Account Validation
Our account validation solution helps businesses verify bank account information in real-time, reducing returns, preventing fraud, and maintaining compliance with NACHA regulations.
Validate with confidence, all before a single transaction is processed.
Why ACH Account Validation Matters
ACH payments are fast and cost-effective, but they don’t provide instant feedback like credit card networks. Without validation, invalid or closed accounts can lead to failed transactions, lost time, and unnecessary costs.
NACHA rules require all first-time WEB-authorized transactions be validated by a commercially reasonable method. iStream helps you confirm that bank accounts are active and accurate before money moves, protecting your business and your customers.
💡 How it Works
Our platform offers multiple validation methods designed to fit your workflow, speed, and risk tolerance.
Validation Options
-
ACH Pre-notification Entry Method: Send a zero-dollar transaction through the ACH network to verify account existence before processing payments. Ideal when transactions will occur 3-5 days after setup.
-
Micro-Deposit Validation: Send small test deposits that customers confirm, ensuring accounts are valid and authorized.
-
Real-Time Account Validation: Instantly verify account and routing numbers using iStream’s database and real-time network access. No customer input required, and results are returned within seconds.
-
Linked Account Verification: Authenticate directly through the customer’s bank login for immediate confirmation. This method eliminates administrative returns and ensures data accuracy straight from the source.
All iStream validation methods satisfy NACHA’s commercially reasonable verification requirements for first-time WEB transactions.
Minimize exception handling, return fees, and lost time.
Eliminate manual verification steps and speed up onboarding.
Meet NACHA’s validation and fraud-prevention standards.
API, file-based, or standalone. iStream adapts to your existing systems.
Our Recommendation
For optimal protection and performance, iStream recommends using a hybrid approach, combining instant validation with micro-deposit or linked account methods. This ensures accuracy for every transaction type while keeping operations efficient and scalable.
Simplify Validation
Whether you process payments through iStream or another provider, our validation tools help you move funds confidently and securely.
Protect your business from risk and ensure every transaction starts with trust.
Contact us today for a free personalized consultation.