News & Resources


APA Supports Proposed Rule Expanding Same-Day ACH Services

BY: APA Staff | 08/22/19

APA’s Electronic Payments Committee submitted comments on July 12 to the Federal Reserve Board (the Fed) supporting its proposed modifications to the operating hours of the Federal Reserve Bank’s National Settlement Service and the Fedwire Funds Service. In turn, the expanded hours of operation will allow Nacha to move forward with plans to open a third same-day ACH settlement window. Nacha delayed the implementation date until March 19, 2021, awaiting the Fed’s decision.

Currently, originating depository financial institutions (ODFI) must submit same-day ACH transaction files by 2:45 p.m. ET/11:45 a.m. PT. The third processing window, at 4:45 p.m. ET/1:45 p.m. PT, would provide an afternoon deadline for ODFIs in the Pacific time zone.

The Fed notes that “same-day ACH transactions are used for payroll (especially emergency payroll), business-to-business payments, consumer bill payments, and consumer account-to-account payments.” APA agreed and said that the ability of employers in western time zones to use of same-day ACH “would be a clear public benefit and improve the efficiency of the U.S. payment system.”

APA urged the Fed to approve the proposed changes and to move as quickly as possible so that Nacha can meet its deadline to implement the later same-day ACH window.

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