Banks make it easy for you to pay bills with direct deposit, whether you are acting as an individual or running a business. Direct deposit is helpful because it is secure, saves time and usually saves you money in check charges. It’s good for the people you pay as well. Creditors and employees have their money put straight into their bank accounts without the hassle of going to the bank to cash paper checks.
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1.
Talk to your banker to determine your needs. For example, if you plan to use direct deposit to pay employees, you probably need a dedicated payroll account with online resources designed for paying many people on a regular basis. If you are doing payroll and other accounting functions yourself instead of outsourcing them to a data processing service, your bank might also offer special reports and statements designed for small businesses.
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2.
Ask the person or business you want to pay by direct deposit for the necessary information. You need the recipient’s name and address as it appears on the account to which you are sending money. You also need the name of the bank, the bank routing number and the bank account number. The routing number identifies the bank, while the account number is a unique identifier of your recipient’s account.
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3.
Log on to your online bank account and verify that you have sufficient funds in the account to cover the direct deposit payment you want to make. Follow the prompts to enter the information from Step 2. Enter the amount you wish to pay. Again, follow the prompts to authorize and send the payment.
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4.
Save the information you’ve entered in your online account. This will eliminate the need to re-enter the same information the next time you pay the recipient via direct deposit. For recurring bills for which the amounts do not change, such as rent payments, most banks allow you to schedule automatic payments on a specified date each month.
