> ## Documentation Index
> Fetch the complete documentation index at: https://docs.rc.cleverhub.co/llms.txt
> Use this file to discover all available pages before exploring further.

# Push vs. Pull Payments

> Understand the difference between push payments (credit transfers, where the customer sends money) and pull payments (direct debits, where the business collects it).

Every payment moves in one of two directions. Either the customer *sends* money to you, or you *pull* money from the customer’s account with their permission. These two directions are called **push** and **pull** payments, and knowing which one you are dealing with explains a lot about how a payment method behaves: who starts it, who is in control, and what can go wrong.

## Push payments (credit transfers)

In a push payment, the customer starts the payment and sends the money to you. Because the customer is pushing their own money out, they are in control of when it happens and how much they send. The bank term for this is a **credit transfer**.

<CardGroup cols={2}>
  <Card title="Customer is in control" icon="hand-pointer">
    The customer decides to pay, chooses the amount, and confirms it from their own banking app or checkout.
  </Card>

  <Card title="Good for one-off payments" icon="receipt">
    Push payments suit invoices, checkouts, and any situation where the customer is paying at a moment of their choosing.
  </Card>
</CardGroup>

Australia’s PayID is a push method: a customer sends a payment to your PayID from their banking app. A plain bank transfer is also a push. In the United States, an ACH credit transfer is a push.

## Pull payments (direct debits)

In a pull payment, *you* start the payment and collect money from the customer’s account, but only because the customer has given permission ahead of time. The bank term for this is a **direct debit**. The permission the customer gives is often called a mandate or an agreement.

<CardGroup cols={2}>
  <Card title="Business is in control" icon="building">
    Once the customer has approved the arrangement, you decide when to collect each payment, within the agreed limits.
  </Card>

  <Card title="Good for recurring payments" icon="arrows-rotate">
    Pull payments suit subscriptions, memberships, utility bills, and anything charged on a regular schedule.
  </Card>
</CardGroup>

Australia’s PayTo is a modern pull method built on real-time rails, where the customer approves the agreement in their banking app. A traditional direct debit is also a pull. In the United States, an ACH debit is a pull.

<Note>
  The key question with any pull payment is *who holds the permission*. With an older direct debit, the business keeps the signed authorisation. With a newer method like PayTo, the customer’s bank holds the agreement, so the customer can see and cancel it themselves. That shift gives customers far more control.
</Note>

## Push vs. pull at a glance

|                         | **Push (credit transfer)**                | **Pull (direct debit)**                            |
| ----------------------- | ----------------------------------------- | -------------------------------------------------- |
| **Who starts it**       | The customer                              | The business                                       |
| **Who is in control**   | The customer, each time                   | The business, within the agreed permission         |
| **Permission needed**   | None beyond confirming the single payment | The customer approves an ongoing agreement upfront |
| **Best for**            | One-off payments, checkouts, invoices     | Recurring and scheduled payments                   |
| **Australian examples** | PayID, bank transfer                      | PayTo, traditional direct debit                    |
| **US examples**         | ACH credit transfer                       | ACH debit                                          |

<Tip>
  If you need a customer to pay you once, use a push method. If you need to collect from a customer regularly, use a pull method with a proper agreement in place. Many businesses use both: a push at signup, then pull for the recurring charges.
</Tip>

## Where this shows up in Hello Clever

<CardGroup cols={2}>
  <Card title="Push, done well" icon="arrow-up-from-bracket" href="/platform-overview/payment-concepts/npp-payid-payto">
    In Australia, PayID is Hello Clever’s push method for one-off, customer-initiated payments.
  </Card>

  <Card title="Pull, done well" icon="arrow-down-to-bracket" href="/platform-overview/payment-concepts/payto-recurring">
    In Australia, PayTo is Hello Clever’s pull method for recurring payments, with the agreement held by the customer’s bank.
  </Card>
</CardGroup>


## Related topics

- [PayTo vs. Direct Debit](/platform-overview/payment-concepts/payto-vs-direct-debit.md)
- [ACH Debit and Recurring Billing](/platform-overview/payment-concepts/ach-debit.md)
- [Real-time A2A Payments in Depth](/platform-overview/payment-concepts/real-time-a2a.md)