Pub. 12 2015 Issue 3

O V E R A C E N T U R Y : B U I L D I N G B E T T E R B A N K S - H E L P I N G N E W M E X I C O R E A L I Z E D R E A M S Fall • 2015 21 In response to this need, NACHA has adopted a Same Day ACH Rule to pro- vide faster clearing and settlement op- tions for all domestic ACH transactions under $25,000. Additionally, the Feder- al Reserve Board of Governors recently announced its support of the new Rules, confirming this new process can proceed with the intended initial implementation dates as outlined in the Rule Amend- ment: • In phase one (effective September 23, 2016), ACH credits become same day eligible. • In phase two (effective Septem- ber 15, 2017), ACH debits become same day eligible. • In phase three (March 16, 2018), all Receiving Depository Financial Institutions (RDFIs) are required to make same-day ACH credits available to their Receivers by 5 PM local time. Two new same day processing windows will be established at 8:30 AM MT and 1 PM MT for Originating Depository Fi- nancial Institutions (ODFIs) to submit their Same Day files to their ACH Opera- tor. These files will be made available to the RDFIs approximately one hour later. Intra-bank settlement for these files will occur at 11 AM MT and 3 PM MT respec- tively. NACHA’s proposed same-day sched- ule is an attempt to balance access to the network for participants across the U.S’s multiple time-zones and still adhere to the Federal Reserve’s National Net Set- tlement System 4:30 PM MT end-of-day deadline. The benefit for enabling Same Day ACH processing is readily evident for originating financial institutions offering Same Day ACH products and services to their consumer, business and govern- ment ACH Originators and Third Parties. As part of the Rules development pro- cess, NACHA consulted with an external expert consulting firm to independently evaluate the benefits and costs of Same Day ACH for both ODFIs and RDFIs. Af- ter compiling the data from nearly 200 surveys and interviews with institutions of all sizes, an interbank fee of 5.2 cents per transaction was adopted as part of the Rule Amendment and will be paid by the ODFI to the RDFI for each Same Day ACH entry processed. This is designed to help offset RDFIs’ average cost for imple- menting and supporting Same Day ACH in their critical role in enabling network ubiquity.  Same Day ACH capability is a key improvement to the U.S. payments system that will enable new options for consumers, businesses and government entities wishing to move funds faster, and will serve as a build- ing block for enabling payments innovation in the devel- opment of new products and services. For more information about Same Day ACH, contact info@wespay.org