Catalyst News

2019 ACH Growth Reaches 12-Year High

by Catalyst Corporate | Feb 04, 2020

The ACH Network had another remarkable year in 2019, as transactions continued to rise both in volume and in value. According to Nacha, there were 24.7 billion payments on the ACH Network, an increase of 7.7 percent over 2018. The value of those payments totaled $55.8 trillion, a nearly nine percent increase from 2018.

On February 3, the ACH governing body released its fourth quarter performance results that indicated 2019 growth reached a 12-year high. For the seventh consecutive year, the total value of ACH payments grew by more than $1 trillion, and for the fifth straight year, the total number of transactions increased by more than one billion.

In 2019, increases were notable across major transaction types, including business-to-business payments, up 12 percent to four billion, and direct deposits, up six percent to 7.2 billion.

According to Nacha President and CEO Jane Larimer, Same Day ACH saw significant growth, with 250.4 million transactions in 2019 – a 41 percent increase in same-day credit payments and a 55 percent increase in same-day debit payments.

“Same Day ACH is an important part of the modern ACH network, and it is being embraced as the demand grows for faster payments,” Larimer said in a recent statement. “The next enhancement to Same Day ACH arrives in March, when the dollar limit per payment will quadruple to $100,000. This will make same-day ACH even more attractive to consumers and to businesses of all sizes.”

With the number of ACH transactions increasing year over year, continued growth is anticipated well into the future. ACH payments appear to be here to stay, even as the payments industry prepares for the roll out of FedNow, the Federal Reserve Bank’s 24x7x365 real-time gross settlement service.

Catalyst Corporate’s ACH Origination service offers credit unions a simple way to collect member loan payments from other financial institutions, send payments on behalf of members, pay vendors, originate direct deposit of payroll, and originate transactions for select employee groups (SEGs) and business members.

This web-based ACH system provides credit unions a secure database management tool that stores information for recurring transactions. An intuitive scheduling feature generates files automatically to help maximize efficiency.

Catalyst Corporate backs its service with support and training. Accredited ACH Professionals provide implementation, initial training and ongoing support for credit union staff. Webinar courses are also offered throughout the year to help equip credit union team members with the information required to manage all things ACH.

If you’re interested in learning more about this service, contact us today!