What is an ACH payment?

Anna Meehan

In an increasingly digital world, financial transactions are evolving rapidly. Among the various methods available, ACH payments have gained traction in recent years. If you're unfamiliar with ACH payments or simply wish to understand them better, this guide is for you.

This article will also look at why when looking for a payments platform, you should consider one with connections to local payments networks such as ACH, SWIFT, or others.

About Equals Money

What is an ACH payment?

At its core, an ACH (Automated Clearing House) payment is a type of electronic bank-to-bank payment in the US. It facilitates the transfer of funds between banks without using paper cheques, wire transfers, or credit card networks. Think of it as a direct debit or standing order in the UK but with more versatility.

This network processes large volumes of credit and debit transactions in batches. It can accommodate various payment types, from large-scale business transactions to smaller, individual direct bill payments. Essentially, ACH transactions streamline the financial process, making payments quicker and less prone to errors than traditional methods.

Why should UK readers care about ACH payments?

While ACH is primarily a US system, its underlying principle of seamless electronic transactions is universal. Recognising and understanding such systems aids UK businesses and individuals in managing international payments, especially if they deal with US partners or customers. As the business landscape becomes increasingly globalised, the lines between domestic and international transactions blur. For UK businesses looking to expand their horizons, understanding mechanisms like ACH can offer a competitive edge. It signifies a readiness to engage in global commerce, ensuring smoother transactions and fostering trust among international partners.

The advantage of local connections

This brings us to the importance of local network connections. Using a payments provider that is directly connected to local payments networks such as ACH, or more local ones like SWIFT and UK Faster Payments, offers numerous benefits:

  1. Speed: Transactions are faster because they don't have to pass through multiple intermediaries.
  2. Security: Direct connections reduce potential points of vulnerability, ensuring safer transactions.
  3. Cost-Effective: Fewer middlemen often mean reduced transaction fees.
  4. Real-time Tracking: Platforms connected directly to local networks often provide real-time tracking, enhancing transparency.

Connect to local payments networks with Equals Money

Equals Money is an example of a payments platform directly connected to established networks like SWIFT and UK Faster Payments. This not only ensures rapid and secure transactions, but also provides users with the peace of mind they need when dealing with financial matters.

For those dealing with international clients or services, or even those seeking to optimise their domestic transactions, choosing a provider with such extensive connections is key.


Understanding ACH payments and the concept behind them provides insight into the ever-evolving world of digital transactions. For those in the UK, recognising the significance of platforms connected directly to local networks becomes even more crucial. Equals Money, with its direct connections, offers a solution for those seeking efficiency, security, and speed in their transactions. Get in touch today to see how you can benefit from connecting to local networks.

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