Happy 5th Birthday Same Day ACH

Written by Di Princell

September 23, 2021

Don’t just count your years, make your years count
~ George Meredith

Well, well, ACH, what an accomplished, agile 5-year-old you have grown into along with the support of your NACHA parents, encouraging your growth and enhancing your skills every year. Since September 23, 2016, you have matured, up from “13 million payments the first year to over 141 million payments in just the first quarter of 2021, valued at $187.6 billion, increases of 88% and !33% respectively from a year earlier,” according to Payments Post. Motivating Americans to use Same Day ACH has created an addiction for speedy payments which may push payments over 600 million this year.

NACHA kept its promise adding enhancements and rule changes every year to incentivize usage of the same day transfer of funds. Michael Herd, Nacha’s senior V.P. reported some of the ongoing improvements:  same day ACH debits, advanced funds availability, expanded operating hours for financial institutions to submit the payments, and raised the limit to $100K per payment. Herd boasted that in March 2022, the limit will be increased to a whopping $1M per payment for both debits and credits, expanding opportunities for “business-to-business and insurance claims, as well as payroll funding, as just a few examples of future growth. This increase will apply to businesses and consumers. Herd encouraged banks and credit unions to help their clients or members make the greatest use of Same Day ACH,” all reported in the summer, 2021 Payments Post.

The Payments Post also announced that in the “first quarter of 2021, Same Day ACH transacted $1 billion payments since inception with a combined total value more than $1 trillion.”, Congratulations Same Day ACH, you are now the big kid on the block and still growing at a phenomenal rate.

Security is always at the forefront when debiting funds from one account and crediting them into another. Fortunately, RIBBIT.ai has built a fortress around ACH security, enriching their staff with 3 Accredited ACH Professionals (AAPs), a rarity to have so many in one payments company. AAPs work with financial institutions to ensure they operate within the confines of NACHA’s rules and regulations. RIBBIT’s AAPs keep the company compliant, secured, updated, and informed about the ACH services in the electronic payments industry. The ACH rules are complex and challenging so having experts on staff is essential to keeping a staff educated at all times.

Hey ACH kid, the skies are the limit so keep evolving and creating opportunities for the financial arena. The RIBBIT team heads your fan club and wishes you a happy birthday!


Stay tuned . . .

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