Enabling Same Day ACH for your program makes it possible for ACH settlements to conclude on the same banking day they’re initiated, depending on the time of day they were submitted. The conventional ACH system typically takes 2–4 days to complete transactions, which can potentially disrupt cash flow and impede the speed of business operations. While faster alternatives like wire transfers exist, they often come with significantly higher fees, which can make them impractical for routine transactions. Conversely, Same Day ACH may provide a cost-effective solution with faster money movement, which may facilitate a new revenue stream for platforms, allow account holders faster access to funds, and help mitigate risks tied to transactional delays. The Federal Reserve's extension of ACH times gives businesses the ability to offer multiple ACH processing times throughout the day, while continuing to adhere to Nacha guidelines.
Same Day ACH is considered a premium service at Galileo and requires approval from a sponsor bank.
## Same Day ACH use cases
ACH network users can benefit from Same Day ACH over standard ACH processing in a variety of ways. The primary use cases below provide a glimpse into its versatile applications across different transactional contexts and the benefits they may provide:
**Invoice and tax payments** – Faster payment of invoices on or after the due date. **New revenue stream** – Clients offering Same Day ACH to their business customers can open up a new revenue stream by charging a small fee for Same Day ACH transactions.
**Payroll** – Faster payroll payments for hourly or temporary workers, and faster options for off-cycle payments such as bonuses or emergency payments. **Urgent claims payments and refunds** – Quicker payout of insurance claim payments, disaster assistance payments, and other rebates, refunds and reimbursements.
**Bill payment** – Faster payment of bills on or after the due date. **Collection payments** – Enabling Same Day payoff of past-due accounts. **Merchant debit payments** – Faster returns for consumer payments.
**Account-to-account payments** – Movement of funds between accounts held by the same person at different financial institutions (“me-to-me”). For example, funding of a prepaid or mobile account. **Person-to-person payments** – Quicker delivery of funds for transfers among family members or friends.
## Program API functionality
To post a Same Day ACH request, call the <a href="ref:post_createachtransaction" target="_blank">Create ACH Transaction</a> endpoint with `
sameDay: Y`. Debit transactions sent with `
sameDay: Y` and `
holdDays: 0` makes funds available immediately (sponsor bank approval needed for hold days override).
If Same Day is not enabled, the Create ACH Transaction API returns a `
same_day_warning` indicating that the request will be processed as a regular ACH transaction, then advise you to contact Galileo.
**Program Limit Reached for Same Day** — Per your program settings, transactions cannot exceed [value from ACSDL]. This transaction will be processed as a regular ACH transaction and follow the regular ACH processing timeline.
## Same Day ACH processing
When posting a Same Day transaction, keep these deadlines in mind. If a transaction is initiated after the last cutoff time, it will be included in the first Same Day slot of the following business day.
**Processing window** — Identifies which of the three available timeframes a transaction will be processed.
**Cutoff time to send API call to Galileo** — The cutoff time for Galileo clients to initiate outgoing transactions for the specified time slot.
**Settlement time** — Corresponding time that funds are available to the receiver for Same Day ACH.
This table shows the timelines for the three ACH processing windows\*. Times are in Eastern Time (but be aware that Galileo System Time is Arizona Time (UTC-07:00), which does not observe daylight saving).
|Processing window||Cutoff to send API call to Galileo||Settlement time|
|First window||09:00 ET||13:00 ET|
|Second window||13:00 ET||15:00 ET|
|Third window||15:00 ET||18:00 ET|
<sub>\*Due to Pathward’s and MCB's file processes, time frames may be different for Pathward and MCB clients.</sub>
For fraud mitigation, <a href="doc:ach-at-galileo#ach-hold-days" target="_blank">ACH hold days</a> are applied to **outgoing ACH debits** only, which dictate when funds are made available to spend in the cardholder’s account.
## Same Day ACH timing
Same Day ACH transactions follow the same general process described for ACH debits in the <a href="doc:about-ach#ach-transaction-overview" target="_blank">ACH transaction overview</a> section of the About ACH guide, with the key difference being _when_ the Nacha file is generated.
The originator makes an ACH debit request to move funds out of the receiver’s account at 08:30 ET and provides the receiver’s bank account number and routing number.
The <<glossary:ODFI>> generates a Nacha file, batching all pending Same Day ACH records prior to the first cutoff time at the 09:00 ET, as coordinated with the bank.
The ACH operator processes the Nacha file and sends the transactions to the <<glossary:RDFI>> for Same Day processing.
The RDFI debits the receiver’s account according to instructions in the Nacha file.
The ODFI credits the originator account with the funds at 13:00 ET.
add after these are added to prod
### Same Day warning messages
**Same Day Feature Not Enabled** — Your program isn't set up for Same Day ACH Transactions. To enable this feature, contact Galileo. This transaction will be processed as a regular ACH transaction and follow the regular ACH processing timeline.
**System Limit Reached for Same Day** — Transactions for Same Day ACH cannot exceed $1M. This transaction will be processed as a regular ACH transaction and follow the regular ACH processing timeline.
**Missed Last Slot** — This transaction was received after today's final cut-off time for initiating Same Day ACH transactions. This transaction will now be processed on the next business day as per the first time slot.
**Program Limit Exceeded** — Per your program settings, transactions cannot exceed [value from ACSDL]. This transaction will be processed as a regular ACH transaction and follow the regular ACH processing timeline.
## Galileo setup
|ACHSD||Program||Must also be set to `|
|ACSDL||Program||Specifies a threshold below the Nacha limit of $1M for each Same Day ACH transaction originated by a customer within a program. If this limit is surpassed, the transaction transitions to a standard processing timeframe instead of Same Day, without being rejected.|
|ACOHD||Product||Specifies whether to override the default hold days, using an optional parameter called `|
|ACHPT||Product||Specifies the number of hours after midnight <a href="ref:galileo-system-time" target="_blank">Galileo System Time</a> to post outgoing ACH debits. When this parameter is not set, outgoing ACH debits post at midnight. Hold days go into effect immediately, but when ACHPT is set, it requires a refresh overnight. Same Day processing does not apply to incoming ACH credits.|
|HDACH||Product||If set to `|
|ACSDH||Product||Used to set the number of hold days for Same Day ACH (banking days or calendar days as dictated by HDACH, and expiry time dictated by ACHPT, as applicable).|