NACHA's recently approved Same Day ACH rule means that—come September 2016—instead of one deadline a day for next-day or two-day ACH transactions, you will have three options:
1. A new morning deadline for same-day settlement
2. A new afternoon deadline for same-day settlement
3. The existing evening deadline for next-day settlement
The rule change will allow urgent payments to be processed the day they are due, along with making it easier to process payroll faster. SVB's clients will also be better able to respond to emergencies, make off-cycle payments (e.g., reimbursements) and correct errors in employees' pay and tax deposits.
Three Rollout Phases
The implementation of these rule changes will come online in three phases over a three-year period starting in September 2016.
1. Effective September 2016, ACH credit transactions will be eligible for same-day processing for situations such as hourly payroll, person-to-person payments and same-day bill pay.
2. Effective September 2017, Same Day ACH debits will be added— allowing for a variety of bill payment scenarios like utility, mortgage, loan and credit card payments.
3. Effective March 2018, funds from Same Day ACH credit transactions will be available for withdrawal by 5:00pm of the local time of the receiving bank.
We're Here to Help
This is a big step towards making payments faster for SVB's clients. We will continue to share more information as September approaches so our clients are prepared and understand the implications of making Same Day ACH a reality.
Please contact your SVB Global Treasury and Payments Advisor in the meantime with any questions.