What is an ACH routing number?
An ACH routing number is a unique nine-digit code used by banks in the United States to handle electronic transfers of funds.
If you want to make a bank transfer using the ACH network, you are going to need an ACH number. This number helps reduce errors and speeds up the transaction process by accurately linking accounts across US banks.
We cover how ACH payments work, how to find the ACH routing number, and how you can use this number for tracking payments. We also explain its difference from other banking codes like ABA numbers.
What is an ACH payment and how does it work?
ACH stands for Automated Clearing House, which is a network that facilitates electronic transactions in the US. It processes large volumes of transactions by grouping them into batches, which enhances the speed and reduces the cost of processing.
ACH payments are the electronic movement of funds from one bank account to another via the ACH network. ACH transfers are commonly used for routine payments, such as employee payroll, automatic bill payments, and transfers between personal bank accounts. These payments are convenient and reliable, making them the preferred way to send or receive money.
To make an ACH payment, you’ll need to provide your bank with the recipient’s account number and ACH transit number. Once you submit this information, your bank will handle the processing, sending the data through the ACH network to the recipient’s bank. The funds are then deposited into the recipient’s account, usually within one to three days
But what is ACH routing number? It’s a nine-digit code used by banks to identify themselves for electronic transactions within the ACH network. The ACH number is vital in the process because it ensures that the funds are sent to the correct place.
How to find an ACH routing number?
Before you send money from a bank account via the ACH network, you will need to find the ACH transit routing number. Each bank has its own unique ACH number, so you need to know what is the ACH number for the specific bank you are sending money to. You need to provide an accurate ACH transit number to avoid any delays or mistakes in the transaction.
Here are the main ways that you can find an ACH transit number:
• Check the bank’s website: Most banks display their routing numbers on their websites, especially in the FAQ or help sections.
• Contact the bank: If you’re unsure or can’t find the number online, a quick call or email to the bank can provide you with the correct ACH transit routing number.
• Review bank statements: Some banks include the routing number on the monthly statements they issue.
How to trace an ACH payment?
ACH payments can take up to three days to process. If your ACH payment is taking longer than scheduled, you can trace the payment to check its status.
Here’s how you can trace your ACH payment:
1. Find ACH transaction trace number: To begin the tracking process, you need to find the ACH transaction trace number. You can find the ACH transaction trace number on the confirmation receipt or statement provided by your bank at the time of the transaction. This number can help track the funds as they move through the ACH network. 2. Contact the bank: You should then contact your bank’s customer service. Give them all the necessary details about the transaction, including the ACH transaction trace number. Your bank can then track the transaction and update you on where it stands in the clearing process.
What’s the difference between ACH routing numbers and ABA numbers?
ACH and ABA numbers are both routing numbers used to identify specific banks in the US, but they have different purposes.
American Bankers Association numbers, or ABA numbers, are nine-digit codes used for processing paper checks and facilitating wire transfers between US banks. ACH transit numbers are used for electronic transfers, such as direct deposits and bill payments, through the ACH network.
In some cases, a bank may use the same routing number for both ABA and ACH transactions. However, it’s essential to check with your bank which is the correct routing number to use to prevent any issues or delays.
Do you need ACH routing numbers in the UK?
ACH payments and their ACH routing number are specific to the US. Instead, the UK uses sort codes, which are six-digit numbers that identify specific banks and branches within the UK banking network.
If you want to send money from the UK to the US, you will need a BIC or SWIFT code.
BIC codes
A Bank Identifier Code (BIC) is an international standard for routing money transfers globally. It’s a code that identifies banks during international transactions. The BIC code is often used with the SWIFT code to ensure payments are sent to the correct bank and branch.
SWIFT codes
The SWIFT code is used by the (Society for Worldwide Interbank Financial Telecommunication (SWIFT) network. Like BIC, SWIFT codes uniquely identify banks around the world. You will need this code any time you are making an international bank transfer or when receiving money from abroad.
FAQs on ACH routing numbers
Is an ACH routing number a SWIFT code?
No, an ACH routing number is not the same as a SWIFT code. ACH routing numbers are used within the US banking system for domestic transfers. SWIFT codes are used for international transfers between banks across different countries.
Is ACH the same as routing number?
An ACH routing number and a routing number can refer to the same thing when used for electronic transfers. However, you need to determine whether a specific transaction requires an ACH or an ABA routing number, as some banks use separate numbers for transactions.
What is a routing number in the UK?
The UK does not use routing numbers. UK banks use sort codes, which are six-digit numbers used to identify banks and branches for domestic transfers within the UK.
Which banks offer ACH transfers?
Most major US banks offer ACH transfer services, from Bank of America to Capital One to JP Morgan, among others.
