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> For ten years I've been able to place a ACH transfer at one bank by 6 pm and have it available in my other bank by 8 am the following morning. It has never ta

> For ten years I've been able to place a ACH transfer at one bank by 6 pm and have it available in my other bank by 8 am the following morning. It has never taken "3-5 business days". You are mistaking ACH for wire transfer (or are not aware of the good faith credit your bank provides). There’s three main ways to send money between accounts: - wire transfer with immediate delivery - wire transfer with next day delivery (likely what you are mistakenly thinking is ACH) - ACH which takes the previously mentioned several days (for making sure there isn’t a return for reasons other than stolen account). ACH is essentially “writing a check, sans paper”. The first two are essentially direct bank-bank transfers. The latter goes through a clearing house as described and has a clumsy (in modern terms) process with lots of unneeded delays. Banks will many times credit the money to your account much faster, but they do that for two reasons. - they have an existing relationship with you and know your risk profile - they sometimes also send an electronic request to the other bank confirming fund availability. Not all banks support this, but when they do, generally banks will overlook some extra risk from the previous bullet (as in, you don’t have available funds to claw back). Happy to provide much more technical details if you insist, but Google could trivially do that for you. > Anyone claiming there are large inherent delays in that setup is full of baloney. No need to be derogatory towards others stating facts to you.

tinokid 9y ago
No, I am not mistaking ACH for wire transfer, or any kind of "credit" system. If your bank is taking longer it's because your bank sucks. But yes please provide those "technical details" whenever you have a chance. https://www.frbservices.org/assets/financial-services/ach/091517-same-day-schedule.pdf https://www.frbservices.org/assets/financial-services/ach/09...
- ad_hominem 9y ago
  "... the ACH system never provides positive confirmation that an ACH debit has gone through successfully. The only response an ACH originator may get is one notifying them of a return. Because of this 'no news is good news' policy, it is wise for originators of ACH debits to wait for 3 additional business days of 'no news' to ship their product to the customer. Though the ACH system is described as a next-day settlement system, in practice, it is not because of this."[1] So your bank is being optimistic and giving you a credit, assuming that no return will happen. A pessimistic or cautious bank would really have to wait several business days to ensure no returns happen before crediting your account. [1]: https://engineering.gusto.com/how-ach-works-a-developer-perspective-part-3/ https://engineering.gusto.com/how-ach-works-a-developer-pers...
  - tinokid 9y ago
    No! They are not being "optimistic," they are just following Regulation CC. Ask anyone on the street when they can get the money from their paycheck direct deposit. Unless they just opened their account, they are not waiting days.
    - jsjohnst 9y ago
      > Ask anyone on the street when they can get the money from their paycheck direct deposit. That’s because payroll isn’t sent the day of your payday. Go ask the person who handles payroll at the company you work for, they don’t submit it the day of payday (or even usually the day before). It’s normally submitted several days in advance.
      - tinokid 9y ago
        Again...no, it is not. You are confusing different things here. Even if they just learned about it the night before, your bank cannot withhold your direct deposit without breaking the law. Unless there is some special situation like a new account or they suspect fraud.
        jsjohnst 9y ago
        > Again...no, it is not. You are confusing different things here. Not to get in a pissing match, but you are the one confusing unrelated things. There’s a reason I’m getting upvoted and you are being downvoted. 1) for credits, the RDFI doesn’t place holds on the funds (except in very unusual circumstances). So your apology here is flawed. 2) read the link provided by @ad_hominem, it very clearly and eloquently explains the time lines involved, by a company doing payroll. Better yet, read the whole series of posts they wrote. (Part 1/2 are linked at the top of the article). In general, try to understand that your personal experiences might not reflect the “way things work”. There are folks on HN who have generally “been there, done that, have battle scars to prove it” (like me in this specific case) for many topics and you’d be wise to keep an open mind rather than keep fighting against them when they are trying to help you understand.
paulie_a 9y ago
Typically if you have a larger delay with ACH, your credit is less than optimal in the business side of things. I work with merchants and most are overnight as long as it hits the appropriate timeframe, some do experience 3-5 days delay, typically 3 though.

tinokid 9y ago

No, I am not mistaking ACH for wire transfer, or any kind of "credit" system. If your bank is taking longer it's because your bank sucks. But yes please provide those "technical details" whenever you have a chance. https://www.frbservices.org/assets/financial-services/ach/091517-same-day-schedule.pdf https://www.frbservices.org/assets/financial-services/ach/09...

ad_hominem 9y ago
"... the ACH system never provides positive confirmation that an ACH debit has gone through successfully. The only response an ACH originator may get is one notifying them of a return. Because of this 'no news is good news' policy, it is wise for originators of ACH debits to wait for 3 additional business days of 'no news' to ship their product to the customer. Though the ACH system is described as a next-day settlement system, in practice, it is not because of this."[1] So your bank is being optimistic and giving you a credit, assuming that no return will happen. A pessimistic or cautious bank would really have to wait several business days to ensure no returns happen before crediting your account. [1]: https://engineering.gusto.com/how-ach-works-a-developer-perspective-part-3/ https://engineering.gusto.com/how-ach-works-a-developer-pers...
- tinokid 9y ago
  No! They are not being "optimistic," they are just following Regulation CC. Ask anyone on the street when they can get the money from their paycheck direct deposit. Unless they just opened their account, they are not waiting days.
  - jsjohnst 9y ago
    > Ask anyone on the street when they can get the money from their paycheck direct deposit. That’s because payroll isn’t sent the day of your payday. Go ask the person who handles payroll at the company you work for, they don’t submit it the day of payday (or even usually the day before). It’s normally submitted several days in advance.
    - tinokid 9y ago
      Again...no, it is not. You are confusing different things here. Even if they just learned about it the night before, your bank cannot withhold your direct deposit without breaking the law. Unless there is some special situation like a new account or they suspect fraud.
      - jsjohnst 9y ago
        > Again...no, it is not. You are confusing different things here. Not to get in a pissing match, but you are the one confusing unrelated things. There’s a reason I’m getting upvoted and you are being downvoted. 1) for credits, the RDFI doesn’t place holds on the funds (except in very unusual circumstances). So your apology here is flawed. 2) read the link provided by @ad_hominem, it very clearly and eloquently explains the time lines involved, by a company doing payroll. Better yet, read the whole series of posts they wrote. (Part 1/2 are linked at the top of the article). In general, try to understand that your personal experiences might not reflect the “way things work”. There are folks on HN who have generally “been there, done that, have battle scars to prove it” (like me in this specific case) for many topics and you’d be wise to keep an open mind rather than keep fighting against them when they are trying to help you understand.

paulie_a 9y ago

Typically if you have a larger delay with ACH, your credit is less than optimal in the business side of things. I work with merchants and most are overnight as long as it hits the appropriate timeframe, some do experience 3-5 days delay, typically 3 though.