What payment system is generally required for payments to Americas Best Value Inn?
Americas_Best_Value_Inn Franchise · 2025 FDDAnswer from 2025 FDD Document
Unless otherwise directed by us, all payments required to be provided by you to any of our affiliates or us will be effectuated by an automated payment system using automatically recurring electronic funds transfer that we initiate ("Recurring EFT"), also known as Auto Pay.
You will authorize automatically Recurring EFT payments prior to activation in the Brand and will cooperate with us to implement and maintain the efficient process of Recurring EFT payments.
You must ensure that we have up-to-date viable payment instructions (e.g., bank account and routing numbers) at all times during the Term of this Agreement.
You also shall maintain such bank account(s) for such payments and shall maintain an account balance that at least covers your Royalty and Brand Promotion Fee and any other fee described in Section 4.
You shall not alter or close any such account, except with our prior written approval.
If we permit you to pay by any other means, we may require payment of an alternative payment fee that is subject to change.
We may, at any time, modify the required method of payment by providing you with at least 30 days' prior notice.
Your obligation to pay amounts due to us or to any of our designees will not be suspended as a result of any interruption to your business, regardless of the cause.
Source: Item 23 — RECEIPTS (FDD pages 71–223)
What This Means (2025 FDD)
According to the 2025 Americas Best Value Inn Franchise Disclosure Document, payments to Americas Best Value Inn or its affiliates are generally required to be made through an automated payment system. This system uses automatically recurring electronic funds transfers (EFT), also known as Auto Pay, which Americas Best Value Inn initiates.
As a prospective franchisee, you must authorize these recurring EFT payments before your Americas Best Value Inn franchise is activated. You're also expected to cooperate with Americas Best Value Inn to ensure the Recurring EFT payment process is efficient and well-maintained. This includes keeping viable and up-to-date payment instructions, such as bank account and routing numbers, on file with Americas Best Value Inn throughout the term of the franchise agreement.
Furthermore, franchisees must maintain a bank account suitable for these payments, ensuring the account balance covers at least the Royalty and Brand Promotion Fee, along with any other applicable fees. Altering or closing this account requires prior written approval from Americas Best Value Inn. While Americas Best Value Inn may permit alternative payment methods, they reserve the right to charge an alternative payment fee, which is subject to change. However, Americas Best Value Inn can modify the required payment method at any time, provided they give at least 30 days' prior notice. Your payment obligations are not suspended even if your business experiences interruptions.