Updating a Bank Account
You might encounter scenarios in which you want to update your existing account on the platform as opposed to adding a new bank account. This could be the result of fraudulent activity on your account where your bank provides you with a new account and routing number. This guide walks you through the update and validation process required to update the information for your existing bank account.
Note
This process and its review period apply to Merchant-level and Referrer-level users.
Bank Account Types and Requirements
All Merchants and Referrers boarded to the platform must have an active US-based bank account on file. A bank account serves two purposes for an entity:
Account for Deposits: A required bank account to receive deposits from Available Balance funds
Account for Debits: A required bank account to be debited to cover negative balances owed
Merchants or Referrers can use one bank account on file for both payouts and debits, individual bank accounts for deposits and debits, or multiple bank accounts with unique, individual purposes.
Bank Account for Deposits
All payouts (disbursements) are processed to your primary bank account. If you want to add or update a bank account that’s designated for receiving payouts, then you must update your primary bank account with the new information.
Note
If you previously added your bank account for receiving disbursements as a secondary bank account, then you must:
Disable your secondary bank account by replacing the account number with all zeros.
Update your primary bank account with the correct routing number and account number for processing disbursements.
Bank Account Validation
As a payment facilitator, the Payrix Pro platform validates any bank account submitted by an entity. This validation includes active status, type of account, and ownership and prevents funds from being sent to an incorrect bank account due to a typo or invalid information.
Validation through Plaid
To streamline the validation process, the platform uses Plaid for Merchants or Referrers to link their bank accounts. This process supports instant validation through an integrated portal dialog, where users can securely log in to their bank.
Manual Validation with Supporting Documentation
If an entity manually submits their bank account information, they must submit supporting documentation to Platform Risk for account validation. For existing bank accounts, supporting documents are required only if the routing or account number fields are being updated. Changes to account types do not require supporting documentation.
The following documents are acceptable for validating bank accounts:
A voided check: This check must not be a starter check or a computer screenshot.
A bank letter: This letter should include the bank’s name and phone number, the routing number, your bank account number, and your business name.
A bank statement: This statement must display the routing number and account number, and it should not be older than 60 days.
When manually entering information in the portal for a new bank account, like account and routing numbers, you must upload a document before the form can be submitted. This can also be achieved using the API. See the following sections for step-by-step instructions on how to manually update an account in the portal or using the API.
Important!
If you’re updating account or routing numbers for an existing bank account, a manual review of the supporting documents is required for approval and can take up to five business days.
During the five-day manual review and approval period, all payments processed will still be funded to your Payrix Pro account’s available balance and will be ready for immediate withdrawal to your bank account after validation.
Manually Update in the Portal
The Banking tab within the Merchant or Referrer Profile is where an entity can manually update or add new bank account information. This option is useful in instances where an entity’s banking institution does not integrate with Plaid.
To manually update an existing bank account in the portal:
Access the Merchants or Referrers page within the Management category.
Select the Merchant to go to their Merchant Profile or Referrer Profile.
Select the Banking tab on the left.
Click the edit icon in the upper-right corner.
Click ADD ACCOUNT MANUALLY and view the prompt that’s displayed.
Click Continue on the prompt, then click ENTER ACCOUNT MANUALLY.
Enter the Type of bank account, Routing and Account Number, and Usage options.
(Optional) Click ADVANCED OPTIONS to add a bank account name and description.
Upload one of the qualifying support documents into the Upload and Attach Files field.
Click ADD to complete the process.
Important!
You will not be able to use this manually added account for up to five business days from update or creation.
Manually Update with the API
Complete the following steps to update an existing bank account’s information and upload supporting documentation:
Update the existing information for the bank account:
PUT /accounts/{id}Upload supporting documentation for the change:
Create the new Note resource:
POST /notesCreate a Document resource to associate with the upload:
POST /noteDocumentsUpload the document or image file:
POST /files/noteDocuments/{id}
Create a Document Resource to Associate with the Note - Example Code Snippet
Visit the Payrix Pro API Documentation for parameter descriptions and valid values.
Request URL and Header
POST /noteDocuments HTTP/1.1
Accept: application/json
Content-Type: application/json
Host: api-test.payrix.com
APIKEY:{{private_api_key}}Example Request Body
{
"note": "t1_not_xxxxxxxxxxxxxxxxxx",
"type": "png",
"documentType": "voidCheck",
"description": "Updating Existing Bank Account.",
"name": "Voided Bank Check for ABC Company",
"status": "created",
inactive: "0",
frozen: "0"
}Although voidCheck is used in the example request body, any of the following documents can be used in this process:
voidCheck: A voided check for bank account verificationbankStatement: A bank statementbankLetter: A bank letter for verification
Important!
Submitting the wrong documentType (for example, submitting a bank letter when voidCheck is selected) can cause significant delays in underwriting approval.
Example Response
{
"id": "t1_ntd_xxxxxxxxxxxxxxxxxx",
"created": "2024-08-18 13:22:51.2252",
"modified": "2024-08-18 13:22:51.2252",
"creator": "t1_log_xxxxxxxxxxxxxxxxxx",
"modifier": "t1_log_xxxxxxxxxxxxxxxxxx",
"note": "t1_not_xxxxxxxxxxxxxxxxxx",
"type": "png",
"documentType": "voidCheck",
"name": "Voided Bank Check for ABC Company",
"description": "Updating Existing Bank Account",
"status": "created",
"inactive": "0",
"frozen": "0"
}