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From the CEO: Understanding the upcoming transition to Same Day ACH

From the CEO
March 11, 2015

Dear members:

Over the last several years we have seen consumers – not just millennials – come to expect faster transaction processing. Non-financial institution service providers, such as PayPal and Apple Pay, allow consumers to move money in (near) real time. Because of this, the Federal Reserve Bank and the National Automated Clearinghouse Association (NACHA) have been working with financial institutions worldwide to develop a path forward to achieve the next big step in payments: Same Day ACH. We believe Same Day ACH will offer new opportunities for our credit unions to better serve their members and to remain competitive in a quickly evolving financial marketplace.

Over the last year, Corporate One has collaborated with NACHA, the Federal Reserve, and our regional payments association, EPCOR, to fully understand NACHA’s proposed rule changes to achieve Same Day ACH and to represent our members in these important discussions. (The latest proposal will be voted on this year and, if passed, will begin a phased-in approach in September 2016.) The transition of the ACH network from single, next-day settlement to ubiquitous, multiple same-day and next-day settlement options will not be fully understood until a final rule is passed. But needless to say, the speed of payments through ACH is a strategic priority of the Federal Reserve system as outlined in their Strategies for Improving the U.S. Payment System, January 26, 2015. And, while we don’t know the eventual outcome, we do know we must help you prepare for these changes as they come.

Our education efforts continued this month as we hosted a round table discussion at EastPay’s Information Interchange and a live member webinar, and we will continue to offer more learning opportunities throughout the year. Keep your eyes peeled for more webinars as well as articles and tips from the Accredited ACH Professionals (AAPs) we have on staff. And, please look for us if you’ll be at the upcoming EPCOR conference in May where we’ll be hosting another credit union-specific panel discussion and reception that will include Same Day ACH. It is our goal to help you learn how the new rules may affect your daily processing and how this important change can benefit you and your members.

In addition to offering educational opportunities, Corporate One has also been working closely with our ACH system vendor and EPCOR to ensure we have a comprehensive Same Day ACH solution ready for our members that is both compliant and efficient. We will be bringing several credit unions onto the current FRB Opt-In same day program during second quarter to learn how the processing changes will affect our credit unions and to ensure we have the information and experience necessary to help our members adapt to the changing environment.

ACH has been one of the fastest growing non-cash payment types for well over a decade. As our industry aligns on how ACH can remain the relevant and desired payment option it is today, you can look to Corporate One as your partner in learning what your credit union will need to know about the upcoming transition. Please contact Corporate One VP of Member Experience Steve Jones, AAP, at if you’d like to have a more in-depth discussion on Same Day ACH.

Lee Butke