ACH (Automatic Clearing House) is a nationwide electronic funds transfer system governed by NACHA rules, with the Federal Reserve and Electronic Payments Network as central clearing operators.
ACH is an acronym that stands for Automatic Clearing House. The ACH Network is a highly reliable and efficient nationwide batch-oriented electronic funds transfer system, governed by the NACHA Operating Rules which provide for the interbank clearing of electronic payments for participating depository financial institutions. The Federal Reserve and Electronic Payments Network act as ACH Operators, central clearing facilities through which financial institutions transmit or receive ACH entries.