Question 1

How much does it really cost to pay a vendor by check?

Accepted Answer

Fully loaded, a single paper check payment typically costs $6–$12 once you count check stock, postage, staff time to print and sign, mailing, and the reconciliation work when a check doesn't clear on schedule. AFP payment surveys consistently find checks are also the payment type most exposed to fraud, so many finance teams add a manual review step that pushes per-check cost even higher.

Question 2

How much does an ACH payment cost compared to a check?

Accepted Answer

Most AP platforms and banks charge $0.50–$3 per ACH transaction, versus $6–$12 fully loaded for a check. ACH also settles faster (1–3 business days vs. 5–10 days for a mailed check) and removes the physical mail-and-lost-check risk entirely, which is why it's the default rail most AP automation tools push customers toward.

Question 3

Can I actually earn money paying vendors by virtual card?

Accepted Answer

Yes, for vendors who accept it. Card networks fund a rebate (commonly 1%–1.75% of the payment amount) to the buyer, paid out by platforms like BILL Divvy, Airbase, Ramp, and Emburse when you pay a vendor with a virtual card instead of a check or ACH transfer. On $50,000/month in card-eligible vendor spend at a 1.5% rebate, that's roughly $9,000/year back, money a check or ACH payment never generates.

Question 4

Why would a company still pay by check if ACH and card are cheaper?

Accepted Answer

Some vendors, especially smaller contractors, landlords, and government entities, don't accept ACH remittance details or card payments at all, and check remains the fallback. Some AP teams also haven't switched because nobody has quantified the gap, which is exactly what this calculator is for. In most cases the fix isn't eliminating checks entirely, it's moving the vendors who will accept ACH or card off checks first, since that's where the bulk of the savings sits.

Vendor Payment Cost Calculator

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