## Fund-on-File Tokens for B2B Payments
Safely vault payment information at Paystand so you can recharge customers securely without storing sensitive data yourself.

[Learn More](/content/receivables/fund-on-file#fund-form/index.html)

## What Are Fund-on-File Tokens?
Paystand replaces sensitive payment data with a secure, encrypted Fund-on-File token. This token lets your team authorize, charge, and [reuse a customer’s payment method—without ever viewing the actual card or bank details.](/content/blog/payment-tokenization/index.html) It’s ideal for reducing manual work, enabling follow-up charges, [supporting scheduled or recurring payments](/content/blog/recurring-payments/index.html), and increasing AR efficiency—all while eliminating the need to directly handle **card information on file**.

## **Key Benefits of Fund-on-File**

### Enhanced Security
Tokenized payment data stored in a PCI DSS–compliant encrypted vault.

### Faster Repeat Payments
Customers can pay with a single click—no re-entering payment details.

### Recurring Billing Ready
Charge customers automatically on any frequency or billing schedule—perfect for **subscription billing** scenarios.

### Multiple Payment Methods
Store credit card, eCheck, and ACH debit payment details securely for future use.

### Flexible Usage
Use tokens across invoices, portals, virtual terminals, and API workflows.

### Lower Operational Costs
Reduce failed payments, manual follow-ups, and processing friction.

## Secure and Compliant by Design
Paystand [manages the entire security and compliance layer](/content/blog/payment-security/index.html) for Fund-on-File storage, including tokenization, encryption, and PCI DSS standards. Your system never touches or stores sensitive card or bank data, including **bank debit payments**, which are protected through vaulting and encryption. We also manage AML, [fraud screening, bank-level KYC](/content/blog/payment-verification/index.html) underwriting, and monitoring requirements—so your finance team can operate with confidence and lower risk.

## Streamlined Payments for Customers and Teams
**Fund-on-File tokens improve checkout experiences by letting customers enter their information once and pay instantly in the future—ideal for card on file payments.**  For finance teams, [tokens support automatic cash application](/content/blog/cash-application-automation/index.html), smoother recurring billing, and faster invoice closure—all without increasing security scope or handling sensitive data, simplifying and reducing the need to re-enter **customer card information.**

## **Frequently Asked Questions**
#### 1. What is a Fund-on-File token in B2B payments?
A Fund-on-File token is a secure, non-sensitive reference ID created through tokenization. It allows you to charge customer payment methods without storing or accessing their sensitive information.

#### 2. How does Paystand keep stored payment information secure?
Paystand tokenizes all payment data and stores it in a PCI DSS–compliant, encrypted vault. Real payment details never touch your system, reducing risk and compliance scope.

#### 3. Can Fund-on-File tokens be used for recurring or scheduled payments?
Yes. Tokens make recurring billing simple, letting you automate charges based on any schedule or payment terms.

#### 4. What payment methods can be tokenized?
ACH, eCheck, and credit card payment methods can all be stored as tokens for future use, including **direct debit payments.**

#### 5. How do Fund-on-File tokens improve customer experience?
Customers only enter their payment information once. Future payments are one-click, faster, and more consistent with less friction or failed transactions.

## Automate Secure, Repeatable B2B Payments with Fund-on-File
Discover how Paystand can help your finance team streamline AR, reduce risk, and improve customer payment experience.