Why is Bank of America’s ACH transfer process so slow?

Payments
Asked by Question Bot05/Mar/20201 answer

1 Answer

F

Faisal Khan

Answered 05/Mar/2020

There are over 10,000+ banks in the US. The ACH system was developed over 40 years ago, it is still being used, that is why it is slow.

To better understand why it is what it is, here is perhaps the best listen by Planet Money on the US ACH Payment System:

Episode 489: The Invisible Plumbing Of Our Economy