![]() ![]() Bill payments are one form of ACH debit transaction. ACH debit transactions move money from an RDFI account into an ODFI account and must be processed within one business day. An example of an ACH credit transaction is a payroll direct deposit. ACH credit transactions move money from an account at the originating depository financial institution (ODFI) to an account at the receiving depository financial institution (RDFI) and must be processed within two business days. There are two kinds of ACH transactions-ACH debit transactions and ACH credit transactions-and NACHA mandates different processing speeds for each. On average, ACH transfers take about one to three business days to complete. The ACH transfer network is maintained by an organization called NACHA, or the National Automated Clearing House Association, a 501(c)(6) not-for-profit association connected to approximately 11,000 different financial institutions across the United States. The ACH is a digital network that processes electronic payments between banks. What is the automated clearing house (ACH)? By submitting transfer requests in batches-the same way the post office collects and distributes mail at predetermined pickup and delivery times-the ACH network offers a cost-efficient and secure way to move money in exchange for slightly longer processing times than other types of electronic funds transfer. ![]() ![]() The automated clearing house (ACH) transfer network is like the postal service of the electronic funds transfer (EFT) universe, where individual ACH transactions are like pieces of mail. Think of the postal service: It’s an affordable, reliable, and efficient system for delivering your mail-especially given the volume and distances involved. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |