Why does it take 48 hours to process an ACH credit when some banks can do it in 24 hours?
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It's usually a matter of meeting deadlines. There are various deadlines during the banking day for banks to deposit ACH credit transactions with their Automated Clearing House operators. Earlier deadlines often ensures delivery to the Receiving Depositary Financial Institution (RDFI) on the next business day. Later deadlines in the day may mean that delivery will occur on the second business day.
In the current ACH infrastructure, transactions are handled in batches, not instantaneously. Routing of transactions from one institution to another may take three or four batch processes, especially if more than one ACH operator (think of several ACH hub and spoke configurations) is involved.
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It's usually a matter of meeting deadlines. There are various deadlines during the banking day for banks to deposit ACH credit transactions with their Automated Clearing House operators. Earlier deadlines often ensures delivery to the Receiving Depositary Financial Institution (RDFI) on the next business day. Later deadlines in the day may mean that delivery will occur on the second business day.