Pre-authorized debit (PAD in Canada, ACSS in Stripe) is a Canadian pre-authorized bank debit payment method. It's cheaper than card (lower Stripe fees), but slower: verifying the bank account and settling each payment takes several business days. This article explains how the customer signs their mandate, what makes it different from a credit card, and how to troubleshoot common situations.

Common questions

How do I enable pre-authorized debit for my facility? Go to Settings > Billing. The indicator shows Pre-authorized debit enabled on your Stripe account in green if it's active. Otherwise, it shows Pre-authorized debit not enabled, contact Stripe support to activate it.
How long does the first confirmation of a pre-authorized debit payment take? 1 to 5 business days after the customer signs their mandate. Gate access isn't provisioned until that first confirmation.
Why is the customer stuck on "Processing" for several hours? In production, bank account verification can take 1 to 3 business days. In sandbox, a few minutes. Wait or contact Stripe support if the delay is unusually long.
How do I convert a rental from card to pre-authorized debit? The customer must first add a pre-authorized debit via their customer portal, then mark it as the default payment method. Future invoices will be debited by PAD; historical invoices don't change.
The "Pre-authorized debit" option doesn't appear at checkout. Why? Check that Pre-authorized debit enabled is green in Settings > Billing. If not, contact Stripe support to enable this capability on your connected account.

Who this article is for

Viewing and using pre-authorized debit is available to all roles. Changing the payment method on a rental requires the Owner or Manager role.

Before using pre-authorized debit

The facility must have ACSS active on its Stripe Connect account. Check the indicator in Settings > Billing:
- Pre-authorized debit enabled on your Stripe account (green) means it's ready.
- Pre-authorized debit not enabled, contact Stripe support to activate it (red) means it's inactive. The option won't be offered at checkout.

Process overview

Payment choice: the customer picks Pre-authorized debit at checkout, or you add it manually to their profile. Stripe opens Financial Connections.
Bank entry: the customer enters their banking information (institution number, transit, account) or connects via Plaid.
Verification: Stripe verifies the account. Three possible modes:
- Instant verification via Plaid (rare in Canada, mostly available in the United States). - Microdeposits: 1 to 3 business days, Stripe sends two small deposits to the account. - Manual verification: the customer enters the microdeposit amounts.
Active mandate: the customer can be debited. The first invoice takes 1 to 5 business days to settle, and each recurring invoice the same delay.
Payment confirmation: the invoice moves to Paid and gate access is restored or provisioned.

Customer-side flow

Online sign-up via the storefront

At checkout, the customer chooses Pre-authorized debit (default on storefronts configured as PAD-only).
The help text shows: "Authorize a bank account now. Stripe may verify it instantly or by microdeposits before full activation."
The customer clicks Continue and is redirected to Stripe Checkout.
On Stripe, they enter the Account holder name and click Set up a bank account.
Stripe opens Financial Connections. The customer picks:
- Instant verification via Plaid; or - Verify manually, direct entry of Institution number, Transit number and Account number.
The customer confirms and accepts the pre-authorized debit mandate.
After confirmation, Stripe may show Processing during verification.

Successful verification

The mandate moves to Pre-authorized mandate active (visible in the customer portal).
The first invoice is issued and the debit initiated.
The customer is redirected to the confirmation page with the message "Your bank account setup has been submitted successfully."

Reuse for a new booking

For an existing customer with an active mandate:

At checkout, they see Pre-authorized mandate active with a Confirm rental button (no new banking entry needed).
The alternative Use another bank account button lets them change accounts.

Operator-side flow

View the payment method on a rental

Open the rental record.
In the Billing or Payment method section, the Pre-authorized debit badge is shown if the rental is on PAD.
For details (account name, mandate state), see the Activity tab or the contact record.

Add a pre-authorized debit for an existing customer

On the customer record, click Add a card. The label is generic but opens Stripe Elements, which also handles bank accounts based on the configured capabilities.
Stripe Elements shows the payment method picker with Card and Bank account.
The customer (or you, with the customer present) follows the same flow as online sign-up.

Convert a rental from card to pre-authorized debit

There's no direct button to switch a rental from card to PAD. Manual procedure:

The customer adds a pre-authorized debit via their customer portal (Billing page, Add a payment method button).
The customer (or you) marks the PAD as the default method on their record.
Future invoices on the rental will be debited by PAD. Historical invoices don't change.

What happens automatically

When the mandate is signed

Stripe creates a Setup Intent linked to the customer's account.
Stortech records the payment method on the customer record.
If the rental is in the middle of sign-up, the first invoice is generated and the debit initiated.

During verification

The mandate is in processing.
Stortech displays the mandate as active on the customer record but marks invoices as Open until settlement.
Gate access isn't provisioned until the first invoice is confirmed paid.

On successful payment

The invoice moves to Paid.
Gate access is provisioned or restored.
The customer receives the welcome email and the Stripe receipt.

On failed payment

The invoice stays Open with a recorded failure.
Common causes: insufficient funds, closed account, revoked mandate.
Stripe may retry based on the connected account configuration.
Gate access may be suspended.

When the mandate is revoked

The customer can revoke the mandate from their bank or via Stripe.
Stortech clears the default payment method.
The next invoice will fail until a new method is recorded.

Important statuses and fields

Item	Meaning
Pre-authorized debit	The payment method at checkout.
Pre-authorized mandate active	Customer-side indicator that a mandate is in place.
Pre-authorized debit enabled on your Stripe account	Green indicator in Settings > Billing: ACSS ready to use.
Pre-authorized debit not enabled, contact Stripe support to activate it	Red indicator: ACSS not yet enabled on your connected account.
Processing	Mandate being verified, the customer must wait.
mandate_required (invoice error)	"This invoice requires a pre-authorized payment method that isn't yet set up for this customer."

Differences between card and pre-authorized debit

Aspect	Card	Pre-authorized debit
Stripe fees	Higher (about 2.9% + $0.30)	Lower (about 1% + $0.50 or flat rate)
Settlement speed	Near-instant	1 to 5 business days
Initial verification	At the next charge	Microdeposits or Plaid before the first debit
Payment failure	Immediate decline code	Failure reported several days later
Gate access	Enabled quickly	Enabled after first payment confirms (up to 5 days)
Stripe availability	Universal	Canada only (Canadian connected account)

Common issues

Situation	What to check	What to do
The customer is stuck on Processing for several hours. What now?	The mandate state on the Stripe dashboard.	In production, up to 1 to 3 business days is normal. In sandbox, verification takes a few minutes. Wait or contact Stripe support if the delay is abnormal.
The customer entered a wrong account number. What now?	An invalid mandate never activates.	Ask the customer to return to checkout and restart the flow.
The customer wants to know when their gate access will be enabled.	It's after confirmation of the first payment by Stripe.	Explain the delay up front: 1 to 5 business days.
An invoice shows the mandate_required error. What now?	Is the customer's ACSS mandate set up? Has it been revoked?	Add a payment method via the customer record, or switch the rental to a card.
The customer wants to revoke their mandate. How?	The customer can do it from their portal (Payment method, remove or change) or directly with their bank.	Stortech will receive the notification automatically.
The Pre-authorized debit option doesn't appear at checkout. Why?	Is the indicator in Settings > Billing green?	If not, contact Stripe support to enable ACSS on your connected account.
An invoice failed with insufficient_funds. What now?	The customer's account doesn't have the funds.	Ask the customer to deposit the funds. Stripe may retry automatically, or the customer can pay manually via their portal.
Stripe shows Paid but Stortech says Open. What now?	Has the payment webhook been processed?	See the Customer says they paid article (support procedure). If the webhook failed, contact support for a replay.