Quickbooks Payments - the 1% fee is debited a day or two later and I get an insufficient funds notice if I've already withdrawn funds

@mattclifton 

"I only pay 1% on the transaction."

Don't let Intuit fool you, 1% is unbelievably expensive for ACH transactions.  Most 3rd party payment platforms like Bill.com and Melio charge a flat $0.49 per transaction.  ACH payments should not be a percentage of a transaction like credit cards where the funding is immediate.  ACH payments are savings to a bank because it eliminates the need to process paper checks.     

Hello, Matt.

I see you’re facing challenges with QuickBooks Payments and the associated transaction fees.  I’d be glad to help you understand how this process works and share some tips to streamline your cash flow.

First, please note that for regular ACH payments, the 1% fee is deducted immediately, and we deposit the net amount to the customer's account.

However, if you're using an instant deposit, we deposit the full amount and then take the 1.75% fee later. They will show up as two separate transactions.

Also, the insufficient funds notice is caused by the delayed deduction of fees by the system, especially if the customer withdraws the funds immediately. This results in the system being unable to deduct the fees, as they've already withdrawn the payment.

Since you're using regular ACH payments with the 1% fee, I recommend reaching out to our customer support team to investigate the reason for the delay in fee deduction on your end. Here's how:

1. Sign in with your QuickBooks Online company.
2. In the upper right corner, click on the Help icon.
3. Select Search, then click Contact Us.
4. Write your issue or concern and Continue.
5. Select what support you would like to contact.

Moreover, you can refer to this article for information on the fees associated with QuickBooks: Payments and Banking.

I’ll also include this article as a comprehensive guide to help you ensure that your QuickBooks accounts align with your bank statements when needed: Reconcile an account in QuickBooks Online.

Let us know if you have further questions about managing your payments in QuickBooks. We'll be right here to help you anytime.

I'm suprised this is their new policy. Last month I paid hundreds of dollars in transaction fees (I'm just a single-member LLC freelancer) for literally no additional offerings from QB that I know or care about. Currently looking into other options.