Same Day ACH simplifies state government transactions
The Automated Clearing House (ACH) Network is an electronic payment network used by individuals, businesses, financial institutions and government organizations. The network allows funds to be electronically debited or credited to a checking account, savings account, financial institution general ledger account or loan account. The ACH Network is a batch processing, store-and-forward system. Transactions are stored by financial institutions throughout the day and processed at specified times in a batch mode.
Early last fall, operating rules were changed on the national level to allow for Same Day ACH processing. It’s a service that has caught on quickly. BND has processed 170,225 same-day transactions in the first quarter of this year.
To qualify for Same Day ACH, a credit transaction must meet the following criteria:
- Effective entry date on the file is today’s date or a stale date. Note: A stale date is a date in the past.
- Standard Entry Class is not an international ACH transaction.
- Credit item is $25,000 or less, including zero dollar transactions.
BND’s processing schedule:
- Morning submission deadline is 8 a.m. CT with settlement occurring at noon CT.
- Afternoon submission deadline is 11:30 a.m. CT with settlement occurring at 4 p.m. CT.
Same Day ACH debits will roll out September 15, 2017.
If you have questions about ACH services offered by BND, please contact Marsha Kauk at 701.328.5639
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