ACH Transfers

Instant enables you to use ACH Transactions to send money between a Cardholder's Account and their external bank account. These transfers are useful for Account funding.

About ACH

The Automated Clearing House (ACH) is an electronic funds transfer network that facilitates interbank transfers. Since there are several parties involved, each requiring time to process the request and route the money to the next party, ACH transactions may take two to three business days.

ACH transfers are bidirectional. Through Galileo, you are able to initiate ACH credit Transactions (sending money to another Account) and ACH debit transactions (pulling money from another Account).

Creating an ACH Transaction

Step 1: Create an ACH Account

Use Plaid to create an ACH Account.

Step 2: Obtain the destination_account_id and source_account_id

Obtain the account_id for both Accounts involved in the transfer by sending a GET request to the Accounts endpoint, including the Cardholder's cardholder_id. The response will contain information, including the account_id, about the Spending Account as well as all ACH Accounts that have been created. Note that either the destination_account_id or the source_account_id must be the account_id of the Spending Account.

Step 3: Create the Transfer

Determine which Account from Step 2 above is the source Account and which is the destination Account. Send a POST request to the Transfers endpoint, including the source_account_id, the destination_account_id and the amount.

If the amount is greater than the source Account balance, the request will result in an insufficient_funds error.

A successful response contains a source_transaction_id and destination_transaction_id that maps the transfer to the corresponding Transactions. The Account now has a Transaction with a transfer type and an ach subtype in the Transaction History.

If the transfer is an ACH credit, it affects the Spending Account balance immediately. If the transfer is an ACH debit, the Transaction has a pending status and won't affect the Spending Account balance until the Transaction is complete, two or three business days after it is initiated.

ACH Transfers in Sandbox

It is possible to simulate ACH credits and debits in the Sandbox. When you initiate an ACH credit, the Spending Account balance is immediately debited and a transaction appears in the transaction history. When you initiate an ACH debit, the Spending Account balance is not debited and a transaction doesn't appear in the transaction history. In production, it takes a couple of days for these changes to take effect, but there isn't a process that runs in Sandbox to simulate the delayed arrival of ACH debits.


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