Does Ledgers specify which financial institutions are acceptable?
Ledgers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Please complete the following with your banking information and attach a voided check: | |
|---|---|
| Company Name: | |
| Name of Financial Institution: | |
| Address of Financial Institution: | |
| Routing Number: | |
| Account Number:_ | |
| I hereby authorize Loyalty Business Services LLC and the financial institution named above to initiate entries to my checking or savings accounts as identified above in accordance with the terms of my franchise agreement and, if necessary, to initiate adjustments for any transactions credited in error. This authority will remain in effect until I notify Loyalty Business Services LLC in writing to cancel it in such time as to afford a reasonable opportunity to act on such instructions. I can stop payment of any entry by notifying the above-named financial institution at least three (3) my account is scheduled to be charged. I can have the amount of an erroneous charge immediately credited to my account for up to fifteen (15) days following issuance of my statement by the above-referenced financial institution or up to sixty (60) days after deposit, whichever occurs first. | or the above-named financial institution days before |
| Signature: | |
| Printed Name of Person Signing: | |
| Title (if any): | |
| Application Date: | |
| Telephone Number: | |
| Applicant's Address: | |
Source: Item 22 — CONTRACTS (FDD page 46)
What This Means (2025 FDD)
According to the 2025 Ledgers Franchise Disclosure Document, Ledgers does not specify which financial institutions are acceptable for franchisees. The FDD includes a section where franchisees must provide their banking information, including the name and address of their financial institution, routing number, and account number. This information is required to authorize Loyalty Business Services LLC to initiate entries to the franchisee's checking or savings accounts for payments related to the franchise agreement.
This process allows Ledgers to directly debit franchise fees or other payments from the franchisee's account. The franchisee retains the right to stop payments or dispute erroneous charges by notifying both Loyalty Business Services LLC and their financial institution within specified timeframes.
While Ledgers requires this banking information for payment processing, the FDD does not list any pre-approved or preferred financial institutions. This implies that franchisees have the flexibility to use their existing bank or choose a financial institution that best suits their business needs, as long as they provide the necessary information for electronic fund transfers.