ACH Payments
ACH (Automated Clearing House) Payments is a U.S.-based electronic funds transfer system that processes large volumes of credit and debit transactions in batches, such as direct deposits, bill payments, and business-to-business transfers. It is operated by Nacha (formerly NACHA) and facilitates secure, low-cost transfers between bank accounts, typically taking 1-3 business days to settle. Developers integrate with ACH to enable automated payment processing in applications like payroll systems, e-commerce platforms, and subscription services.
Developers should learn ACH Payments when building financial applications that require automated, recurring, or bulk transfers, such as payroll processing, subscription billing, or peer-to-peer payment systems, as it offers lower transaction costs compared to credit cards and supports high-volume operations. It is essential for compliance with U.S. banking regulations and for integrating with payment gateways or financial APIs to handle direct bank account transactions securely.