Request for Payment (RFP)

A Request for Payment (RFP) in ACH payments is a digital method used by businesses or service providers to formally ask for funds from a customer or client. It initiates the payment process and sends a secure, standardized request through the Automated Clearing House (ACH) network, allowing the recipient to authorize and complete the transaction efficiently.

What Is a Request for Payment (RFP)

A Request for Payment (RFP) is a formal electronic message or instruction sent by a payee to a payer, asking for a specific payment to be initiated through the ACH network. This request typically includes details such as the amount due, due date, invoice reference, and the payee’s banking information, allowing the payer to authorize and initiate the payment easily and securely. 

RFPs are commonly used in business-to-business (B2B) transactions and are becoming increasingly popular in digital payment workflows because they streamline the payment process and reduce errors associated with manual data entry. 

Unlike traditional invoicing, which may require separate communication and manual setup of the payment, an RFP integrates directly into the payer’s banking or payment system, providing a convenient “pay now” option that supports real-time or scheduled ACH transfers. 

RFPs enhance cash flow predictability for the payee and improve payment accuracy for the payer, making them a valuable tool in modern accounts receivable and payable strategies.

How Does the Request for Payment Work

A Request for Payment is a digital prompt that guides the payer to authorize a transaction. This is how it works:

• Sender Initiates the Request: A business or individual (the payee) sends a Request for Payment to the payer. This can be delivered via email, SMS, or through an integrated platform or bank app.
• Request Contains Key Information: The request typically includes:
  
  • Payment amount
  • Due date
  • Invoice number or description
  • Payee details (name, routing number, account number)
• Payer Reviews and Authorizes: The recipient (payer) reviews the request. If they agree, they authorize the payment—usually by clicking a link or using an app. This authorization gives the payee permission to pull funds from the payer’s account via ACH debit.
• ACH Transaction is Initiated: After authorization, the payee initiates an ACH debit. The payment is then processed through the ACH network.‍
• Funds Are Transferred: The funds are withdrawn from the payer's bank and deposited into the payee’s account, typically within 1–2 business days.