Ask HN: How Safe Is ACH?

[freemanindia]

Lots of merchants are pushing ACH. I am worried that it seems like anyone can authorize a payment with my routing number and account number which is on every check I've ever given out.

Also my bank says ACH transactions essentially stay authorized until they are explicitly stopped in writing. Which if I understand right means these vendors can make future withdrawals.

[sbolt]

I agree that there are quirks of the ACH system. Thankfully banks are very risk averse and do thorough vetting before allowing merchants to initiate debits. As a consumer you have a 60 day window to initiate a return, this can be done by reaching out to your bank. Returns are a first class entry in the ACH world, so much so that they are the reason a lot of merchants don’t like ACH.

[toast0]

ACH safety comes through chargebacks. Watch your statement and complain to your bank about unauthorized charges and there you go.