Article Contents:
Quick Overview
Partnership Requirements
Overview:
Read more from Stripe's Help Center:
Why switch to ACH?
Suppliers pay lower Stripe processing fees (0.8% or $5, whichever is lower, per invoice).
Retailers make delayed batched bank payments (based on partnership agreement), rather than a credit card payment per order.
Detailed illustration of how money moves through Carro x Stripe ACH, including all fees:
Partnership Requirements:
1. ACH Stripe only supports US-to-US transactions. Both partners must be based in the US and operate in $USD.
2. Retailers must be on the Carro Enterprise plan.
3. Suppliers need to have Stripe "debits allowed" because if there are more refunds than purchases within a window, there will be a negative invoice. Carro suggests a minimum debit limit of $250 (if you have high ticket items, we suggest a higher minimum).
4. Both partners must agree and provide the Carro team with:
The time period (in days) for order accrual.
Invoices have a max of 250 orders each. If there are more than 250 orders it will create additional invoices (all invoices are still finalized all at once within your stack period).
The number of days of delay before Carro (or Stripe) finalizes and charges the invoice.
After the delay & charge, it takes Stripe between 4-14 business days to reach the supplier.
Stripe finalization happens at 4 PM PT on the final day of the agreed-upon delay.
Detailed illustration of an Accrual / Delay example:
Retailer Setup Instructions:
Once approved by your account manager, there are a few steps before you can begin using ACH.
The Carro team will send you a link to add your bank payment method. Follow the secured link to update the required information.
Contact your bank and ask them to whitelist the following stripe company IDS for debit withdrawals (Why do I need to do this? Read more from Stripe):
1800948598 - Stripe Payments Company
4270465600 - Stripe Payments Company
Please notify the Carro team once both steps are completed.
Retailer FAQ:
What does a bank transfer statement descriptor look like?
It varies depending on your bank.
Do I still get charged Carro's 5%?
Yes, as you would for normal Carro orders.
Do all of my suppliers have to be on ACH?
No, you can have some partnerships using Direct Charges, and others can use ACH. However, you can't have both payment types for a single partnership.
Can I select the day that I pay out?
No.
If I want Net 30, how should I set that up?
Set a 1-Day Accrual and 30-Day Delay.
Note: Payments won't be available in your bank account for 4-14 business days after day 30.
Supplier Setup Instructions:
Once approved for ACH, there are a few steps before you can begin.
Contact your bank and ask them to whitelist the following stripe company IDS for debit withdrawals (Why do I need to do this? Read more from Stripe):
1800948598 - Stripe Payments Company
4270465600 - Stripe Payments Company
Contact your bank and set a reasonable debit limit for refunds so that Stripe can withdraw money. Carro suggests a minimum debit limit of $250 (if you have high ticket items, we suggest a higher minimum).
Please notify the Carro team once both steps are completed.
Supplier FAQ:
Is the Stripe ACH fee lower than the Stripe Direct fee?
Yes!
Stripe ACH: 0.8% or $5, whichever is lower, per invoice
Stripe Direct: 2.9% + $0.3 per transaction
How long does it take to receive Stripe ACH payments?
It varies based on your partnership agreements.
Partnership accrual period + partnership delay + 10-14 day stripe deposit delay.
What does a Stripe deposit descriptor look like?
It's unique to how you set up your deposits.
Do all of my retailers have to be on ACH?
No, you can have some partnerships using Direct Charges, and others can use ACH. However, you can't have both payment types for a single partnership.
If I want Net 30, how should I set that up?
Set a 1-Day Accrual and 30-Day Delay.
Note: Payments won't be available in your bank account for 4-14 business days after day 30.
Is the Stripe ACH fee applied to each order, or to each invoice?
Charged per invoice.
What is a reasonable debit limit for refunds?
This is based on your cost per goods and volume of returns. We suggest at least $250, but this number should increase if you sell high-ticket items.
Can I select the day that I get paid out?
No, we do not currently support payments on a specific day of the month.