Entrepreneurship & Small Business

Service for direct deposit (not payroll)

  • Last Updated:
  • Jan 27th, 2018 5:49 am
[OP]
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Apr 21, 2009
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Hamilton

Service for direct deposit (not payroll)

Hi All,

I’ve been searching and have read through several threads on this topic - mostly payroll related though. I have checked out sites for several services - payment evolution, payweb, Transferwise, Plooto, etc.

I have an account that receives funds monthly that need to be disbursed to 25 different businesses. Up until now we’ve been writing cheques and having them signed by two individuals (joint signatures needed) and it’s a lot of work. Been working on moving this to a direct deposit - I have all the of the 25 indivudual’s Account info (inst, transit, account). Hoping to be able to send these payments directly. It’s all in CAD, and all accounts within Ontario (nothing international at all).

I did setup with payment evolution, had it all ready to go for January and every time I try to make a payment the service gives an error. Their support on the issue has been less than ideal (to put it nicely). The first month’s scheduled payments are already going to be late and I’ll likely have to resort to writing cheques which this group of individuals won’t be happy about (it took me 3 months to convince them to move to direct deposit in the first place).

When looking I noticed that Plooto may be able to do this service. Does anyone have any experience with it or any other services for these types of transactions? We have all of our banking with TD and they do not have this option at all, but I think I’ve read that RBC does.

Appreciate any feedback.

Thanks
19 replies
Sr. Member
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Aug 15, 2015
924 posts
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Markham, ON
I don't know if this may be the appropriate solution to what you are looking for BUT

Does the 25 different business you work with accept credit card payments? If so, it might be useful to have them issue you 12 invoices in advance and each month you just pay it via credit card on a website they have set up that is purely for receiving your payment only. You would have to enter your information, the invoice number, the amount of payment to be paid and your credit card information (which could be a business credit card).
[OP]
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Apr 21, 2009
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Poppwl wrote:
Dec 28th, 2017 9:38 am
I don't know if this may be the appropriate solution to what you are looking for BUT

Does the 25 different business you work with accept credit card payments? If so, it might be useful to have them issue you 12 invoices in advance and each month you just pay it via credit card on a website they have set up that is purely for receiving your payment only. You would have to enter your information, the invoice number, the amount of payment to be paid and your credit card information (which could be a business credit card).
Appreciate the feedback, but no, they don’t accept credit card payments.
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Aug 15, 2015
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Issue invoices and payment through email-interac? Can you do that with a business bank account? I don't know the charges. I am no business owner and I never had to deal with collection at work.

I was only partially assisting with paying the bills and, obviously, people make it easy for people to pay bills.
[OP]
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Apr 21, 2009
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Poppwl wrote:
Dec 28th, 2017 9:52 am
Issue invoices and payment through email-interac? Can you do that with a business bank account? I don't know the charges. I am no business owner and I never had to deal with collection at work.

I was only partially assisting with paying the bills and, obviously, people make it easy for people to pay bills.
Not an option unfortunately. It’s not really invoices being issued. And interac e-transfer has limits that wouldn’t allow the disbursement of funds (It’s about 100,000/month being split 25 ways).

I’m going to try looking more into using RBC as an option instead. It looks like from their site when you need to make payments you can enter account numbers from other banks for sending funds directly.
Newbie
Jan 8, 2018
3 posts
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Hi, We've used Telpay for the last few years, program is a little archaic but once setup it just runs. May be an option for you. We are looking into Plooto and PayemntEvolution though and its good to hear your experience, has anything changed?
[OP]
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firsty1 wrote:
Jan 9th, 2018 5:58 pm
Hi, We've used Telpay for the last few years, program is a little archaic but once setup it just runs. May be an option for you. We are looking into Plooto and PayemntEvolution though and its good to hear your experience, has anything changed?
I reached out to Plooto to ask, and it took them over a week to reply to a very simple question. So many of these services really focus on payroll but I really just need to do direct payments to bank accounts. Payment Evolution worked beautifully when I tested it, but since mid December has not worked. An error caused by the interfacing with payment evolution and quickbooks seems to be the issue but 3 weeks on it’s not yet resolved. And unfortunately can’t use Payment Evolution to just send a payment unless it’s pulling from bookkeeping software.

I’ve since spoken to a few banks, and they all seem to offer it. EFT is really what I’m after. Though a bit pricier through the banks. What I’ve settled on and am in the process of setting up is an account with Ceridian for EFT use. Seems very simple and straight forward. $10 base fee and $1/transaction. One of the banks was something like $50 base monthly fee and $1/transaction.

Edit: Just looked at Telpay and it looks like a great option. Then I realized I’ve checked their site already when searching. What deterred me is that the software is Windows only from what they show on their site. Is that true?
Newbie
Jan 8, 2018
3 posts
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Yes, true, there is no web-based option. We just changed accounting software vendors and I am trying to get a CSV uploaded with my payment/vendor details and it's like i'm back in 1980. Like i said, once it's setup it just runs but has to be on a windows machine. I have been extreeemely frustrated with getting this new csv format setup and thus the reason why I'm looking for something built in the last decade. I just thought that it may be an option if you could live with windows.
[OP]
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firsty1 wrote:
Jan 9th, 2018 9:03 pm
Yes, true, there is no web-based option. We just changed accounting software vendors and I am trying to get a CSV uploaded with my payment/vendor details and it's like i'm back in 1980. Like i said, once it's setup it just runs but has to be on a windows machine. I have been extreeemely frustrated with getting this new csv format setup and thus the reason why I'm looking for something built in the last decade. I just thought that it may be an option if you could live with windows.
Unfortunately I don’t have any windows computers at the office. But thank you - definitely appreciate the feedback!
Newbie
Jan 8, 2018
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There is waypay too, and I understand Acceo Transphere - i had an email from Acceo as follows:

"ACCEO Transphere is a solution to eliminate printed check. The big difference with standard EFT is that you do not keep any vendor banking information in the accounting system. From the ERP (accounting system), you select the vendors you want to invite.
ACCEO Transphere sends the invitations
The vendors are responsible to create their account
ACCEO validate the bank account

Once the bank account is confirm, you are notify that the vendor is ready to use Transphere and a key is generated to identify the vendor. This key is store in the vendor’s file in the accounting system

As of today, ACCEO Transphere is bind with ACCEO accounting system http://acceo.com/produits/

More info http://acceotransphere.com/en/

We are currently working to integrate non-ACCEO systems to the solution (done by mid 2018)

Your accounting system will have to be able to;
· Export data to create the invitation (vendor’s ID, number, name, email)
· Import the generated key (if you don’t want to enter it manually
· Create a EFT file (payment information) to import into Transphere"
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Aug 21, 2007
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I wonder if a solution like the quickbooks advanced payroll by wagepoint might provide the best of all worlds...believe it is $20/pay run plus $2/employee/contractor.

May not be exactly what you need since you'd maybe be coming under the contractor aspect, which is probably not in line with what the payments are actually for...but perhaps worth investigating?
[OP]
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adeel wrote:
Jan 10th, 2018 9:37 am
I wonder if a solution like the quickbooks advanced payroll by wagepoint might provide the best of all worlds...believe it is $20/pay run plus $2/employee/contractor.

May not be exactly what you need since you'd maybe be coming under the contractor aspect, which is probably not in line with what the payments are actually for...but perhaps worth investigating?
Good thoughts, thanks. I did investigate that recently as well. Wagepoint was quite responsive and quick to reply to any questions I had. Setup part of it to see how it would work. Although payroll wasn't required, it kept kind of insisting on SIN number or CRA number for people being paid and they insisted on generating a T4A even when just needing to transfer funds to a vendor.
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Jul 3, 2017
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It's surprisingly difficult in Canada. The banks don't seem to want to offer this service. In the U.S. our bank allows us to make free ACH direct deposits to other companies. I know Payment Evolution offers a direct payment system in Canada, but you say you've tried them and they're unhelpful on this topic. Our foreign exchange processor Cambridge Mercantile will also do it through their Cambridge Online EZPay system, for no fee even if there's no currency exchange involved. But I don't think they really intend the service to be used for regular volume transactions not involving currency exchange.
Member
Dec 7, 2005
244 posts
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Pickering
Plooto is 1 per send so it would cost you 25 per month. The issue with Plooto is that the payments take 5 days. I hate that but use it anyway due to its simplicity of use if you are a Quickbooks user. You can do this at TD BTW. It a service available through their commercial banking side. Downside is that it costs 100 a month I think to sign up for the service.
[OP]
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Apr 21, 2009
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vinaymal wrote:
Jan 14th, 2018 11:28 pm
Plooto is 1 per send so it would cost you 25 per month. The issue with Plooto is that the payments take 5 days. I hate that but use it anyway due to its simplicity of use if you are a Quickbooks user. You can do this at TD BTW. It a service available through their commercial banking side. Downside is that it costs 100 a month I think to sign up for the service.
I ended up finding a few options from the banks. I needed to be more clear that EFT is what I was looking for. Somehow without that term they didn’t know what I was talking about.

TD is pricey, I saw that too. I ended up with Ceridian. They were very helpful and easy about it, especially since it isn’t for payroll. Reasonable too, $10/moth + $1/transfer and possible 1 business day transfer.

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