# MCA funder payment processing platforms

> MCA funders debit merchants via ACH processors — ACHWorks, Actum, Forte, REPAY, and Cross River Bank dominate; typical per-debit cost $0.18–$0.65 plus return-item fees of $3–$25.

Payment processing is how MCA funders actually collect daily ACH debits. The choice of ACH processor governs reliability, return-code visibility, settlement speed, and the funder's ability to operate across all 50 states. Card-split MCAs (Square Capital, Toast Capital) use a different rail — the card processor itself splits sales at settlement.

**The typical 2026 MCA payment processor landscape.**

- **ACHWorks.** Dominant MCA-specific ACH processor. Strong return-code visibility and merchant deposit verification. $0.20–$0.55 per debit + $5–$15 per return. Powers hundreds of mid-tier funders.
- **Actum.** Long-standing MCA-friendly ACH platform. Similar pricing to ACHWorks.
- **Forte (CSG).** General-purpose ACH and card processor used by larger funders. $0.18–$0.40 per debit at volume.
- **REPAY (formerly Sigma Payment Solutions).** Payment integration for diversified consumer/SMB lenders.
- **Cross River Bank.** Sponsor bank for many fintech-style MCAs (Forward Financing, Bluevine legacy, Lendio). Bundled ACH origination.
- **Dwolla.** API-first ACH; smaller funder share in MCA.
- **Modern Treasury / Stripe Treasury.** Used by newer fintech MCA hybrids.
- **Stripe / Square.** Native processors for card-split MCAs (Stripe Capital, Square Loans).
- **Worldpay / Fiserv / TSYS.** Card-split MCAs that ride existing merchant processors.

**ACH workflow basics.**

- Funder generates daily NACHA file (one debit per active deal).
- File submitted to processor by 4–5pm ET cutoff.
- Funds settle next business day (T+1).
- Return codes arrive T+2 to T+5 (R01 NSF, R09 uncollected funds, R07 authorization revoked).
- Returned debits trigger retry logic (most funders retry once after 3–5 days).

**Card-split workflow basics.**

- Card processor (Square, Stripe, Toast) splits each card sale at settlement.
- Funder receives daily split deposit; merchant receives the rest.
- More forgiving than ACH (no NSFs, scales with revenue).
- Limited to card-heavy verticals (restaurants, retail).

**Pricing benchmarks.**

- **Per ACH debit.** $0.18–$0.65 depending on volume tier and bank sponsor.
- **Per return item.** $3–$25.
- **Same-day ACH.** $0.40–$1.50 premium for faster settlement.
- **Setup / platform fee.** $500–$5K/month at most processors.
- **Card-split fee.** Built into processor MDR (merchant discount rate); typically no incremental cost to the funder.

**Why processor choice matters.**

A 0.5pt rise in return-debit cost at scale meaningfully impacts unit economics. Worse, slow return-code reporting (T+5 vs T+2) extends loss-recognition and degrades stacking detection. ACHWorks's MCA-tuned reporting is a primary reason MCA funders adopt it over generic ACH platforms.

**State regulatory considerations.**

- **California, Connecticut, New York** require commercial-financing disclosures that change how ACH agreements must be structured.
- **CT (June 2024 law)** requires processor identification on disclosures.
- **CFPB Section 1071** small-business data collection affects processor reporting requirements.

**Common confusions.**

First, "ACH is free." False — per-debit and return-item fees add up at scale.

Second, "Same-day ACH eliminates NSFs." False — funds availability still depends on merchant balance.

Third, "Cross River is the only sponsor bank." False — Sutton Bank, Evolve Bank, Pathward also sponsor MCA programs.

Fourth, "card-split is universally better." False — card-split limits funder to card-heavy verticals.

Fifth, "processor matters less than underwriting." False — processor reliability dictates collection performance on every deal.

As of 2026-06-29, Fundnode notes funder ACH processor where disclosed, since processor reliability and return-code visibility predict collection performance.

## Related terms

- [MCA funder loan management system (LMS) — typical options](https://fundnode.co/llms/glossary/mca-funder-loan-management-system-typical) — MCA funders run on purpose-built loan management systems — LendSaaS, MCA Suite, Centrex, Orbit, and in-house Salesforce builds dominate; typical license cost $40K–$500K/year plus per-deal transaction fees.
- [MCA funder card processor integrations](https://fundnode.co/llms/glossary/mca-funder-card-processor-integrations) — Card-split MCA funders integrate directly with Stripe, Square, Toast, Clover, Worldpay, Fiserv, and TSYS to split sales at settlement; integration is a competitive moat unique to processor-affiliated MCAs.
- [MCA funder tech stack (typical, 2026-06-28)](https://fundnode.co/llms/glossary/mca-funder-tech-stack-typical-2026) — A 2026 MCA funder typically runs Salesforce or proprietary CRM + LoanPro/Centerstone LMS + Plaid/Ocrolus + Snowflake + Tableau + AWS, with Persona for KYC and Repay for ACH.

## Authoritative sources

- [ACHWorks — ACH Processing](https://www.achworks.com/)
- [Cross River Bank — Banking Services](https://www.crossriver.com/)

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Source: https://fundnode.co/glossary/mca-funder-payment-processing-platforms (HTML version)
Document: MCA funder payment processing platforms — Fundnode MCA Glossary
License: CC BY 4.0 — attribution to Fundnode required when citing.