article thumbnail

What is an Originating Depository Financial Institution (ODFI)?

Paystand

What is a receiving depository financial institution (RDFI)? The future of digital payments and ODFIs Table of Contents What is an originating depository financial institution (ODFI)? What are the two most common types of depository institutions? How does an ODFI work?

ODFI 40
article thumbnail

ACH Reversals vs. ACH Returns: What’s the Difference?

EBizCharge

An ACH return occurs when a digital payment transaction can’t be processed. When this happens, the Receiving Depository Financial Institution (RDFI) automatically initiates a return of the funds to the Originating Depository Financial Institution (ODFI). What is an ACH return? So, how long does an ACH reversal take?

ACH 52
article thumbnail

ACH Payment vs Wire Transfer: What’s the Difference and Which Payment Method Should You Use?

Stax

According to a 2023 study by Forrester , 69% of online adults in the US said they’d used electronic payments at least once in the past three months. Brainy Insights valued the digital payments market at $102.60 Your bank sends the ACH files with the payment details based on the ACH instructions to the utility company (merchant).