--- title: "Guide to ACH payment compliance" slug: "guide-to-ach-payment-compliance" updated: 2026-10-15T01:00:20Z published: 2026-10-15T01:00:20Z canonical: "help.servicetitan.com/guide-to-ach-payment-compliance" --- > ## Documentation Index > Fetch the complete documentation index at: https://help.servicetitan.com/llms.txt > Use this file to discover all available pages before exploring further. # Guide to ACH payment compliance ## Overview This guide provides an overview of ACH payment compliance features in ServiceTitan. ServiceTitan features have been built in the office to comply with ACH authorization requirements. Office employees are required to specify how they obtained ACH authorization by selecting the Authorization Method and answering a question regarding how they obtained authorization, based on the Authorization Method to process the ACH payment. ServiceTitan features have been built in the office to better support the National Automated Clearinghouse Association (NACHA) compliance for processing ACH payments through ProfitStars. ProfitStars is the check processor for ServiceTitan Payments. ProfitStars routinely audits merchants for proof of ACH authorization. Repeated failure to comply with NACHA regulations may result in termination of your merchant account. --- ### #### Who uses this feature - Accountants - Account configuration is required to use this feature. Please contact your success or implementation manager for details. ## Things to know - Any changes as noted in this guide are **only applicable to ACH when processed through ProfitStars**, which occurs when the office manually enters the account and routing number to process payment. Changes do *not* affect Mobile Check Capture, which occurs when a technician takes a photo of a check for processing. - ServiceTitan recommends following these best practices to ensure your business is compliant with NACHA regulations: - When processing ACH payments through the office, you must collect authorization from the account holder. Authorization is permission from the account holder to debit their bank account. Authorization must be readily identifiable as an authorization with clear and understandable terms and must provide that the receiver may revoke the authorization in the manner outlined in the authorization. - When processing checks in the office as ACH transactions, complete the *Authorization Method* field to show proof of compliance during ACH regulation audits. ## Breakdown of authorization methods When processing checks in the office as ACH transactions, complete the **Authorization Method** field to be compliant with ACH regulation audits. You can select **Telephone**, **Mail**, or **In Person** to complete the **Authorization Method** field. Below is a breakdown of each authorization method. ## Telephone authorization method ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-u5172lm2.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) Select **Telephone** as the *Authorization Method* if you have received verbal authorization from the account holder over the phone. The authorization must be readily identifiable as an authorization with clear and understandable terms and must provide that the receiver may revoke the authorization in the manner outlined in the authorization. The following information must be included as part of the telephone authorization: - The amount of the transaction or a reference to the method of determining the number of recurring transactions - The payment time or the start date, number, and/or frequency of the electronic fund transfers from the customer account for recurring transactions - The account holder name or identity - Your customer service telephone number - The date of the account holder voice authorization ### One-time and recurring telephone authorizations Telephone authorization requirements differ for a one-time payment and a recurring payment. #### One-time payments You can accept a one-time ACH payment by phone on a line that is not recorded. To stay compliant, do the following: - Get explicit verbal consent from the account holder to debit the account. - State clearly that the account holder authorizes an ACH debit. - Verify the account holder's identity and validate the routing number using commercially reasonable procedures. - Send written confirmation of the authorization before the ACH payment settles. - Retain the written confirmation for two years from the date of authorization. The written confirmation must include the required details of the account holder's ACH authorization, listed above. #### Recurring payments A recurring ACH payment authorized by phone carries additional requirements. Do the following: - Audio-record the account holder's oral authorization. - Give the account holder a written copy of the authorization, as Regulation E requires. - Retain the authorization records for two years after the authorization is terminated or revoked. > [!NOTE] > **Note:** A phone line that is not recorded cannot establish a recurring telephone authorization on its own. A recurring telephone authorization requires an audio recording in addition to the written authorization requirements that apply. | Payment type | Recorded call required | Written confirmation or authorization | | --- | --- | --- | | One-time ACH | No | Yes. If the call is not recorded, provide written confirmation of the oral authorization before settlement. | | Recurring ACH | Yes | Yes. Provide a written copy, as Regulation E requires. | These requirements apply to consumer ACH payments authorized by telephone, known as TEL entries. ACH debits from business accounts are generally subject to different CCD authorization requirements. When you select **Telephone** as the *Authorization Method*, ServiceTitan creates an email notice for telephone authorization. ServiceTitan sends the email notice to the customer anytime you process an ACH transaction and select **Telephone** as the *Authorization Method*. This email notice provides the written confirmation required for a single-entry ACH debit. Save a copy as proof of authorization. Below is a sample email notice for telephone authorization. ## Sample Email Notice for Telephone Authorization ### Sample Email Notice for Telephone Authorization Dear [customer full name]: This email confirms you have authorized [company name], herein called COMPANY, to debit your bank account for [a single-entry ACH debit] according to the following details: Amount Authorized: [ACH payment amount] Date of Authorization: [today's date] Date of Debit: On or after [today's date] Bank Account Number: Ending in [truncated account #] This authorization is to remain in full force and effect for the service on this invoice, until COMPANY has received notification from me of its termination in such time and in such manner as to afford COMPANY a reasonable opportunity to act on it. If you believe any of the above information to be in error or to contact the COMPANY for information on revoking this authorization, please contact us at [customer service phone #]. ## Mail authorization method ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-7gxb3pnz.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) Select **Mail** as the *Authorization Method* if your customers have mailed you payment with a signed authorization form. Include the authorization form as a separate tear-off or coupon with the invoice. ## In Person authorization method ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-oapxzc3e.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) Select **In Person** as the *Authorization Method* if you have received authorization in-person from the customer. Technicians obtain the account holder's signature while they are out in the field. The office can either create a new form for the ACH Authorization, or they can add the authorization as part of the work acknowledgment template. If the office adds the authorization as part of the work acknowledgment template, you maintain a digital copy of the authorization in ServiceTitan. Below is a workflow for inserting the ACH payment authorization agreement into the work acknowledgment template and a sample ACH payment authorization agreement. > [!NOTE] > **Note:** Retain copies of the authorization so you can provide them to NACHA on request. For a one-time authorization, retain the record for two years from the date of authorization. For a recurring authorization, retain the records for two years after the authorization is terminated or revoked. ## Insert the ACH payment authorization agreement into the work acknowledgment template To insert the ACH payment authorization agreement into the work acknowledgment template, complete the following: 1. Navigate to **Settings > Operations** > **Business Units**. 2. Click **Edit** next to the business unit you wish to upload an ACH payment authorization to. ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-tdykhkhm.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) 3. Click the **Details** tab. 4. Enter in your ACH payment authorization agreement in the **Acknowledgment Paragraph** field. Technicians can view the authorization agreement in the field and collect an account holder signature. You must have a signed copy of the ACH Payment Authorization Agreement before you may add an ACH Payment in the office. Below is a sample ACH payment authorization agreement. ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-0aez7y7r.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) > [!NOTE] > **Note:** Please replace [company name] with your company name and [customer service phone #] with your customer service number below. ## Sample ACH Payment Authorization Agreement ### Sample ACH Payment Authorization Agreement In the event that payment is required and bank account information or a check is provided as a form of payment, I hereby authorize [company name], herein called COMPANY, to (i) initiate a debit entry to my account, and to debit the same to such account, (ii) use information from my check to make a one-time electronic fund transfer from my account or (iii) process the payment as a check transaction, as determined by COMPANY and as applicable. I acknowledge that the origination of ACH transactions to my account must comply with the provision of U.S. law and that I may only revoke this authorization by notifying COMPANY as provided below. This authorization is to remain in full force and effect for the payment on this invoice, until COMPANY has received written notification from me of its termination in such time and in such manner as to afford COMPANY a reasonable opportunity to act on it. If you believe any of the above information to be in error or to contact the COMPANY for information on revoking this authorization, please contact us at [customer service phone #]. For more information on Agreement and Acknowledgment paragraphs, see [Add and edit business units](/construction/docs/add-and-edit-business-units-3). ## Process ACH payment in the office When you collect ACH payment in the office, complete the *Authorization Method* field on the *Charge Bank Account* screen to show proof of compliance during ACH regulation audits. To collect ACH payment in the office, complete the following: 1. Navigate to the invoice. 2. Click **Add a Payment**. 3. Use the *Type* dropdown to select **ACH** and enter any additional fields as desired. ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-q6mg76n2.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) 4. When you're finished, click **Charge Account** as you normally would. The *Charge Bank Account* screen appears. ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-8tcsxco7.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) 5. Use the **Authorization Method** dropdown to select **Telephone**, **Mail**, or **In Person**. This is a required field that must be filled out when you process an ACH payment in the office. 1. If you select **Telephone**, enter the *Account Owner's Email*. This is the email that the Authorization Notice is sent to. A copy of the email can also be saved as proof of Authorization. ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-aa1wp2n6.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) 2. If you select **Mail** or **In Person**, you have the option to *Upload* a copy of the signed authorization or *Attach Invoice* to the payment. ![](https://cdn.document360.io/961862ab-d0f2-4d91-bb62-a62ee8184eff/Images/Documentation/guide-to-ach-payment-compliance-image-dvr9tajb.jpg?sv=2026-02-06&spr=https&st=2026-10-31T01%3A36%3A46Z&se=2026-10-31T02%3A36%3A46Z&sr=c&sp=r&sig=GRf6sR3DFTOjkJPCSbRwbF9uAqyKACJeQ%2FFplUMfTN8%3D) 1. If you click **Upload**, the file you upload can be pulled if requested by ProfitStars. 2. If you check **Attach Invoice**, the invoice PDF automatically uploads as the proof of authorization when the payment is processed. 6. Enter additional fields as you normally would. 7. When you're finished, click **Charge**. ## Best practices for processing checks in Mobile ACH Payment compliance workflows in this guide are only applicable to ACH transactions in the office. ACH Payment compliance does *not* affect Mobile Check Capture. Below are the best practices for collecting payment in the field. ### Mobile Check Capture - Technicians should process checks using Mobile Check Capture as the primary method instead of ACH payment. ACH rules do not apply to Mobile Check Capture, so technicians do not have to obtain any additional authorization. Mobile Check Capture also prevents errors, such as entering an incorrect account number, and is more efficient than typing in account and routing numbers multiple times. - If Mobile Check Capture is not a preferred method, ServiceTitan recommends that technicians process the check as an ACH *while on site*. Processing check as an ACH while on site is highly recommended so that technicians can fill in the Authorization screen as part of the payment processing workflow. The customer is asked to electronically sign on the ServiceTitan Mobile and the technician receives authorization. If you have any questions, please contact the ServiceTitan Payments Team at [paymentsupport@servicetitan.com](mailto:paymentsupport@servicetitan.com). ## Want to learn more? - See [Guide to online payments](/construction/docs/guide-to-online-payments)