Category: Insights

How to Improve and Future-Proof Your Authorization Rates

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Every time a customer’s payment fails, you don’t just lose revenue—you risk losing the customer entirely. That’s the hidden cost of low authorization rates, and for businesses from small and mid-size to legacy enterprise, those costs add up. U.S. firms lose out on as much as $157 billion in revenue every year. And chasing owed payments costs money, too. In fact, nearly 60% of businesses say resolving failed payments is expensive and time-consuming. That means businesses are spending time and money reprocessing payments, handling customer service complaints and chasing payments on outstanding bills—while revenue walks out the door.

Whether you’re managing utility payments, tax collections or subscription billing, failed transactions can lead to late fees, churn and costly customer service overhead. While that’s all bad news, the good news is most of it is preventable.

We’ll explain the ins and outs of a fact you might already suspect: Payment authorization rates are more critical than ever, and it just might be your payment platform that’s dragging them down. Fortunately, there are several steps your team can take to start improving authorization rates and enhancing your company’s performance today. You can start by accessing simple tools that protect revenue and future-proof your billing system.

 

The Hidden Impacts of Failed Authorizations

Failed payments aren’t just a momentary hiccup—they create ripple effects across revenue, operations and customer trust. At scale, the damage adds up quickly.

Authorization rate refers to the percentage of payment attempts that are approved by your customer’s bank. It’s a critical metric for any organization that processes electronic payments, whether for services, subscriptions or government fees. When a transaction is declined, you not only lose the payment—you may also lose the customer.

Consumers today expect fast, seamless payment flows. If a payment fails and the system offers no explanation or recovery option, customers often abandon the transaction—and sometimes the provider. In public-facing sectors like government and utilities, the impact can be immediate. A failed payment might mean delayed water service or mounting fines, and for staff, more time on the phone with confused or frustrated constituents. In one customer example, Dimmit County, Texas reduced call volume and shortened call times after implementing Forte’s text-to-pay solution—directly increasing authorization rates and collections, as well as employee and constituent satisfaction.

Recurring billing models—whether for accepting rent payments or monthly membership dues—are particularly vulnerable. A single failed renewal can lead to a cascade of late fees, service disruptions and unnecessary customer outreach. And because many systems don’t surface why a transaction failed, teams are left reacting to instead of preventing the problem.

In short: your authorization rate isn’t just a number. It’s a signal of how well your payment stack is performing—and how much money and trust you might be losing without even realizing it.

 

Common Authorization Decline Causes

If failed payments are costing businesses millions, what’s behind the drop-offs?

While insufficient funds are one obvious culprit, most failed transactions aren’t due to someone running out of money—they’re due to preventable issues with data, fraud controls or infrastructure. And, unfortunately, card holders don’t have much patience for declines—35% say they’ll abandon a merchant after they’re declined even one time.

Here are the biggest offenders:

  • Outdated or incorrect card data: Cards expire, get lost or are reissued after fraud alerts. If your system isn’t keeping up, the next recurring payment attempt will fail. Subscription businesses are particularly vulnerable—especially those without account updater services to refresh card credentials automatically.
  • Incomplete or mismatched data fields: Typos, missing address fields and mistyped account details can trigger issuer rejections. Rigid or outdated front-end forms often exacerbate the issue, especially when data validation is limited.
  • Overly sensitive fraud settings: Fraud filters are essential—but when they’re too aggressive or misaligned, they reject legitimate transactions. False positives hurt more than just the immediate sale—they frustrate loyal customers and undermine trust.
  • No retry logic: Even legitimate transactions sometimes fail due to transient issues—like brief network outages or issuer timeouts. Without built-in retry logic or fallback routing, those recoverable declines become permanent revenue loss.

Fortunately there are several ways to decrease your decline rates and boost your payment acceptance rates. For example, Lucas County, Ohio, improved reliability and reduced late payments by modernizing its payment stack to accept digital payments via multiple channels. The county didn’t have to foot the bill for an expensive overhaul to their entire infrastructure—it just added payment channel options and better account handling.

Each of these issues alone may seem minor. Together, they form a systemic drag on payment performance. And worse, they’re often invisible—buried in spreadsheets or issuer decline codes no one reviews.

Knowing what’s dragging down your authorization rate is the first step toward fixing it. In the next section, we’ll walk through proven tactics that high-performing teams use to keep their approvals—and their revenue—flowing.

 

Smart Fixes for Smarter Payments

Understanding the root problems is crucial—but it’s just the start. High-performing teams take proactive steps to fix the leaks through layered strategies: data validation, lifecycle hygiene, intelligent validation and authentication. These aren’t pie-in-the-sky solutions—they’re proven, and can lift authorization rates significantly. For example, Hall’s Culligan Water completed more than 4,000 cardholder updates without manual intervention.

Validate payment data upfront. Catch bad card numbers, expired dates, mismatched billing info, and typos before they reach the processor. Real-time validation reduces avoidable declines—plus it boosts customer experience by eliminating embarrassing failures.

Onboard account updating services. Recurring payments (think utilities or subscriptions) suffer when cards are replaced or expire. Account updater tools automatically refresh credentials with networks like Visa and Mastercard, seamlessly maintaining continuity.

Deploy smart routing and retry logic. Rather than sending every payment to the same processor, smart routing analyzes card brand, issuer, and transaction type for optimal routing. If a decline is “soft” (due to timeout or temporary issuer hold), retry logic automatically reattempts via a backup route.

By combining these tactics, companies ranging from insurance to retail to healthcare and several subscription-based business models can recover lost revenue, reduce involuntary churn and strengthen payment reliability.

 

It’s Time to Stop Losing Revenue You’ve Already Earned

Authorization rates aren’t just a technical metric—they’re a revenue multiplier. Every failed payment represents marketing dollars wasted, customer relationships damaged, and revenue delayed or lost entirely. Whether you’re a city utility department trying to reduce delinquencies or a subscription-based software platform fighting churn, your payment stack has a direct impact on business outcomes.

The good news? You don’t have to rebuild from scratch to make meaningful gains. Just a few small upgrades—like Account Updater or better retry logic—can lift approval rates by 10–15%. And that can translate to millions in recovered revenue.

Not sure where to begin? We’ve mapped it out for you. Start optimizing your payments today with CSG Forte and future-proof your revenue engine by building a smarter, stronger payments stack. Talk to an expert today.

What to Do During a Card Processing Outage at Your Business

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Whether you run an online store or a brick-and-mortar business, you depend on non-cash revenue. Debit and credit cards have become Americans’ preferred payment method, with an estimated 69% of us using cash for “few (if any) purchases” in the last year, according to research from CapitalOne.

So what happens when you experience a card processing outage or your system goes down? You can’t accept card payments, and your customers can’t pay. It’s an unfortunate situation, but card outages happen. Here’s what you can do if your card readers go down to reduce the financial and reputational impact on your business.

 

You’re Down, But Not Out

Most payment card transactions happen instantly. From the customer viewpoint, it’s just seconds from the time they tap or swipe their card until they get an acceptance message. Anything longer than a few seconds can frustrate customers. And while the transaction appears fast and smooth to the buyer, a lot is going on behind the scenes during those few moment.

You’re Down, But Not Out graphic

When credit card machines are down or there’s a credit card outage, that usually seamless process can’t happen. An outage can stem from several sources.

  • The merchant’s equipment could be to blame.
  • The Wi-Fi router might be acting up, making it difficult to connect to the internet. Refreshing your router or switching to a wired connection may clear up the issue.
  • The credit card processor itself is down. A Visa debit card outage may happen when Visa’s having connectivity issues, for example.
  • The software a business uses to process card payments may be experiencing a glitch or outage.

An outage, no matter its cause, can disrupt your business and lead to a drop in customer satisfaction.

 

How Does a Card Outage Affect Your Business?

Because card outages can have a tangible impact on your company, you should do what you can to make these issues as rare as possible. Some negative effects can include:

  • Loss of business: A credit card outage can cause an immediate loss of business. The customers who planned on paying with their debit or credit card are stuck. If you operate a physical store, some of those customers can switch to cash payments. If your sales are primarily online, your customers most likely can’t complete their purchases until the outage is resolved. You may notice a dip in sales on the day of the outage.
  • Unhappy customers: Cards offer convenience and security that cash can’t match, and many shoppers primarily carry cards because of that safety. If someone loses a debit or credit card, they can report the loss to their bank, pause and cancel the card so they don’t have to worry about losing actual money. If someone drops $20 on the street, that money is gone for good. When customers can’t use their preferred payment methods, they might take their business elsewhere.
  • Negative reputation: Frequent outages can adversely affect your business’s reputation. Customers may start to assume that your card machines won’t be working and may be more likely to visit your competitors. Faulty payment card equipment can also cause customers to question your business’s trustworthiness.

 

What Causes Card Outages?

Card outages can happen for a few reasons. Some issues are widespread and may affect multiple merchants and businesses simultaneously, while others occur only with your business.

  • Power outage: During a power outage, everything will be down. Your business’s point-of-sale (POS) system may not operate, and your computers won’t power on. If your customers are shopping online, they may get cut off from shopping if their own power goes out. First contact your electric company. Inform them of the outage so they can send out a crew to investigate and fix the issue. The electric company can also give you an estimate of when you can expect them to restore power. Some brick-and-mortar stores choose to add generators and backup power to their premises to keep their POS systems running if the power does go off.
  • Internet issues: Card payment processing needs an internet connection to work. If the connection gets interrupted, the payment can’t go through. Internet issues can take multiple forms and have different sources, such as a weak or blocked Wi-Fi signal. Also, check to ensure your router is functioning properly. Sometimes, moving the router or switching to a wired connection is all you need to do to solve the problem.
  • Provider outage: An outage may stem from the provider. Storms and severe weather may affect your internet service provider’s ability to establish a connection. Many service providers have outage maps online and keep their customers in the loop if there’s an issue in the area. In this case, all you can do is wait for the connection to be restored.
  • Hardware troubles: The hardware you use to process sales and read payment cards may have issues, which can look like a credit card outage. For example, the card reader may wear out or become unable to detect contactless payments. If the hardware isn’t updated, it can also stop working. Sometimes, the ports that connect your register to the card reader can become worn out. In that case, you may need to replace your hardware to get your system up and running again.
  • Software issues: In rare cases, the payment processor’s software may cause a card outage. If the payment processor goes down, your business and numerous others will be affected. It can also be the case that one of the major card companies, such as Visa or Mastercard, is experiencing an outage.

 

What to Do During a Credit Card Outage

During a card outage, you don’t have to wait for the issue to be resolved. Being proactive can help protect your reputation, get to the root of the issue and keep your customers happy.
Take these steps if your credit card system is down:

  1. Tell your customers: As soon as you detect a problem, tell your customers about it. Email people to inform them of the issue, put a message on your website or social media and post a sign on the door of your physical location. Explain what’s happening and how you’re working to fix it.
  2. Accept other forms of payment: The more payment options customers have, the more likely they are to complete their purchase. If you can’t accept credit or debit cards now, let people know which payment methods are working, whether it’s cash, e-Checks or alternative payment options like PayPal or Venmo.
  3. Troubleshoot: Try to find the source of the problem. It could be something you can fix on your own. Fix Wi-Fi issues by restarting the router or look for loose cables in your POS system. Check for updates on your software and hardware, as well.
  4. Ask around: If you can’t find an immediately obvious source of the problem, find out if other businesses are experiencing the same issue. Once you know the problem is bigger than your company, you can monitor the situation and inform the parties who are most likely going to resolve it.
  5. Offer a discount: Your customers may be inconvenienced during a card outage. One way to smooth over the situation and encourage them to shop with you again is to offer a discount code or coupon to use on a future purchase.
  6. Take steps to prevent credit card outages in the future: Being proactive can help reduce the chance of a credit card outage in the future. Purchasing a backup generator, switching internet providers and preparing for bad weather are helpful steps to take.

Another option is to address the issue before an outage occurs. You can do this by keeping your hardware and software up to date to reduce the chance of malfunctions. It’s also worthwhile to find a payment platform with a proven track record and stellar reputation.

 

Choose CSG Forte as Your Payment Platform

You need to have a payment platform that will have your back during a card outage and that will provide the flexibility you need to respond to any outage issues. CSG Forte has decades of experience as a complete payment solution. We’ll help you accept all payments and keep your business online. Contact us today to get started.

It’s Time to Overhaul Your Government Payment System, But It’s Not as Taxing as You Think

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Does your local or state government agency offer digital payments? If not, now is the time to follow the federal government’s lead. As of September 30, 2025, all federal disbursements and receipts are slated to be transitioned to digital disbursement, which means the end of paper checks for IRS refunds, Social Security payments and payroll disbursements. It also means where legally permissible, all payments to the federal government must be processed electronically starting October 1.

Why is Uncle Sam modernizing federal payments? According to the order, “The continued use of paper-based payments by the Federal Government … imposes unnecessary costs; delays; and risks of fraud, lost payments, theft, and inefficiencies. Mail theft complaints have increased substantially since the COVID-19 pandemic. Historically, Department of the Treasury checks are 16 times more likely to be reported lost or stolen, returned undeliverable, or altered than an electronic funds transfer (EFT).”

Digital payments have become the norm—92% of U.S. consumers used a website, app or digital wallet to make a payment in the past year. Despite the popularity of online payments, government agencies have been slow to adopt them. As of 2024, only 4.9% of local governments had implemented digital payments. When government agencies do accept online payments, they often rely on outdated, clunky payment systems that redirect users to third-party portals.

Modernizing your government payment system promotes operational efficiency, boosts convenience for payers and staff and increases collections. Flexible digital payment options make it easier for constituents to pay on time.

 

Outdated Payment Systems: Silent Saboteur of Timely Payments, Customer Trust and Back-Office Efficiency

Many government agencies still rely on checks, in-person cash payments or outdated systems, creating friction for payers and back-office staff.

The harder it is to pay a bill, the more likely people are to put it off. When the payment process takes too long, is difficult to navigate on a mobile device and/or requires too many resubmissions (due to system glitches), people may postpone paying their utilities, taxes, fees or other government bills. Millennials report they are more likely to prioritize paying bills that are easy to pay before taking care of those that are inconvenient.

Almost half (45%) of Americans have paid a bill late in the past year, according to a 2024 Lending Tree survey. Which bills were late? Utility bills (44%), cable/internet (34%) and rent/mortgage (31%) payments were most often paid late. Why? More than a quarter of the late payers (28%) mixed up the due date, and 28% forgot about the bill. Almost one third (32%) of consumers said that utilities are the most challenging type of bill to remember to pay on time (the most common response).

Clunky third-party payment portals damage customer experience and erode trust. When a portal is slow, glitchy or hard to navigate, payers may doubt the reliability of both the system and the government agency behind it. A jarring transition from your government website to the payment site—like completely different branding or layout—can seem unprofessional and raise concerns about legitimacy of the payment site. If the portal looks outdated, generates pop-ups or lacks clear security cues, users may even suspect phishing or data breaches.

Checks are costlier and labor intensive. “Checks probably have the highest labor cost associated with them,” Nacha reports. The cost of receiving paper checks ($1 – $2 per check) is higher than receiving Automated Clearing House (ACH or eCheck) payments ($.26 – $.50 per transaction). Back-office staff spend hours mailing paper bills and processing paper checks manually. It takes several steps to process paper checks, including:

  • Sort the mail
  • Match checks to accounts/invoices
  • Endorse each check
  • Complete a deposit slip
  • Take the checks to the bank

Enter the payment information into the accounting or billing software

Billing staff must also field phone calls (to explain confusing bills) and chase late payments. All of these labor-intensive tasks claim valuable staff time that could be spent on more meaningful tasks that require a human touch.

 

The Solution: Offer Flexible Payment Options Residents Will Use

Flexible digital payment options are the key to improving payment efficiency, on-time collections and payer trust and satisfaction. Many consumers prefer to pay online. A 2024 Experian survey found that 58% of respondents pay bills online, while just 17% visit a location to pay a bill and a mere 15% mail their payments.

To satisfy diverse payer preferences, government agencies should offer a variety of flexible payment options, including:

Multiple payment methods. Government agencies should allow constituents to pay using their preferred payment method. Some of the most popular include:

  • Credit/debit cards: According to the 2025 Diary of Consumer Payment Choice report, 88% of survey respondents used a credit card within 30 days of completing the survey; 74% had paid with a debit card.
  • ACH: More than two thirds (70%) of survey respondents used this payment method. In addition to being less expensive than checks to process, ACH processing is faster. ACH payments can be settled within a few hours on the same business day, compared to paper checks that can take a week or longer to clear.
  • Digital wallets: While consumers often reach for digital wallets to make online and—to a lesser extent—in-store purchases, they also use these convenient apps for bill payment. Recent PYMNTS research found that 40% of consumers had used a digital wallet to pay bills within the past year. Digital wallet payments are processed electronically (eliminating manual labor associated with paper checks), can be reconciled quickly, and typically clear within one to three days.
  • Automatic payments (aka autopay or recurring payments): Automatic payments refer to automatically deducting payments from a specified bank account or credit/debit card on a scheduled basis. A PYMNTS survey of U.S. consumers found that 41% of consumers use automatic bill payments, with most (63%) using them for discretionary purchases. Fewer people (33%) use autopay for utilities like electricity, delinquencies, and time spent chasing late payments; and improved customer satisfaction.
  • Partial payments: A partial payment option allows constituents to pay less than the full balance for utilities, taxes or other fees. People can make an initial payment and settle the remaining balance later. A payer who’s short on funds pays what they can to demonstrate good faith, stay in good standing and avoid late fees and service disconnection.

 

Modern Government Payment Processing Systems Benefit Payers and Governments

Government agencies need an electronic bill presentment and payment (EBPP) solution like CSG Forte BillPay to increase efficiency, on-time payments and payer satisfaction. EBPP lets you send invoices electronically and securely. Constituents can log in to the platform and pay using a credit/debit card, ACH transfer or digital wallet. To maximize these benefits, agencies should focus on implementing systems and features that streamline the payment process for both payers and staff, such as:

Offer seamless, unified payment experiences. Embedding the government payment processing system into your agency’s website and integrating it with your billing and accounting software can:

  • Reduce friction and confusion
  • Eliminate administrative errors
  • Build payer trust
  • Encourage on-time payments

Increase self-service capabilities. Customers can access and update their account information and make payments at their convenience—and connect with a human agent when they need more support.

Realize efficiency gains and cost savings. Automating the billing and payment processes and providing flexible payment options can:

  • Save staff time: Your back-office staff won’t have to print and mail bills, process as many checks or manually reconcile payments. Clear billing statements and flexible payment options mean fewer billing-related phone calls.
  • Reduce costs: Electronic invoices reduce printing and mailing expenses, and processing payments electronically saves money.

 

Go Digital: Do Less, Collect More with CSG Forte BillPay

Flexible digital payments are no longer a perk—they’re the expectation. Going digital leads to happier citizens, lighter staff workloads, and more on-time payments.

CSG Forte makes it easy to modernize your government payment system without starting from scratch. CSG Forte BillPay is an EBPP solution that lets you accept payments anytime, from any connected device, using flexible payment methods like credit/debit cards, ACH and digital wallets. It supports one-time, scheduled, recurring and partial payments and automatically sends custom reminders and confirmations.

BillPay delivers a transparent, mobile-friendly payment experience through a single-page checkout form that complies with all requirements for web and mobile accessibility. It plugs into your existing accounting software, so there’s no need to overhaul your current systems.

A leading utility service provider saw a 65% drop in failed payments after implementing BillPay’s recurring billing and Account Updater tool, which automatically keeps credit card data current. Intech Apex Court Solutions increased credit card collections by 230% by implementing Forte’s Text to Pay solution.

CSG Forte can help your government agency achieve similar results. See how:

What Is Tokenization in Payments?

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Data breaches remain a top concern for consumers and businesses alike. Between phishing scams, ransomware attacks and hacked Wi-Fi networks, consumer data is facing more threats every day. In the United States, more than 60% of credit card holders have been victims of fraud, and more than half have experienced it multiple times. With millions of dollars and lives on the line, the need for data security is heightened.

One way businesses are protecting consumer information is through tokenization. This security strategy makes it nearly impossible for third parties to access sensitive cardholder information, and combining this strategy with other robust cybersecurity measures amplifies security efforts. Here, you can learn more about tokenization, including how it works and its benefits for your business and customers.
 

What Are Tokens?

Payment tokenization is a method of securing payment information like credit card numbers. This security strategy replaces sensitive information with what appears to be random characters or numbers. Rather than using and storing card information during transactions, systems use and store the random tokens.

This strategy keeps information secure because even if a malicious third party were to gain access to the token, the information would be encrypted, meaning the third party couldn’t read or make sense of it to determine the card information. Tokenization gives peace of mind to customers by reducing the likelihood of data breaches or fraud.

The transactional party generating the tokens, enforcing custody of the token-generating keys, retrieving the non-encrypted transactional information and operating the tech stack used in these operations is generally referred to as the “token vault.”

Tokens can take several formats, including:

  • Nonpreserving: Nonpreserving formats replace sensitive information with random characters in a format different from the original. For example, a token for a nine-digit Social Security Number could appear in seven characters like “L$@9%0C” to ensure security.
  • Format preserving: These tokens maintain the original information format but change the values randomly. Consider this credit card tokenization example—a card ending in 1234 could appear as 5678.
  • Partial replacement: Some organizations leverage selective masking techniques for payment tokens. This method involves changing some of the information while leaving the rest in its original form. For example, a credit card of 1234 5678 9876 5432 could become 1234 WXYZ ABCD 5432. This method can be helpful if a merchant needs to verify information from a customer, such as the last four digits on their card.

 

How Does Payment Tokenization Work?

Payment Tokenization Workflow Graphic
Payment gateway tokenization involves transforming data, storing the nonsensitive character equivalents and transmitting that data without exposing the original information. Generally, the process of tokenization happens over several stages:

  • Data collection: The customer initiates a transaction and provides payment details to an organization.
  • Tokenization request: The business sends the payment information to a payment processor or third-party vendor for tokenization.
  • Token generation: Random characters and values replace the card information using a combination of encryption methods and algorithms.
  • Token storage: The organization’s system stores the token, protecting the original information from unauthorized access.
  • Token usage: The business sends the token to their secure vendor or payment processor for secure mapping to complete the transaction without exposing the card details.
  • Token reusability: If a customer subscribes to recurring services, the system can reuse the same token to avoid collecting information again.

 

The Benefits of Payment Network Tokenization

One of the most obvious benefits of tokenization is enhancing security. With the increase in occurrence and the growing complexity of cyberattacks, businesses and customers need a secure way to complete transactions. Tokenization can reduce the risk of data breaches, allowing customers to shop with confidence and businesses to protect their assets and reputation. Other benefits of tokenization include:

  • Meeting compliance standards: Tokenization helps you meet Payment Card Industry Data Security Standards (PCI-DSS) requirements. The PCI Security Standards Council created standards to ensure the security of all major card brand users, and service providers and merchants must demonstrate compliance to avoid fines and penalties.
  • Increasing efficiency: You can increase payment efficiency with tokenization. Rather than requiring customers to input their card information every time they make a purchase, you can store their tokens for streamlined transactions.
  • Controlling costs: Using advanced security techniques like tokenization allows businesses to secure payments while reducing the risk of data breaches and associated costs. Along with avoiding penalties and fines, organizations can prevent massive business losses, preserve customer trust and support their bottom line.
  • Improving the customer experience: Providing a faster way to complete transactions and offering peace of mind to your customers improves their overall experience. Simplifying and streamlining contactless payment tokenization and online payment processes can create a stronger relationship with your customers. Maintaining this positive relationship with your customers can increase their brand loyalty and drive long-term satisfaction.

 

Layering Tokenization With Additional Security

While tokenization is a great way to secure payments and streamline processes, there are additional strategies you can implement to further protect your data and business. Additional security reduces the likelihood of data breaches and physical threats. Implement tools and strategies like:

  • Encryption: Encryption is similar to tokenization. This approach uses algorithms to make information unreadable unless you have the right key to read it. Encryption is ideal for transmitting and storing unstructured data or large data batches. Creating a layered security strategy with encryption and tokenization can amplify your data storage and transmission security.
  • Multifactor authentication (MFA): MFA requires users to input multiple forms of authentication. A common requirement is to input a password and then follow it with a one-time code that a system sends to the user’s phone number or email address. However, you can also use security elements like tokens and biometrics to suit your needs. This strategy enhances your overall security by ensuring authorized individuals are the only ones able to make changes or complete transactions.
  • Security assessments: Conducting regular security assessments is the best way to ensure your security measures are up to date and capable of handling evolving threats. These assessments allow you to identify potential weaknesses and determine areas for improvement within your tokenization structure.

 

Improve Your Payment Processing

Tokenization is an excellent way to reduce data risks, enhance peace of mind and improve the customer experience. To embrace this advanced security strategy, you must find a service provider that can scale solutions to your needs and demonstrate the experience and flexibility to grow with your business.

That’s where we come in. With CSG Forte, you can find a cloud-based payments platform that simplifies payment processing, gives you data control and improves your operations. As your reliable payment tokenization service providers, our team members deliver holistic solutions while ensuring security.

We proudly support payment processing for all industries and businesses of any size. We leverage security measures, including tokenization, end-to-end encryption and payment pages, to keep your payment data safe every time. We also maintain essential compliance and possess payments industry and ACH securityy certifications. Ready to discover how CSG Forte can improve your payment processing? Get in touch with an expert.

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What Is End-to-End Encryption?

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Security is a must for software-as-a-service (SaaS) companies handling sensitive consumer data. However, the rise of cyber attacks makes traditional safety measures obsolete. That’s where end-to-end encryption (E2EE) comes in. Encrypting data from the moment you send it until it reaches its intended recipient prevents bad actors from altering or accessing confidential information. This allows you to comply with regulations and reduces the risk of breaches.

What Is End-to-End Encryption?

E2EE is a method of encrypting data so that only the sender and recipient can read it. The security method locks the information when it leaves the sender’s device until it reaches its destination. Even if someone intercepts the message mid-transit, all they’ll see is an unreadable string of characters. This approach all but eliminates third-party access.

Encryption falls into two cryptographic techniques—symmetric encryption and asymmetric encryption. In symmetric encryption, the same key is used for encryption and decryption. This method is swift and efficient. However, the challenge lies in securely sharing the encryption key between both parties. If a hacker were to access the key during transit, they could decipher the message.

Asymmetric encryption uses a public key and a private key. The public key is shared openly and is used to encrypt data. The private key is kept secret and is used to decrypt messages. If an attacker were to get the public key, they cannot use it to decrypt the message. E2EE systems use both symmetric and asymmetric encryption. The public-private key pair is used to securely exchange a session key—a temporary symmetric key—which then encrypts the actual data.

How Does End-to-End Encryption Work?

E2EE relies on asymmetric cryptography to scramble information before it leaves the communicator’s device and keeps it encoded until it reaches the receiver. The process involves the following steps:

  1. Data encryption: The sender’s device receives the original content and uses an encryption algorithm to convert it into an unreadable format called ciphertext.
  2. Transmission: The data then travels across the internet through various networks. Because it is encrypted, unauthorized parties can’t read or alter it.
  3. Decryption: When the encrypted data reaches its destination, the recipient’s device uses the private key to decrypt it, which converts ciphertext back into readable text.
  4. Authentication: This step verifies that unauthorized users did not tamper with the message during transmission. Digital signatures, hash functions and certificates are commonly used to validate the message’s integrity.

 

Applications of E2E Encryption

E2EE is often associated with messaging apps, but it safeguards various confidential data. Below are its common use cases.

Secure Communication

The most well-known use case of E2EE is securing communication channels, such as messaging apps, emails and voice and video calls. Popular messaging platforms like WhatsApp, Signal and iMessage use the method to protect messages between users. E2EE email services protect emails by encrypting them until they reach the recipient.

With the rise of remote work, businesses rely on video conferencing tools for collaboration. However, if your calls are unprotected, attackers can intercept, record or monitor them. Platforms like Zoom and Microsoft Teams have introduced E2EE options to prevent eavesdropping on private meetings.

Password Management and File Sharing

Without E2EE, passwords stored in a database could be exposed to a breach, which puts users at risk of identity theft and financial fraud. Encrypted password vaults prevent this by protecting users from bad actors.

Cloud-based file-sharing services make it easy to store and collaborate on documents, but they also pose security risks if data is not protected. End-to-end cloud storage platforms provide encryption so that only the user can access their files. Even the service provider cannot read the stored data.

Without E2EE, passwords stored in a database could be exposed to a breach, which puts users at risk of identity theft and financial fraud.

Data Storage

E2EE databases keep data encrypted before it is stored and can only be accessed by authorized users. This is helpful in industries handling sensitive information. If you’re a Saas company providing database solutions, integrating E2EE can set you apart from competitors. Customers dealing with regulatory compliance, intellectual property and personal data protection will find value in encrypted solutions.

Is End-to-End Encryption Good?

E2EE is one of the most effective ways to secure digital communications and sensitive data. But, like any security measure, it comes with advantages and challenges.

Benefits of End-to-End Encryption

Here’s why businesses should integrate E2EE:

  • Protects data: Cybercriminals target sensitive financial and personal data. However, cloud-based platforms are not immune to insider threats or external attacks. Using an end-to-end encrypted database means your client’s information remains secure. For example, payment processing systems that incorporate E2EE can protect credit card details by encrypting the data when a customer enters it.
  • Maintains confidentiality and privacy: End-to-end encryption and your privacy go hand in hand. Governments, corporations and other online entities often seek access to sensitive data, sometimes without the knowledge or consent of the user. Industries that rely on confidentiality can store electronic records and share proprietary information safely.
  • Provides data integrity: With E2EE, encrypted data cannot be altered in transit without detection. This is useful for securing financial transactions, contracts and other important business operations.
  • Builds user trust and compliance: Consumers are aware of modern digital privacy issues. When a SaaS provider implements E2EE, it shows that their security is a priority. Many industries also have strict compliance requirements that demand high standards of data protection. The method helps businesses meet these legal requirements.

 

Limitations of End-to-End Encryption

Here are the challenges organizations need to be aware of when using E2EE:

  • Visible metadata: Even if the content of a message or file is encrypted, metadata—such as who is communicating with whom, when and how often—can still be visible to service providers or attackers. Governments can use metadata to track interactions, even if they can’t see what’s being said.
  • Law enforcement concerns: One of the controversial aspects of E2EE is that it prevents law enforcement agencies from accessing data. Governments have raised concerns that this level of security could be exploited without oversight. Some authorities have even proposed requiring backdoors to allow access under specific circumstances, but hackers can also exploit these points.
  • Man-in-the-middle attacks: E2EE is only effective if encryption keys are exchanged securely. If an attacker steps in and manipulates the key exchange process, they could decrypt messages without either party knowing. This is why extra security measures may be necessary to maintain the integrity of communications.
  • No defined endpoints: For E2EE to work as intended, the endpoints or the devices where encryption and decryption occur must themselves be secure. If a device is compromised by malware or spyware, an attacker could steal the data from the user’s system. This means that strong antivirus software and secure hardware are still important.

 

Partner With CSG for End-to-End Encrypted Solutions

At CSG, we protect your data from unauthorized access. Our Forte platform keeps information secure from the moment it’s created to the moment it reaches its intended recipient. It’s a fast and scalable solution that allows you to customize payments for your customers. Our dedicated team also provides support to keep your system resilient against evolving threats. Plus, it’s built to meet strict regulatory requirements.

Talk to a payments expert to learn more.

From Paper Checks to Autopay: Streamlining Rent Payments for Property Management Success

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Property managers and owners count on getting on-time rent payments to maintain a healthy revenue stream. As economic pressures grow and tenant satisfaction declines, pressure on landlords is mounting to modernize rent payment processes. With inflation and higher living costs, almost 50% of U.S. renters struggle to make monthly payments. Outdated payment systems cause delays and errors, worsening the rent collection problem.

Many renters are dissatisfied with property management systems that don’t offer modern conveniences, such as digital tools for rent payments. They often want to pay rent online; 86% of renters say that online rent payments are important to them when evaluating a new rental before signing a lease. But property managers and owners are often stuck with the old-fashioned paper check method of taking rent payments.

To boost efficiency and meet tenant expectations for convenient, online payment options, property managers must streamline the payment process. Keep reading to learn how flexible, online payment solutions for renters can help companies overcome four common payment challenges:

 

1. Late and missed payments disrupt cash flow.

Late or missed rent payments are a common problem for property managers and owners, leading to cash flow disruptions and higher administrative expenses. Property owners rely on consistent rent payments to cover their own expenses such as mortgage payments, insurance, property tax, maintenance and repairs, and staff salaries.

As of November 2024, 14% percent of renters had incurred a late fee in the past 12 months. Many renters who get a single late fee struggle to recover. In fact, just under 60% of tenants who incur one late fee will end up with two, or more. More than 20% of renters with at least one late fee also have five or more additional charges in the last 12 months. And it’s not chump change: the median outstanding rental balance increased by 60% between September 2021 ($2,000) to November 2024 ($3,200).

 

2. Delinquency management is time consuming and legally complex.

Chasing late payments involves sending reminders, calling and emailing tenants and tracking communication, which consumes valuable staff time. Inefficient communication systems make these tasks harder. Navigating local, state and federal landlord-tenant laws regarding late fees, notices to pay or quit and eviction procedures is complex and time-sensitive. Errors can lead to fines, lawsuits from tenants or costly delays in gaining possession of the unit.

 

3. Some payment methods are inefficient, risky and/or difficult to reconcile.

There are various reasons for this, but the following are common:

  • Paper checks require physical handling, are slow to process and are susceptible to loss, theft and fraud. Reconciliation of paper checks is often manual.
  • Cash is difficult to track and risky due to security and fraud concerns.
  • Bank transfers (ACH/wire) sometimes lack clear identification of the payer or property, making reconciliation difficult without proper systems.

 

4. Communication gaps can lead to disputes.

If policies—rent due dates, grace periods, late fees and accepted payment methods—aren’t clearly communicated upfront (and continually repeated), tenants may challenge them.

What’s the solution? Property management payment solutions (with online payment options for renters) automate rent collection, payment processing and communication with renters.

 

How Two Companies Streamlined Payment Processing with CSG Forte

CSG Forte offers a suite of payment solutions that manage the entire payment lifecycle on a single platform, from payments and security to communications, support and self-service. Forte processes online and mobile payments, including credit/debit, ACH and digital wallet and sends automated payment reminders. Firms using CSG Forte’s property management payment solutions have experienced impressive results.

Gordon James Realty, a commercial and residential property management firm, needed a reliable and efficient system to process payments to vendors, receive payments from clients and manage returned payments. CSG Forte helped the company streamline the payment process by allowing the firm to process payments electronically, reducing manual labor and enhancing the end-user experience. Since implementing Forte payment solutions, Gordon James has experienced a:

  • 90% reduction in returned payments each month
  • 75% decrease in payment-related customer service inquiries
  • 25% reduction in accounts receivable processing costs
  • 15% reduction in time spent manually processing checks

While Gordon James Realty’s adoption of CSG Forte’s payment solutions showcases the significant benefits of streamlined, electronic payment processing—marked by dramatic reductions in manual work and customer issues—these advantages are not unique to one firm. In fact, property management businesses of all types and sizes are turning to digital innovation to solve persistent challenges. For example, Rentec Direct’s experience demonstrates the transformative impact of recurring, automated payment solutions in the property management sector.

Rentec Direct, a provider of online property management solutions to landlords and property managers, reduced late payments by using recurring digital payments powered by Forte. Rentec needed an integrated payment solution that allowed property managers to accept online payments and handle late fees and missed rent. Using Forte enabled Rentec to accept both ACH and credit card payments digitally, via one-time or recurring automatic payments.

Forte’s solutions were especially helpful for property owners utilizing Rentec’s solution during the COVID-19 pandemic. Between April and July 2020, renters failed to pay on time approximately 22% of the time. However, renters who used Rentec’s recurring payment system, powered by CSG Forte, only made late payments 1% of the time. During the height of the pandemic, landlords offering a recurring payment option experienced 20% less churn, resulting in 20% fewer vacancies.

 

Simplify Rent Payment and Reduce Late Payments with Forte

Flexible payment options—such as autopay, installments, and prepay—help minimize late payments, easing administrative workload and improving cash flow. Modern property management payment solutions support online payment options (satisfying tenants) and automate rent collection, increasing efficiency.

Property managers should adopt these tenant payment solutions to streamline operations and deliver a faster, more efficient experience for themselves and their renters.

Contact us to learn how Forte’s property management payment solutions streamline payment processes and reduce late payments, improving cash flow and satisfying renters.

5 Plug-and-Play Solutions to Modernize Government Payment Processing—Faster, Safer, Simpler

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Does your government agency rely on outdated payment methods like mailing a check or paying in person?

If so, it’s time to upgrade to a modern, digital payment solution that provides the convenient, flexible payment experiences that citizens now expect. Citizens want 24/7, mobile-friendly payment options for municipal services, including utilities, property taxes, car registration, parking tickets and permit fees. The three most popular payment methods are debit/credit cards (80% of survey respondents), digital wallets (60%) and cash (57%). Only 23% of respondents prefer to pay by check.

Many public sector finance leaders recognize the importance of payment modernization to boost efficiency and payer satisfaction while also controlling costs. However, outdated technology, limited budgets and technology knowledge gaps often pose significant obstacles to government payment modernization. That’s where plug-and-play payment solutions come in. They can help agencies overcome these challenges—benefitting governments and the people they serve.

 

3 Barriers to Government Payment Modernization

Local and state government agencies face several challenges to modernizing their payment solutions:

 

1. Outdated technology

Almost two thirds (62%) of public sector finance leaders surveyed agree that legacy technology is the number one barrier to payment innovation. Government agencies often use complex, outdated systems that are incompatible with modern payment technologies. Transitioning from these legacy systems can cause disruption and is often seen as too costly or risky.

State and local agencies face mounting challenges related to outdated systems, including:

  • Core system breakdowns: When legacy core systems can’t handle modern payment technology, agencies must resort to expensive emergency fixes that don’t address the root problems.
  • Knowledge gaps: As legacy app developers and architects retire, agencies are left without staff to manage or repair aging systems.

 

2. Budget and resource constraints

With tight budgets and lean teams, many government agencies find it tough to invest in modern payment systems. Smaller municipalities often struggle with the initial cost and resource-intensive nature of upgrading legacy systems.

More than half (54%) of finance leaders cite budget as a top barrier to payment innovation. On top of that, state and local governments face:

  • Increasing uncertainty: State budgets are impacted by ongoing federal funding changes and widespread agency reductions.
  • Diminished funding: Temporary pandemic-era state aid and infrastructure funding have largely ended, forcing state and local governments to stretch limited resources further.
  • Declining revenue: Declining tax revenue, emergency infrastructure repairs and unforeseen expenses cut into funds earmarked for technology improvements.

 

3. Knowledge gaps

More than three quarters (76%) of public sector finance leaders agree that lack of internal knowledge about emerging technology is holding some departments back. Insufficient digital expertise hampers agencies’ ability to serve the public effectively. Limited in-house IT personnel forces agencies to rely on costly external contractors. Clunky or unreliable payment systems weaken public trust and hurt revenue collection.

 

How can government agencies overcome these hurdles to upgrade their payment systems? Think plug-and-play.

A “plug-and-play” payment solution refers to a payment system or gateway that is designed for easy and quick integration into a government agency’s website, application, or point-of-sale (POS) devices, with minimal technical effort or coding. Think of it like a USB device for your computer—you “plug it in,” and it just works, without requiring complex setup or configuration.

Plug-and-play payment solutions allow government agencies to implement new digital payment solutions quickly, with minimal technical expertise. These user-friendly solutions integrate seamlessly with existing accounting systems and provide modern features and functionality without extensive upfront costs.

 

CSG Forte BillPay

To meet citizen expectations for seamless, instant payment experiences, government agencies need to automate routine tasks through electronic bill presentment and payment (EBPP). CSG Forte BillPay is a simple online payment portal that allows citizens to pay bills securely and conveniently. With BillPay, you can accept payments anytime, from any connected device, using flexible payment methods. BillPay is ideal for paying taxes, utilities, fines and fees.

BillPay

  • Generates custom notifications (reminders) and payment confirmations automatically.
  • Offers transaction tools for one-time, scheduled or recurring payments (such as utilities).
  • Integrates with in-person POS devices.
  • Allows citizens to self-serve, saving time.
  • Reduces customer service calls.
  • Decreases billing costs (print and mailing).

 

IVR Payment Processing

IVR payment systems use advanced touch-tone and speech-recognition technology to guide citizens through the payment process over the phone. IVR payment solutions are a convenient way for citizens to pay utility bills, property taxes and fines. CSG’s IVR payment processing system:

  • Is available 24/7 without an internet connection.
  • Is less expensive than payment processing through a contact center agent.
  • Reduces live agent payment-related calls and overhead staffing.

 

POS Devices

Even in this digital age, some people prefer to pay in person. In-person payment processing via a POS device lets people pay in person at local government offices with a card or mobile payment.

CSG Forte offers EMV- and contactless enabled terminals that are user-friendly and secure. Modern, simple POS terminals and readers accept any card or contactless digital wallet to meet your card-present needs.

Our POS devices for government provide:

  • Payment security: PCI, end-to-end encryption (E2EE) and validated point to point encryption (P2PE) keep sensitive card data safe.
  • Fraud protection: CSG Forte Protect encryption delivers an extra layer of protection against fraud.
  • Integration with billing systems: Seamlessly connects payment transactions to government billing and accounting platforms.

 

CSG Forte Dex

CSG Forte Dex is a cloud-based, unified payments platform that helps government agencies increase operational efficiency and simplify payments management, including transaction monitoring, dispute management, reporting, analytics and more.

Dex

  • Manages and monitors all payment operations in one location, saving time and money.
  • Provides complete access to payment operations.
  • Quickly address payer needs.
  • Grants refunds.
  • Cancels charges.
  • Includes automated dispute management tools and funding grids that save time by reducing the burden of manual accounting and reconciliations.
  • Gives you real-time insights into payment trends, including transaction breakdowns and payment trends, via reporting dashboards.

 

CSG Forte Checkout Saves Time and Money

Residents in Kinston, North Carolina, pay their utility bills directly to the city government. Prior to partnering with CSG Forte, Kinston residents could pay via phone or in person at a kiosk—but not online. City officials wanted to integrate payment processing into their billing software’s web interface so residents could easily pay their utility bills online.

The city used CSG Forte’s checkout solution to route payers from the city’s website to a secure third-party webpage to complete their transactions. CSG launched an online and IVR utilities billing solution for Kinston using a convenience fee model. CSG’s billing and payments experts provided comprehensive technical support following implementation.

After integrating more electronic payment processing options, Kinston saw 41% year-over-year growth in the number of transactions processed electronically. As a result, Kinston staff now handle less cash and fewer checks, saving time and reducing bank fees. Kinston residents appreciated the ease of making payments through the new system.

 

Modernize and Simplify Government Payment Processing with CSG Forte

Modernizing payment processing to accept digital payment methods increases security, efficiency, cost savings and citizen satisfaction. Implementing CSG Forte’s plug-and-play payment solutions is an effective, affordable way to adopt digital payment solutions to keep up with consumer preferences.

Forte’s government payments platform streamlines payment processing, meeting the needs of today’s citizens by offering a variety of payment options across channels. Government agencies benefit from dedicated support from CSG’s payment experts and their combined decades of industry experience.

Contact us to learn how CSG can help you modernize your government payment solution and simplify payment processing.

What Are ACH Credits and How Do They Work?

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Do you compensate your employees through direct deposit? Have you paid your bills online? If so, you have sent ACH credit. The Automated Clearing House (ACH) is a critical network in the United States financial industry that manages millions of transactions like these every day.

ACH credit makes electronic money transfers possible, so many systems and apps use this infrastructure for digital payments. You can benefit from fast, simple and secure payments when your business uses ACH payment solutions.

Read on to understand the meaning of an ACH credit and how it can boost your business.

 

What Does ACH Credit Mean?

An ACH credit is an electronic payment that sends money from one account to another. The payer (the person sending the payment) makes the request to push funds from the originating bank account (the payer’s account) to the recipient (the person receiving the payment) by putting the funds in the deposit account (the recipient’s account).

This method requires only a few basic transaction details, including the payer’s and recipient’s:

  • Name
  • Bank account number
  • Bank routing number

In just a few hours or days, the transaction is completed, and the recipient has the funds in their account.

ACH credits occur through ACH, an electronic money network connecting every major financial institution in the country, including credit unions, banks and the Federal Reserve. With this network, people and businesses can facilitate payments between accounts regardless of the banking institution. The National Automated Clearing House Association (Nacha) manages the ACH network and ensures payment is safely and quickly transferred. While this network mainly transfers money within the U.S., it can be used for international transfers.

 

How Does ACH Credit Work?

ACH credits are essentially a digital form of paper checks. With a paper check, the payer would fill out a check for the recipient to take to their bank. With credit ACH, the details are recorded and the funds are transferred electronically.

Here is how ACH electronic credits work:

  1. The payer initiates the payment: The payer provides the originating bank—or the Originating Depository Financial Institution (ODFI)—with the recipient’s account number and routing number, the amount of money to transfer, and a target settlement date (the date to transfer the money).
  2. The ODFI sends the payment details to ACH: The ODFI or their approved processing partner starts the transfer by sending the request to the ACH network. These institutions may batch several transactions to send to ACH in bulk.
  3. ACH sends the details to the recipient’s bank: The ACH network receives incoming transfer details in bulk and breaks them down into individual transactions. They bundle the transactions into batches and send the batch to the depositing bank—or the Receiving Depository Financial Institution (RDFI). ACH completes this process five times per business day.
  4. The RDFI processes the transaction: The RDFI receives the ACH bundles in their system and executes the transaction based on the processing window. Any transactions with incorrect information will trigger an error code, and the RDFI sends error codes back to ACH.
  5. The ODFI and RDFI settle the transaction: If the transaction has the correct details, the ODFI and RDFI settle the payment using their Federal Reserve balances.
  6. The recipient receives the payment: The RDFI releases the ODFI funds to the deposit bank account.

This process typically takes two business days, but it can be completed in one day if the ODFI pays a fee for same-day processing.

 

What Are Examples of ACH Credit?

Many individuals and businesses use ACH credit every day without realizing it. Any payment involving an account number and routing number to transfer money counts as an ACH transfer.

The most common examples of ACH credits include:

  • Online purchases: For merchants that do not accept credit card payments online, consumers can use an ACH transfer to pay the store for their order.
  • Refunded purchases: When merchants need to refund a consumer for a returned product, they can push money from their account to the consumer’s account. This transaction is an ACH credit.
  • Government benefits: The U.S. government uses ACH credit to send money from its accounts to qualified recipients for stimulus payments and similar transactions.
  • Direct deposit: When employers send payroll to employees through direct deposits, these transfers are a type of ACH credit. Funds in the employer’s account are pushed to their employees’ bank accounts.
  • Bill payments: Many companies allow customers to pay their bill online. Customers can provide their account and routing numbers to transfer funds from their account to the business to settle the bill.
  • Peer-to-peer payments: Payment apps like Venmo and PayPal allow people to send money to another person. This transaction is an ACH credit payment. While an ACH credit transaction is free, fees may be incurred depending on the bank used. If the ODFI or RDFI uses a processing partner, the partner may charge additional fees. The bank itself may charge a fee per transaction. The fee for an ACH credit transaction can range from tens of cents to a couple dollars.

Factors that impact ACH credit fees include:

  • The number of transactions processed per month
  • The monetary amount of transactions
  • The likelihood the transaction will be returned
  • If the transaction requires same-day processing
  • Which account validation method will be used

Since these fees operate on a scale, businesses will see reduced costs per transaction the more transactions they have.

 

What Benefits Do ACH Credits Offer Your Business?

Compared to traditional payment methods, ACH processing is quicker, easier and more secure. ACH transactions offer many advantages, including:

  • Simple setup: ACH credit requires the payer’s and recipient’s bank account number and routing number. By requiring only a few details, your business can easily set up one-time or recurring payments. Because these numbers change infrequently, if ever, you can count on your payments to go through.
  • Minimal to no transaction fees: Compared to wire transfers and credit cards, ACH credit fees are much lower, if there is a fee at all. This cost-effective fee pricing leads to monetary savings for your company.
  • Fast payments: ACH credit is one of the most efficient payment methods available. You can pay your employees and bills right away without manual processing. Funds move quickly between banks and are available in the deposit account as soon as the transaction is finalized.
  • Enhanced security: Credit ACH transactions have many security measures to ensure the funds are safe between the originating and deposit accounts. For example, bank account verification requires the payer and recipient to prove their bank account numbers, and fraud detection verifies the parties’ identities.
  • Accessible payment records: You can review electronic records of your transactions in your ACH processing platform at any time.

 

Choose CSG Forte for Your ACH Solutions

Your company can process ACH payments from any device, bank or source with validate services from CSG Forte. We offer two solutions—Validate and Validate+—to process and report your payments while reducing manual errors and identifying bad checks before processing. Your business can also validate online transactions for fraud, keeping you compliant with Nacha.

Contact us for more information about Validate and Validate+ or sign up today for your payment processing solution.

Why Now Is the Time to Modernize Government Payments

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“Companies succeed or fail according to whether they can keep up with customer preferences, and payments are no exception.” – USBank.

Want to improve the payment experience at your government agency?

Meet citizen expectations—go digital. People expect their local, county and state governments to offer the same payment convenience and flexibility retailers and other service providers offer. Although an increasing percentage of people prefer digital payments, many government agencies don’t offer them, instead relying on outdated methods like mailing paper checks or paying in person. These traditional approaches are inefficient, prone to errors, vulnerable to check fraud and often frustrate constituents.

To improve efficiency, security and service—and reduce costs—government entities must modernize their payment systems. Keep reading to discover three essential capabilities for government payment processing systems and eight benefits of modernizing your payment system.

 

3 Requirements for Government Payment Processing

Government online payment solutions must be able to:

 

1. Protect constituents from fraud.

Government organizations that collect payments face two major security-related concerns: losing funds and losing public trust. The Association for Financial Professionals reports that 79% of organizations were victims of payments fraud attacks or attempts in 2024. Paper check remains the most fraud-vulnerable payment method, with 63% of organizations reporting check fraud in 2024. Only about one-fifth (22%) of organizations were able to recover 75% or more of the funds lost due to payments fraud in the same year.

Millions of people in the U.S. are affected by data compromises each year—including data breaches, leakage and exposure—resulting in unauthorized threat actors accessing sensitive personal information. One survey found that 58% of consumers believe that brands that get hit with a data breach are not trustworthy, and 70% would stop shopping with a brand that suffered a security incident.

To help constituents feel comfortable paying taxes, penalties or other fees online, you must prioritize cybersecurity and provide secure payment solutions. Government agencies must comply with strict regulations like Payment Card Industry Data Security Standard (PCI DSS), but legacy payment systems often fall short in protecting sensitive payment data and lack up-to-date security measures, exposing payment data to fraud and cyberattacks.

 

2. Accept multiple types of payments.

Your constituents now expect 24/7, mobile-friendly payment options for municipal services, including utilities, property taxes, car registration, parking tickets and permit fees.

Consumer payment preferences shift rapidly. According to a USBank survey, digital wallets—the fourth most popular payment method in 2023—moved up to second place (preferred by 60% of respondents) in 2024, behind debit/credit (80%). Cash (57%) rounded out the top three. More than half (54%) of public sector finance leaders say payment acceptance technologies and consumer preferences change so fast it’s hard to prioritize and keep up with trends.

Your payments platform should allow you to accept multiple types of online payments, including:

 

3. Scale to meet future needs.

The ideal payment processing solution for governments is capable of processing large transactions volumes quickly and smoothly, without delays or disruptions. For example, local governments experience a spike in payments during tax season, and their secure payment solution must be able to accommodate these higher annual demands. Additionally, fast-growing municipalities should be able to meet their new residents’ needs.

Can your legacy payment processing system do all this? If it falls short, it’s time to upgrade to a modern digital solution that delivers what today’s constituents expect.

 

8 Benefits of Modernizing Your Government Payment System

Reliable digital solutions—such as ACH and credit card processing for government agencies—streamline payment operations, keep constituent data secure and scale according to your future needs. Here are eight ways your department could benefit from modernizing payments:

  1. Stronger security and compliance: Modern payment solutions include state-of-the-art encryption and fraud prevention tools and comply with the highest security standards, such as PCI DSS, reducing the risk of data breaches.
  2. Enhanced payer experience, satisfaction and trust: Citizens appreciate the flexibility and convenience of multiple digital payment options, allowing them to choose how and when to pay. People can easily view payment history and receive reminders, supporting financial management. A convenient, secure and frictionless payment experience boosts constituent satisfaction and builds trust in your agency.
  3. Increased efficiency: Streamlined operations allow your personnel to focus on high-value government initiatives instead of spending time processing payments and doing manual accounting and reconciliations.
  4. Reduced errors and administrative burden: Automation eliminates the manual reconciliation processes (associated with outdated accounting systems) that increase errors, fraud risk and operational costs.
  5. Decreased operational costs: Modern payment solutions reduce the need for physical infrastructure, paper billing and manual processing, saving money. Plug-and-play solutions offer a cost-effective, scalable approach that supports sustained cost savings over time.
  6. Expanded revenue streams: Online, interactive voice response (IVR) and kiosk payment systems allow people to pay via credit card, accommodating those who don’t have immediate access to funds. Improved revenue collection and service-fee models help recoup the cost of updating your payment system.
  7. Improved cash flow through: With a faster and simpler payment processing solution, you receive payments quicker.
  8. Increased likelihood of on-time payments: Giving constituents more ways to pay may decrease the likelihood of late payments. Millennials report they are more likely to prioritize paying bills that are easy to pay before taking care of those that are more inconvenient.

Outdated technology and limited budgets often make it challenging for government agencies to modernize their payment systems. Are you ready to find out how modernizing your system can help you, your employees and your constituents.

Contact us to learn how CSG Forte’s government payments platform can help you modernize your government payment solution and simplify payment processing.

Modernizing Municipal Billing: How Unified Digital Platforms Cut Costs & Build Trust

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Outdated Billing Hurts Everyone

Government agencies, especially at the municipal and county levels, often find themselves stuck working with outdated billing systems that hinder efficiency and diminish public trust. These systems—built on decades-old infrastructure—require manual processing, result in higher labor costs and frustrate both staff and residents. For citizens, late notices, confusing bills and limited payment options breed dissatisfaction. For governments, these legacy processes mean wasted staff hours, delayed reconciliations and rising costs.

The solution? A government-specific unified, digital bill payment platform that modernizes workflows across departments while enhancing transparency and customer satisfaction. With tools like mobile-friendly portals, automated reconciliation and secure payment processing, modern platforms not only improve operations—they help build trust with constituents. Municipalities can do more with fewer resources, while giving residents the seamless digital experiences they’ve come to expect.

 

Pain Point: Staff Shortages & Rising Costs

Small and mid-sized governments are under increasing pressure to deliver more with less. The Great Resignation, retirements and public sector hiring challenges have all contributed to workforce shortages that make it difficult to keep up with daily payment processing, reconciliation and reporting.

Manual workflows compound the problem. When payments must be logged by hand, spreadsheets updated manually or paper checks deposited at a bank, staff are bogged down by tasks that could easily be automated. Worse, the risk of error increases with every manual step.

A more-in-one solution like Forte’s BillPay simplifies this burden by automating routine tasks—such as sending eBills, applying payments to the correct account and reconciling end-of-day reports. The platform integrates across departments so that finance, permitting, courts and utilities are no longer working in silos. This not only saves time but also minimizes the need for staff to learn multiple systems or enter data multiple times.

 

What a “More-in-One” BillPay Platform Looks Like

A lot of governments accept online payments, but the systems are often piecemeal. One tool for water bills. Another for court fines. A third for permitting. The result? Confusion, data silos and extra costs.

Forte’s BillPay solution consolidates those fragmented systems into a single platform. Whether it’s utility billing, taxes, licensing or court payments, all payments flow through a unified interface with configurable workflows and real-time reporting.

Here’s what that looks like in practice:

  • One resident login to pay multiple bill types
  • Mobile-first interfaces that support multiple languages
  • Automated payment reminders, late fee notifications and follow-ups
  • Built-in convenience fee support, helping cities recoup costs
  • Text-to-pay and email link features for on-the-go convenience
  • Integration with ERP/accounting tools to reduce reconciliation workload

For example, Dimmit County, Texas, implemented Forte’s Text to Pay feature and saw a 3x increase in weekly payments in just the first week. Call volumes dropped, errors decreased and customers reported faster, easier payments—even from their phones.

And because Forte is PCI Level 1 compliant, all transactions meet the highest standards of data security.

 

How to Get Started: Quick Wins and Long-Term Payoffs

Digital transformation might sound expensive, but it often starts with a few simple changes—like switching to emailed bills or offering multiple payment methods. From there, you can scale up to fully integrated portals and automation.

Forte works with your existing systems or helps migrate you to more modern tools. And with hands-on support, development flexibility and years of experience in government payments, our team becomes an extension of yours.

Here are some quick wins to look for:

  • Offer online and mobile payments with email/text notifications.
  • Reduce staff time with auto-posting and real-time updates.
  • Use dashboards to flag payment patterns and missed deadlines.
  • Pilot text-to-pay in one department (like courts or utilities).
  • Train staff in reconciliation and reporting automation.

The payoff? Reduced calls, faster collections, less manual work—and a noticeable boost in public satisfaction.

 

It’s Time to Modernize the Way You Collect

Modern billing isn’t just a tech upgrade—it’s a strategic move that helps local governments do more with less. With Forte’s unified digital platform, you’re not just collecting payments. You’re saving staff time, improving public trust and aligning departments under one enterprise-ready system.

You don’t need to overhaul everything overnight. But you do need a partner who understands the complexity—and can make it simple. Start where you are and scale when you’re ready.

Ready to explore how Forte BillPay can work for your city or county? Talk to a Forte expert today.