Same-Day ACH: Meaning in a Merchant Cash Advance
Same-day ACH is a faster option on the ACH network that settles an electronic payment within the same business day it is sent, as long as it goes in before the cutoff times. It costs more than standard ACH and has a per-payment dollar limit.
What does same-day ACH mean?
Standard ACH settles the next business day or the one after. Same-day ACH runs extra settlement windows during the day, so a payment sent in the morning lands that afternoon. Nacha sets the windows and the limit, and each bank decides whether and how to offer it. It still moves only on business days.
Why does same-day ACH matter to your business?
Some funders use it to send advance proceeds so the money arrives the day the contract is signed. Others use it for payments, so a debit you expect tomorrow posts today. When you're timing a payoff or a deposit to cover a debit, ask which kind of ACH is being used, since a few hours can decide whether a debit clears.
What are the cutoff times?
- Each bank sets its own internal cutoff, earlier than the network's.
- A payment sent after the last window goes out the next business day.
- Weekends and federal holidays don't count.
Where will you see it?
In a funder's funding confirmation or payment notice. In your bank's business payment menu. On statements, where it looks like any other ACH transaction.
How does it compare?
Same-day ACH is usually cheaper than a wire and faster than standard ACH, but it has a dollar cap per payment and is easier to return than a wire. Nacha explains the rules at nacha.org.
Which terms are related to same-day ACH?
The full list is in the glossary. Owners ask about this in What does an MCA payment look like on my bank statement?.
A term on your offer you don't recognize?
Send us the line and we'll tell you what it means. Call 877-FUND-654 with any question. We call you back, usually the same business day, and we always talk with you before we shop your file.