how it works

ezPayments is a secure payments platform designed to help small businesses, startups, and individuals send and receive contractor or 1099 payments with ease. Users can sign up directly or join by invitation from an existing individual or organization already on the ezPayments network.

Most 1099-contractor payment platforms sit between your business bank account and your contractors’ accounts—essentially acting as a “middleman” for every transaction and they earn money each time you fund your payouts - typically the three-day float period. 

Here’s how the typical flow works and how they earn money from the three-day float:

1. Client Funding
   You initiate a payment (via ACH debit, credit card, or bank transfer) to the platform. Those funds land in the platform’s operating account—often a pooled account at a partner bank.
    
2. Hold Period (Float)
   Due to ACH and bank settlement rules (NACHA), incoming funds take 2–7 business days to clear. The platform doesn’t immediately push those dollars out to your contractors; instead, they stay in the platform’s account during that window.
    
3. Contractor Payout
   Once the funds clear, the platform issues an ACH credit to each contractor—another 2–7 business days for the money to appear in their bank accounts. That’s why most contractors wait up to three days or more for payment.
    
4. How Platforms Profit
    
   • Float Interest: While your money sits in the platform’s pooled account, the platform earns interest or invests it in short-term instruments. Even a fraction of a percent on large balances can translate to significant revenue.
      
   • Interchange & Processing Fees: If you fund via credit card, the platform pockets (or shares) a portion of the interchange fees charged by Visa/Mastercard.
      
   • Markup on Instant Payouts: Many platforms offer “instant” payouts for an extra fee (e.g., 1–2% of the payout amount), which they pocket.
      
   • Subscription or Per-Transaction Fees: Beyond the float, they charge you monthly fees or per-transaction fees that may be higher than pure bank costs.

• Cash-Flow Impact: Holding your funds for several days creates a working-capital drag on your business.
   
• Hidden Revenue: Instead of transparent, real-time settlement, you’re effectively lending money to the platform at their short-term interest rate—often without your knowledge.

Unlike traditional payment processors that profit from holding your funds, ezPayments is designed to empower your business and give you full control of your cash flow. By removing unnecessary intermediaries, ezPayments delivers:

• A simple platform that lets you manage and control contractor payouts on your terms
   
• No extended waiting periods to pre-fund accounts — payouts are processed directly from your wallet linked to your existing business bank account for faster access to your funds.
   
• Instant or ACH settlements, with true next-day or same-day options (sometimes for a small, disclosed fee)
   
• Zero float interest charged—no one profits from holding your funds, and
   
• Lower transaction costs by moving volume directly through your own bank, not multiple intermediaries
  

By cutting out the unnecessary layers, you regain control of your cash, reduce hidden float costs, and get your contractors paid faster.

You can sign up by visiting ezpayments.co/pricing and selecting the plan that best fits your needs. Most tiers include a 14-day free trial, making it ideal for individuals or small businesses that process regular contractor payments.

If you are affiliated with an organization already on the ezPayments network, you may request an invitation directly from that organization, based on your relationship and their internal policies.

The ezPayments Startup Program supports startup founders, innovators, and small “mom-and-pop” businesses by providing curated payment solutions and early access to advanced payout features.

Learn more to see if you qualify by visiting ezpayments.co/startup-program-grow.

To apply, complete the Startup Program Application located on our website under Apply Now. Responses are typically provided within 24–48 hours.

Currently, for security reasons, automatic withdrawals are not supported. All withdrawals must be initiated manually to protect your wallet and account. This feature may be introduced in a future update.

To transfer funds from your ezPayments wallet to your primary bank account:

1. Sign in to your ezPayments account.
    
2. Go to Transactions → Withdraw.
    
3. Select your registered primary bank account and enter the amount.
    
4. Click Withdraw and follow on-screen instructions.
    

If you haven’t set up a bank account yet:

• Go to Settings → Payout Accounts → Add New Account
   
• Follow the verification steps to confirm your bank details.
   

Once verified, you can withdraw funds anytime.

All withdrawals are processed via ACH (Automated Clearing House).

• Typical processing time: 1–2 business days.
   
• First-time withdrawals may take slightly longer due to standard banking security and verification checks.
   
• Withdrawals made before 4 PM EST often settle the next business day.
   
• Transfers initiated after 4 PM EST, on weekends, or on holidays will process on the following business day.
   

If your transfer takes longer than expected, contact our support team to check the transaction status.

Depositing funds into your ezPayments wallet allows you to process peer-to-peer payments or pay bills directly over the ezPayments network, subject to all parties using the platform and their internal policies.

To make a deposit:

1. Go to Transactions → Deposits.
    
2. Select the bank account you wish to deposit from.
    
3. Enter the deposit amount and click Process Deposit.
    

If you haven’t set up your payment method yet:

• Go to Settings → Payment Method.
   
• Add either a bank card or bank account and follow the on-screen instructions.
   

Once added, you’ll be able to fund your wallet and begin processing payments within the ezPayments network.

The complete fee schedule is available directly in the app under your ezPayments dashboard.

At ezPayments, we take pride in operating a transparent, pass-through pricing model — meaning we do not profit from your transactions. Our goal is to provide a true payment platform that makes paying, receiving, and processing funds simple, fast, and cost-effective.

Most fees displayed in your dashboard are pass-through fees charged by external payment gateways (such as Stripe) or by your connected bank — ensuring full transparency with no hidden markups or added platform costs.

If your transaction hasn’t cleared after 2 business days, please contact our support team. We’ll review your transfer and provide an update as soon as possible.

You can reach ezPayments Support through the Help section on your dashboard or via email/chat on our website. Our team is available to assist with account setup, payments, or any other issues you may encounter.