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New Same Day ACH Window starts March 19, closing deadlines extended

By Steve Jones, AAP, VP, Product Manager

Effective March 19, 2021, a new Same Day ACH rule will create a new processing window, enabling Originating Depository Financial Institutions to originate Same Day ACH (SDA) transactions for an additional two hours each banking day. As a result, Receiving Depository Financial Institutions will receive files of SDA transactions by 5:30 p.m. ET/2:30 p.m. PT, and interbank settlement will occur at 6:00 p.m. ET.

The NACHA rule change required adjustments to Federal Reserve services, which included extending the closing of National Settlement Service by one hour to 6:30 p.m. ET, and Fedwire Funds Services will close at 7:00 p.m. ET. These changes are intended to allow sufficient time between closing and for depository institutions and their customers to reposition balances and manage liquidity. Corporate One will expand its wire cut-off time to 6:50 p.m. ET to make the later wire cut-offs available to your credit union.

Additionally, during the new rule’s “Request for Comment” period, several organizations identified potential concerns/impacts to the end-of-day processing activities. Credit unions facing such challenges may take advantage of a “our EZ Sweep option” for their Corporate One account, which will help with end-of-day positioning. Please contact us with any questions or concerns you may have at 866/MyCorp1, and we will work with you to help you find a solution.