Overview
Stripe is tightening requirements for ACH Direct Debit to align with Nacha operating rules. If you accept US bank account payments through Connect using Stripe, you may need to update your Stripe account details so customers can clearly identify your business on bank statements and have a way to contact you.
What you need to do in Stripe
You must choose how Stripe should classify your bank payment transactions. Stripe provides three options:
- Automatically classify transactions - Stripe determines whether each transaction represents a purchase of goods based on available signals such as merchant information and transaction details. This works for most businesses and requires no code changes.
- Classify all ACH transactions as goods - Choose this if you exclusively sell physical or digital products. All ACH transactions are classified as purchases of goods.
- Do not classify any transactions as goods - Choose this if you provide services, accept donations, or collect bill payments rather than selling goods.