Preauthorized payment

(redirected from Pre-Authorized Payments)

Preauthorized payment

Accelerating cash inflows by directly charging a customer's bank account with permission.

Preauthorized Payment

Any agreement between a bank and an account holder whereby the account holder gives the bank permission to automatically debit the account by a certain amount every month. The amount may go to the bank to pay a standing fee, but most often goes to a third party. For example, a customer may set up a pre-authorized payment plan to pay his internet bill each month. See also: Direct Debit, Standing Order.
References in periodicals archive ?
It also launched SwitchAgent, an automated service that makes it easier for consumers who open a Texas Trust account to painlessly switch pre-authorized payments and deposits from their old bank account(s).
Pre-authorized payments will be automatically charged and deposited into the practice's account each month for the duration of the plan.
SwitchAgent is the first automated service of its kind, developed to make it easier for consumers to transfer pre-authorized payments and deposits, such as gym memberships, car loans, mortgages, utility bills, and Social Security and payroll deposits, from their old bank account to their new Texas Trust account.
These include the use of certified checks, stop payment orders, pre-authorized payments, ATM banking and other services.
Initially, AFSB will provide electronic commerce services to the Allstate Insurance Company in the form of automated clearing house transactions (ACH) specifically for pre-authorized payments of customers' premiums and other consumer transactions.
AutoScribe Corporation, the pioneer in the pre-authorized payment and `checks-by-phone' industry, announces two new convenient ways to process, manage, and deploy pre-authorized payments either via the Internet or over the phone through automated voice prompts.
Clients then simply download the transactions into their existing AutoScribe software on a daily basis, and process them along with their other AutoScribe pre-authorized payment transactions.
Mount Real collects the contract installment payments directly from the magazine customer on a monthly basis via pre-authorized payments.