What an ACH Transfer Is and How It Works

An ACH transfer is a way to move money from one bank account to another using the Automated Clearing House network, which is a system run by the Federal Reserve that processes millions of transfers every day. When you send an ACH transfer, you are telling your bank to pull money from your account and send it to someone else's account at a different bank. The money does not move when ready — it typically takes one to three business days to arrive, depending on when you send it and which banks are involved.

ACH transfers are different from wire transfers, which move money faster but cost more and cannot be reversed once sent. ACH transfers are cheaper or free, but they are slower and can sometimes be stopped if you catch a mistake quickly. Most people use ACH transfers to pay bills, send money to family members, or move money between their own accounts at different banks.

Key Takeaways

  • You can send an ACH transfer through your bank's website, mobile app, or by calling customer service, and you will need the recipient's routing number and account number.
  • ACH transfers typically take one to three business days to arrive, so plan ahead if you have a bill due on a specific date.
  • Most banks offer ACH transfers for free or a small fee, and the amount you can send in one day or one month may be limited by your bank.
  • You can stop an ACH transfer before it settles, but once the money reaches the other bank, you cannot reverse it without the recipient's permission.
  • ACH transfers work between accounts at different banks, but you cannot send an ACH transfer to a credit card or to someone without a bank account.

How to Send an ACH Transfer Through Your Bank's Website

Log into your bank's website using your username and password. Look for a link or button labeled "Transfer Money," "Send Money," "Pay Someone," or "ACH Transfer" — the exact wording varies by bank. Click on it and you will usually see a form asking where the money should go.

If you are sending money to someone for the first time, you will need to add them as a recipient. Enter their name, the name of their bank, their routing number, and their account number. The routing number is a nine-digit code that identifies the bank; you can find it on a check, on the bank's website, or by calling the bank's customer service line. The account number is the number of the specific account you are sending money to. Double-check both numbers before you proceed, because a mistake will send your money to the wrong account.

Enter the amount you want to send and choose the date you want the transfer to happen. Many banks let you schedule a transfer for a future date, which is useful if you know a bill is due on a certain day. Add a note or memo if you want — for example, "Rent for March" — so both you and the recipient know what the money is for. Review all the details, then click "Confirm" or "Send."

Sending an ACH Transfer Through Your Bank's Mobile App

The process on a mobile app is nearly identical to the website. Open your bank's app, tap the "Transfer" or "Send Money" button, and follow the same steps: add a recipient if it is your first time, enter their routing and account numbers, choose the amount and date, and confirm.

Mobile apps sometimes have a slightly different layout, and some banks let you photograph a check to fill in the recipient's information automatically. If you are unsure where to find the transfer option, use the app's search function or look for a menu icon (usually three horizontal lines) at the top or bottom of the screen.

What Information You Need Before You Start

Before you send an ACH transfer, gather the following details about the person or business you are sending money to: their full name as it appears on their bank account, the name of their bank, their routing number, and their account number. If any of this information is wrong, the transfer may be delayed or sent to the wrong account.

If you are paying a bill to a company, they usually provide this information on their website or on a bill they send you. If you are sending money to a friend or family member, ask them for their routing and account numbers. You can find your own routing number on a check (it is the first set of numbers at the bottom left), on your bank's website, or by calling customer service.

How Long an ACH Transfer Takes and When the Money Arrives

A standard ACH transfer takes one to three business days to settle. If you send a transfer on a Monday morning, it might arrive on Tuesday or Wednesday. If you send it on a Friday afternoon, it may not arrive until the following Monday or Tuesday, because the ACH network does not process transfers on weekends or federal holidays.

Some banks offer next-day ACH, which guarantees the money will arrive the next business day, but this service may cost extra or only be available for transfers under a certain amount. Check with your bank to see if they offer it. If you need money to move faster, a wire transfer is quicker but usually costs between $15 and $30.

Once the transfer settles and the money appears in the recipient's account, it is final. The recipient's bank will not reverse it without their permission, so if you send money to the wrong account by mistake, you will need to contact that person and ask them to send it back.

Daily and Monthly Limits on ACH Transfers

Most banks limit how much money you can send in a single ACH transfer and how much you can send in a day or month. These limits vary widely — some banks allow up to $10,000 per transfer, while others cap it at $2,500 or less. Some banks also set a monthly limit, such as $25,000 total per month across all transfers.

If you need to send more than your limit allows, you have a few options: you can split the transfer into multiple transfers on different days, you can call your bank and ask them to raise your limit, or you can use a wire transfer instead. Check your bank's website or call customer service to find out what your specific limits are.

Stopping or Canceling an ACH Transfer

If you realize you made a mistake, you may be able to stop the transfer before it settles. Log back into your bank's website or app, find the transfer you just sent, and look for a "Cancel" or "Stop" button. This option is usually only available for a few hours after you send the transfer, and it only works if the transfer has not already left your bank.

Once the transfer has settled — meaning the money has arrived at the other bank — you cannot cancel it through your bank. At that point, your only option is to contact the recipient and ask them to send the money back. If they refuse or you cannot reach them, you may need to file a dispute with your bank, though banks are not required to reverse a settled ACH transfer unless fraud is involved.

Frequently Asked Questions

Can I send an ACH transfer to a credit card?

No. ACH transfers only work between bank accounts. If you want to pay a credit card bill, you can usually do so through the credit card company's website, or you can transfer money to your own checking account and then pay the card from there. Some credit card companies accept ACH transfers from external bank accounts, but you have to set that up through their payment system, not your bank.

What happens if I send an ACH transfer to the wrong account number?

The money will go to whatever account matches that routing and account number, which may belong to someone else. Once it settles, you cannot reverse it without that person's help. Contact your bank when ready if you realize the mistake — they may be able to stop it if it has not settled yet. If it has settled, you will need to contact the recipient and ask them to return the money, or file a dispute with your bank.

Is there a fee for sending an ACH transfer?

Most banks do not charge a fee for outgoing ACH transfers, but some charge $1 to $3 per transfer. A few banks charge a monthly fee if you exceed a certain number of transfers. Check your bank's fee schedule or call customer service to find out whether you will be charged.

Can I send an ACH transfer on a weekend?

You can schedule or send an ACH transfer on a weekend through your bank's website or app, but the ACH network does not process transfers on Saturdays, Sundays, or federal holidays. A transfer you send on Saturday will not actually move until Monday, so it will take longer to arrive than a transfer sent on a weekday.

Do I need to tell the recipient I am sending them an ACH transfer?

It is a good idea to let them know, especially if they are not expecting money from you. That way, they will not be confused when the money appears in their account, and they can confirm they received the correct amount. If you are paying a bill, the company usually knows to expect the payment once you have sent it from their payment system.