NACHA has mandated that every U.S. financial institution make themselves capable of receiving a Same Day ACH transaction in September of 2016. This phase, and future phases of the rollout, will include sending Same Day transfers and adding additional settlement windows. This will allow businesses granted access to the Same Day functionality by their financial institution the ability to enjoy faster payments. Currently, ACH transactions typically settle next business day.
Same Day ACH will allows payments to settle in the same business day. The submission deadlines and settlement time will be the following:
- Morning submission deadline: 10:30 AM ET; Settlement occurs at 1:00 PM
- Afternoon submission deadline: 2:45 PM ET; Settlement occurs at 5:00 PM
Same Day ACH will cost the ODFI 5.2 cents to process, and there is a maximum transaction limit of $25,000 per Same Day transfer. It is possible that financial institutions will charge their business customers for access to this functionality.
Wire transfers allow for funds to be transferred and settled typically within a few hours, depending upon the financial institutions involved. The cost of domestic wire transfers vary by financial institution, but often range within $20-$40, with international wire transfers costing more.
Many businesses use wire transfers when they need to send a large payment and have it clear quickly.
The Dwolla platform provides an easy-to-use on-ramp to the ACH network. Dwolla’s white labeled bank transfer solution allows businesses to build payments into their application or platform in a way that fits within their branded user experience. From bank account verification tools to webhooks that allow for easy to send communications regarding user account and payment activity, Dwolla’s White Label API makes it easy to customize your ideal payment flow from beginning to end.
Dwolla currently supports an approved partner with the ability to initiate a wire transfer into the Dwolla platform. This is ideal for larger companies who need to pay out hundreds or thousands of employees, contractors, or vendors at the end of each pay period.
While phase one of Same Day ACH will not be available until September of 2016, we’ve built our Dwolla payment APIs to be future ready to integrate new payment types, like Same Day ACH. We’re well-acquainted with the ACH network and we’re working to be well positioned to help your business manage the new Same Day ACH functionality.
Reach out to a Dwolla integration specialist to talk through your payment needs, and we’ll work with you to determine a flat monthly fee that makes sense.
Dwolla, Inc. is an agent of Veridian Credit Union and Compass Bank and all funds associated with your account in the Dwolla network are held in pooled accounts at Veridian Credit Union and Compass Bank. These funds are not eligible for individual insurance, including FDIC insurance and may not be eligible for share insurance by the National Credit Union Share Insurance Fund. Dwolla, Inc. is the operator of a software platform that communicates user instructions for funds transfers to Veridian Credit Union and Compass Bank.