Immediate Payments are real-time electronic transfers between accounts, providing instant availability to the receiver. They can be sent 24/7, including weekends and holidays, to financial institutions in the U.S. connected to the Federal Reserve’s FedNow or The Clearing House’s Real Time Payment system.
Immediate Payments provides settlement within minutes, ensuring funds are available right away. This is perfect for high-value or urgent transactions and improves your cash flow. Enhanced security features like tokenization and dual approvals reduce the risk of fraud. Plus, they’re available 24/7, including weekends and holidays. Finally, you only pay per transaction, avoiding unnecessary monthly fees.
Payments can be made to businesses or consumers as long as the receiving bank or financial institution is connected to the FedNow or Real Time Payment system.
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Immediate Payment
Wire
ACH
Best when
Funds must arrive within minutes, including nights, weekends and holidays.
Funds need to arrive quickly on a business day, especially for a large payment.
You can plan ahead and want a lower-cost option for routine or high-volume payments.
When funds arrive
Within minutes
Usually within one hour
Same business day or next processing day
Processing and cutoffs
Available 24/7/365. No daily cutoff.
Business days only. Submit by 4 p.m. ET. Not available on weekends, holidays or non-processing days.
• Same-day ACH : submit by 3:30 p.m. ET.
• Next-day ACH : submit by 8 p.m. ET.
Not available on weekends, holidays or non-processing days.
Recipient requirements
The recipient’s financial institution must accept RTP or FedNow. Requires the recipient’s routing number, account number and account type.
Requires the recipient’s wire instructions and a financial institution that accepts wire transfers.
Requires the recipient’s routing number, account number and account type. Most U.S. bank and credit union accounts can receive ACH payments.
Payment limits
Up to $10 million per payment.
We’ll set limits that fit your business and adjust them as needed.
We’ll set limits that fit your business and adjust them as needed. Same-day ACH is limited to $1 million.
Typical use
Urgent, time-sensitive payments
Occasional, high-value payments
Planned, recurring or high-volume payments
At 1st Source Bank, we are committed to staying at the cutting edge of technology to help our clients succeed. Instant payments represent a significant advancement in financial services, offering unparalleled speed, convenience, and security.
As a proud member of the U.S. Faster Payments Council’s thought leadership organization, 1st Source Bank actively contributes to the development and implementation of faster payment solutions. This underscores our dedication to innovation and our commitment to providing our clients with the best possible financial tools for today’s fast-paced world.
What to know before you enroll:
Payments can be sent to these participating Financial Institutions: FedNow or Real Time Payment system.
If you’re already a 1st Source Bank client, your banker can set you up easily and quickly– just give them a call or email.
Or simply reach out to our Treasury Services team. We’re happy to help!
Also called instant payments or real-time payments, immediate payments are transactions that are processed and settled instantly, allowing funds to be transferred between accounts within seconds. This service is available 24/7, providing immediate access to funds.
Immediate payment systems don't use traditional intermediaries like clearing houses and correspondent banks. Instead, they process transactions directly between the payer's and payee's banks. This direct connection eliminates delays associated with intermediary processing times.
Unlike traditional payment systems that batch transactions and settle them at specific intervals, immediate payment systems settle each transaction individually and continuously. This means that the funds are available to the recipient as soon as a payment is initiated and authorized.
Immediate payments use advanced encryption technologies and real-time fraud detection systems to protect against unauthorized transactions. Participating banks and financial institutions implement strong network security protocols and continuously monitor transactions for suspicious activity.
FedNow is the Federal Reserve's real-time payments network, launched in July 2023. It enables participating banks and credit unions to offer instant payment services to their customers, ensuring funds are available within seconds.
Launched in 2017, the Clearing House’s Real-Time Payment (RTP) network enables instant payments for consumers and businesses. It is available to all federally insured U.S. depository institutions, including banks and credit unions.
