What is ACH?
The ACH Network processes two types of transactions: Direct Deposits and Direct Payments. As a CFCU member, you are using the ACH Network whenever you provide your CFCU account number and routing number to authorize a Direct Deposit or Direct Payment.
Direct Deposit via ACH is the deposit of funds for payroll, government benefits, tax and other refunds, and annuities and interest payments. It includes any ACH credit payment from a business or government to a consumer.
Direct Payment via ACH is the use of funds to make a payment. Individuals or organizations can make a Direct Payment via ACH as either an ACH credit or ACH debit.
Currently, credit transactions are posted multiple times per day while debit transactions are posted to accounts only once per day. Beginning September 15, 2017, debit transactions will also be processed multiple times per day. This change affects all U.S. financial institutions, not just CFCU.
How does this affect me?
Previously, you may have seen debits posted to your CFCU account once per day. Going forward, ACH debits will post multiple times throughout the business day. This means that certain payments made by writing a paper check, paid by phone, and paid online could clear your CFCU account on the same day you write the check or authorize the payment, so funds may leave your account sooner. Standard fees will apply for returned items or items that overdraw your account.
What are the benefits of Same Day ACH debits?
The conversion to Same Day ACH debits will enable you to make easier bill payments on time as well as provide faster crediting when you are moving money between accounts that you own at different financial institutions. In addition, you will have access to more up-to-date information about your actual available account balance more frequently throughout the business day.
Will my direct deposit be affected?
No. Your direct deposit will continue to be credited to your account on the correct posting date.