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It's also a "push" system (and not a "pull" system like ACH) which has serious advantages -- you can send money to anyone given their sort code and account numb
by zkms 9y ago
It's also a "push" system (and not a "pull" system like ACH) which has serious advantages -- you can send money to anyone given their sort code and account number, and those numbers do not need to be kept private.
With ACH if you have someone's routing number and account number you can pull money from their account without them needing to authorise it.
- djmobley 9y agoIn the UK there is also a 'pull' system (Direct Debit) in which you instruct your bank that a given third party can regularly take money out of your account until further notice. It's commonplace for bill payments, subscription services, etc.
- eterm 9y agoAnd should be noted that not anyone can receive direct debits so there still isn't a large need for secrecy of routing numbers.