its customers. That means you know the community of preferred partners on Nacha’s list follows the highest level of security standards. Stricter rules help with effective risk management and account validation services, thereby offering an additional layer of security against fraud.

They secure personal data: In addition to being innovators in transactions, Nacha-preferred partners also secure their customer data with best-in-class encryption. By signing up with these partners, you can feel confident that your account information and account numbers are locked behind a safe vault.

They partner with top financial institutions: Transferring money through ACH payment solutions is already significantly cheaper than moving it through credit/debit cards or wire transfers. Today, top technology providers are reducing the time to process ACH payments by partnering with financial institutions directly. By advancing the ACH network, Nacha has already reduced the time to process transactions over.

Your Business Needs ACH Processing

Simply put, ACH processing allows businesses to receive and have access to payment funds faster. Not only that, but the larger daily transaction limit means merchants can access more payments funds via ACH quicker, as well. Beyond the speed and convenience of ACH, businesses save money on each ACH transaction. Because they don’t need to pay settlement or interchange fees that arise from merchant networks, merchants can secure a larger chunk of each transaction. Especially when considering that compared to cash and paper checks ACH is also more secure and cannot be physically lost, it’s a powerful tool for businesses in many industries, from retail to healthcare and from financial services to real estate and telcos.

With the power that a great ACH solution can bring to your payments, it is no wonder that so many brands are adding it to their toolbox. However, if you’re interested in learning more about ACH processing or how you can get the most out of ACH with same-day processing, CSG Forte can help.

Ready to learn more about ACH and how it can drive more value for your business? Check out CSG Forte’s ACH processing capabilities.

Why REST? Understanding the Benefits of REST API

Posted on March 10, 2025

The development world is a quickly evolving one, and businesses that want to stay ahead of the curve need to be capable of adapting to ever-evolving digital technologies. So, promoting a “restful” application programming interface (API) may seem anti-productive—but it’s exactly the opposite. Businesses that offer online services use APIs to communicate between systems. Among the various types of APIs, representational state transfer, or REST, APIs are one of the most widely used. In fact, around 70% of all public APIs are REST APIs. Why? Because despite the lackadaisical speed the name implies, they’re actually the workhorses of APIs.

Read on to learn key characteristics of the REST architectural style, how it works, why REST API is so important and widely used, security measures to consider and what to look for in a REST API provider.

What Is REST API?

To understand REST API, one must first know that an application program interface, or API, is the name given to the code that sets uniform standards for how a developer writes a program so it can communicate with other operating systems or applications.

A RESTful API is a type of application program interface that uses HTTP requests and is based on “representational state transfer” (REST) architectural style, which requires the system be cacheable, remove the need to edit code, offer a uniform interface and a provide a method of separating client and server information. Using HTTP requests, REST API can perform operations such as searching for information (GET), adding information (POST), editing information (PUT) and DELETE.

Benefits of Tapping Into a RESTful API

Businesses that use RESTful AIPs can take advantage of several benefits. For example, they can be used without expensive third-party tools. The documentation is easier to understand and returns readable results. REST API also allows many different data formats and is especially good for cloud-based applications due to its statelessness, which means no information is kept or shared between REST executions. Additionally, REST APIs’ stateless functionality allows calls to be easily redeployed at scale.

RESTful APIs are preferable to SOAP (Simple Object Access Protocol) API technology for many reasons. They’re:

Lightweight
Easy to maintain
Scalable and flexible
Efficient and fast
High performing
Smaller and more efficient

These are all good reasons to select REST instead of SOAP—especially when using CSG Forte products and capabilities like our payments platform DEX, reporting or out tokenization tool Forte.js.

Security Considerations for Using REST APIs

While REST APIs offer numerous benefits, it’s crucial to implement proper security measures. Here are a few best practices to secure your REST API:

Authentication: Secure your API keys with proven methods to ensure that only authorized users can access sensitive data.
Encryption: Always use HTTPS for encrypted communication between the client and server. This prevents data from mid-transmission interception.
Input validation: Properly validate and sanitize user input to protect your API from common vulnerabilities like SQL injection and Cross-Site Scripting (XSS).
Rate limiting: To prevent abuse and protect your API from denial-of-service attacks, implement rate limiting that restricts the number of requests a user can make in a given time.

CSG Forte API Solutions

CSG Forte’s REST API enables merchants and partners to perform a variety of powerful tasks, such as creating and updating credit card, electronic check and scheduled transactions; securely managing customer and payment data; querying and tracking settlement information and creating and submitting merchant applications for new organizations and locations.

It supports multiple programming languages, such as JSON, Java, PHP, Ruby and VB.NET. REST is best suited for merchants that are tech savvy and have developer resources. These include ISVs with multiple merchants or third-party app developers that aim to receive and leverage our webhooks.

For code samples, visit our developer documentation site. If you need assistance determining which API is right for you, contact our experts at CSG Forte.