Same-day ACH will soon be a reality for U.S. financial institutions, and the change could mean that certain product offerings and new data about members may become much more lucrative for credit unions.
On May 19, the Electronic Payments Association gave the green light to same-day ACH, increasing the movement of funds between financial institutions from once a day to three times per day. The new rules, which are largely based on rules proposed late last year, take effect in three phases beginning Sep. 23, 2016. Among other things, they require all receiving depository financial institutions (RDFIs) to accept same-day transactions and require originating depository financial institutions (ODFIs) to pay a $0.052 fee per transaction.
The ACH network is the backbone of the electronic payments system, which is why changes to it often ripple through the entire financial ecosystem. In the first quarter of 2015 alone, the ACH network did 4.72 billion transactions, moving $10.2 trillion, an increase of 5.3% and 3.9%, respectively, versus during the first quarter of 2015, according to NACHA.
Continue Reading for Free
Register and gain access to:
- Breaking credit union news and analysis, on-site and via our newsletters and custom alerts
- Weekly Shared Accounts podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the commercial real estate and financial advisory markets on our other ALM sites, GlobeSt.com and ThinkAdvisor.com
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.