ACH (Automated Clearing House) is a financial transaction method that relies on a bank transfer protocol that’s applicable only in the USA. It is a type of electronic money transfer system which utilizes the Electronics Payment Association’s network as a central clearing house in conjunction with the US Federal Reserve. Launched in the 1970s as a partnership project between US government agencies, including the US Treasury and private institutions, the system operates along with policies set in the NACHA [pre-cursor to the Electronics Payment Association] operating rules. It’s a payment method that is regarded as a secure as well as a highly reliable mode of making payment in a variety of different forms.
In this transaction system, casino players are able to transfer money to a range of online gaming sites via their checking accounts. Unlike conventional bank transfers, ACH is typically the method of choice for online players to send money to US-based bank accounts directly. The main difference the system has with bank wire transfers is that the process is almost automatic, requiring just a few authorizations before completion. As such, most transactions can be completed in between 1 and 3 business days.
To use ACH as a payment method, online casinos basically use 3rdparty processors since they cannot set up servers within the US. Most ACH transfers do clear in time although delays to are common, which may be caused by a processor facing difficulty in overcoming banking and other legal regulations. But should such an occurrence recur, casinos normally switch to a different processor?
Players with a credit union or bank checking accounts in the USA are able to use ACH to make deposits even though the service has become less popular due to banking regulations. However, there are still enough listed casinos who offer it as an option for online players to fund casino accounts.
Deposit With ACH
Players may deposit directly to the cashier if the casino of choice is offering ACH as a payment method. The process simply requires keying in the number of funds to be deposited then choosing the “ACH” option from a list of the choices of payment methods given then following the prompts given. To get a firmer grip on how it works the process is as below;
- Select “ACH Transfer” option on casino’s cashier page
- Enter bank account information [account number, routing number plus the check number from an unused check].
- The request is sent for processing via the Federal Reserve Automatic Clearing House
- Upon authorization by the Fed, an ACH entry is created for forwarding to a financial institution which handles ACH origination
Once the transaction has been completed, the funds are then be availed to a player either immediately or within a few business days depending on the casino’s transfer policy. The transaction can only fail to be executed should the player’s account by having insufficient funds or the account holder indicates that the transaction has not been authorized.
Advantages Of Using ACH
ACH transactions are quite a convenient way for players to fund their casino accounts, as long as they have a valid credit union or bank or accounts domiciled in the US. Additionally, players need not worry over signing up with 3rd parties or going through extra verification procedures. Other advantages of using ACH to make deposits are;
- It’s a versatile method of payment as it allows users to pay in various formats for a range of different services
- There aren’t many online payment methods that have the backing of the Federal Reserve and as such, ACH is highly secure to use is a direct collaboration between government and the private sector
- Because the “Electronics Payment Association” represents over 12,000 financial institutions, ACH thus offers a reliable and strong network to transact in
- There’s not much manual paperwork involved when making ACH transactions and this testifies to its level of convenience
Disadvantages Of Using ACH
The main disadvantage of ACH is the time; the deposit transactions are is not instant while withdrawals may take up to one business week to be executed. Moreover, there’s a risk of the Department of Justice shutting down a chosen 3rd party processor, in turn meaning longer delays before players can receive their funds. In addition, this mode of depositing can only work within the US and thus the rest of the world is locked out of using it.