For merchants who utilize our reconciliation feature, we do one reconciliation per period and for that period a franchisee will get one withdrawal or one deposit, depending on whether they owe or are owed net for the period. For that ACH transaction, they are charged the fee, typically once a month. So in essence they are batched.
Things to know:
- The ach fee is $5
- If a franchisee does not have a reconciliation fee set, we will defer to the franchise (parent) company reconciliation fee (if that is set).
- If a reconciliation fee is not set on the parent or child, no reconciliation fee will be charged.
- The franchise company will not pay the ACH fee if there are no ACH transactions throughout that period.
Scenario 1:
A franchisee owns four locations, all of which use the same bank account (ACH account). In January, a single deposit was made to each location (Location A - $100, Location B - $300, and so on). The location owner will be charged a single $5 ach fee per month.
Scenario 2:
A franchisee has four locations but different bank accounts (some do this since the locations may use various LLCs). Example: A and B are the same bank account, while C and D are independent bank accounts, making a total of three bank accounts. The location owner will be charged $15 ach fee (3 x $5) per month.
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