HERNDON, Va.– New survey results released by NACHA—The Electronic Payments Association show that Same Day ACH usage is strong, with 80% of respondents expecting to see steady growth in 2017.
Twenty-three financial institutions, representing 63% of ACH Network origination volume, participated in a qualitative survey during December 2016 and January 2017 about Same Day ACH, an industry solution to move payments faster. Across the board, Same Day ACH has seen strong performance and usage, with 90% of respondents saying the volume of origination services was the same or higher than expected, and 83% saying the same about volume received, according to NACHA.
The survey also shows that this faster payment solution is being implemented by businesses of all sizes, NACHA said. Of the financial institutions surveyed, 84% of respondents report they originated Same Day ACH transactions for middle market sized companies, 58% originated transactions for large companies and 37% say their small business clients are taking advantage of this faster payment option.
“Additionally, Same Day ACH is being used for a variety of purposes, demonstrating the utility of this solution beyond the ability to make emergency payments,” NACHA reported. “While 95% of surveyed financial institutions report that their clients are using Same Day ACH for emergency payments like payroll, 68% say clients are using it for one-time payments and 58% show businesses are using Same Day ACH to make regularly scheduled payments such as paying hourly employees.”
One of the most important findings of this survey is that none of the respondents reported experiencing any increase in fraud due to Same Day ACH, whether as an originating or receiving financial institution. Same Day ACH by itself does not create any new vectors for fraud, such as new access channels or banking information.
“We are encouraged by the results of this survey, which validates that Same Day ACH is an effective, beneficial and safe faster payments solution that is meeting and, in some cases exceeding, the expectations of its users,” said Janet O. Estep, president and CEO of NACHA. “We were pleased to see that the vast majority of receiving financial institutions are delivering added benefit to their corporate customers now by providing transaction information to them after each of the three processing windows.”
According to NACHA, financial institutions surveyed report the following regarding Same Day ACH origination services:
- 55% report volume was as anticipated; 35% said volume was higher than anticipated
- 100% reported a “client success story” that involved support for payroll in a new way
Financial institutions surveyed report the following when receiving Same Day ACH transactions, NACHA said:
- 61% report volume received was as anticipated
- 22% said volume was higher than anticipated
- 83% provided transaction information to corporate clients after every processing window, with 74% delivering information to clients within 60 minutes of each processing window