Same-Day ACH Payments Coming Soon
On September 15, 2017 the Federal Reserve will start processing Same-Day ACH. Currently debit ACH transactions are posted to accounts only once per day while credit ACH transactions are posted multiple times per day. As of September 15, 2017, debit ACH transaction will also be processed multiple times per day.
In the past, with standard ACH, transactions could take 2-4 business days to process through the system and post to your account. With Same-Day ACH, payments could clear your account on the same day you authorized them, eliminating any lag time.
What are ACH Transactions?
ACH (Automated Clearing House) transactions are any electronic payments, automatic drafts, paper check conversions, or any electronic deposit to or withdrawal from your account using Preferred Credit Union’s routing and transit number. Beginning Friday, Sept. 15, 2017, when you authorize a biller to debit your PCU account electronically, that payment could clear your account the same day you initiated it. For example, if you write a check at Walmart, and they convert it to an electronic payment, that check could clear your PCU account the same day you write it.
What You Should Know
1. When you authorize a merchant or biller to debit your account, the merchant or biller should include information or a statement about the timing of the payment. If the merchant or biller offers you the option to make a same-day payment, it might be referred to as a same-day payment, or noted that the merchant or biller intends to collect the funds as quickly as possible.
2. To avoid overdrafts, funds should be in your account before you authorize any payment. Counting on a future direct deposit, night drop deposit, or check hold release to post the following day is a risky practice. Transactions authorized prior to an anticipated deposit could result in insufficient funds (NSF) fees, checking protection fees, and returned items. You should frequently monitor your account by keeping an accurate record and utilizing Credit Union tools such as online and mobile banking.
If you have any questions please call us at 1-800-328-4131 or email us at Memberservice@PreferredCU.org.
