You Can Now Send Same-Day ACH Payments With MagicDoor
Waiting several days for rent payments to clear? Not anymore.
MagicDoor now offers same-day ACH payments, helping landlords receive funds faster and tenants avoid delays or late fees. This update brings a smarter way to handle property transactions by cutting down the wait time tied to traditional bank transfers.
Whether you’re collecting rent, issuing vendor payments, or managing outgoing expenses, same-day ACH gives you more control.
This blog explains how it works, what makes it different from standard ACH, and why it’s a meaningful upgrade for landlords and tenants.
What Are Same-Day ACH Transactions?
Same-day ACH transactions are electronic payments processed through the Automated Clearing House (ACH) network that settle on the same business day they are initiated.
Unlike traditional ACH transfers, which typically take one to three days, this option accelerates the process so payments arrive faster.
The ACH system, managed by the National Automated Clearing House Association (NACHA) and the Federal Reserve's settlement service, moves money between bank accounts via a secure electronic payments network.
It supports ACH debits (pulling funds) and ACH credits (pushing funds).
These direct payments are widely used for payroll, vendor payments, utility bills, insurance premiums, tax refunds, and social security benefits. Same-day processing offers a quicker alternative to wire transfers or card payments, whether paying a contractor or receiving funds from a government entity.
Differences Between Standard ACH & Same-Day ACH
Standard and Same-Day ACH payments move funds through the automated clearing house (ACH) network but differ in speed, cost, and cutoff times.
Standard ACH transactions typically take one to three business days to settle. They’re commonly used for direct deposits, bill payments, and recurring payments. Most ACH transfers processed this way move through the Federal Reserve's settlement system in daily batches.
Same-day ACH, on the other hand, allows ACH debit and ACH credit transactions to clear within hours, on the same business day, assuming the originating depository financial institution meets the submission window.
That makes it ideal for urgent direct payments, vendor payments, or last-minute money transfers.
The processing method is the same: the sender submits an ACH request using an account and bank routing number. The ACH operator then routes the transaction to the receiving depository financial institution.
While most ACH transactions settle on future dates, same-day service speeds up the process, giving businesses better cash flow visibility and individuals faster access to incoming electronic payments.
Benefits of Same-Day ACH for Property Management for Landlords & Tenants
Faster Rent Collection & Processing
Same-day ACH payments allow landlords to receive tenant payments on the same business day, rather than waiting for traditional ACH transfers or mailing checks.
Funds move securely via the ACH network, using a bank account and routing numbers. There is no need for in-person deposits or manual processing.
Whether rent is submitted early or right on the due date, the automated clearing house system ensures it lands faster, improving reliability and reducing late fees or delays tied to ACH transfer requests.
Improved Cash Flow Management
With rent hitting accounts faster through same-day service, property managers can track direct payments in real-time and better manage interest payments, mortgage obligations, or contractor fees.
Faster electronic transfers through the ACH payment system also reduce reliance on wire transfers, offering a more affordable and predictable method. Knowing exactly when ACH credits arrive makes it easier to forecast available funds and schedule bill payments, repairs, or distributions without guesswork.
Same-day ACH debit transactions also give tenants peace of mind when paying on time.
Increased Tenant Satisfaction
Renters value convenience. Being able to pay bills or submit rent through electronic payment methods, with the confidence that it’ll clear that day, builds trust.
With ACH direct deposit and ACH debit options available for flexible payments from one bank account, tenants don’t have to plan days in advance or worry about float times. Payments made with a morning transfer request can reach a credit union, bank, or receiving financial institution within hours.
That reliability supports stronger tenant-landlord relationships and reduces disputes related to timing.
How MagicDoor Integrates Same-Day ACH Payments
Step-by-Step Guide to Sending Payments
MagicDoor simplifies initiating same-day ACH payments through our intuitive platform. Here's how to get started:
- Submit business info
- Add bank account
- Click "Link Plaid" (Plaid asks for bank statements)
Security Measures in Place
MagicDoor prioritizes the security of your financial transactions by implementing robust measures:
- Secure bank linking: MagicDoor utilizes Plaid to offer a secure method of connecting your bank account, safeguarding sensitive information during ACH transfer requests.
- Data encryption: All electronic transfer data is encrypted, protecting ACH payments and direct deposits from unauthorized access.
- Compliance with financial standards: MagicDoor adheres to industry regulations and collaborates with NACHA financial institutions to maintain the integrity of the ACH payment system.
These security protocols ensure landlords and tenants can confidently engage in electronic payments through the platform.
Supported Financial Institutions & Limitations
MagicDoor's integration with Plaid allows users to connect with various depository financial institutions, including major banks and credit unions.
However, there are some considerations:
- Institution compatibility: While many financial institutions support Plaid, some may have restrictions. It is advisable to verify that your originating and receiving depository financial institutions are compatible with Plaid for seamless ACH transfers.
- Transaction limits: Be aware of any limits imposed by your bank on ACH debit or ACH credit transactions, as these can affect the processing of same-day service payments.
- Processing times: Although MagicDoor facilitates same-day ACH payments, factors such as bank cut-off times and holidays may impact the exact timing of fund availability.
Conclusion
Same-day ACH opens the door to faster payments, fewer delays, and more transparency in property management.
With rent arriving the same business day, landlords gain better cash flow visibility while tenants enjoy reliable, last-minute payment options. It’s a win for everyone, especially when dealing with deadlines, repairs, or sensitive vendor timelines.
If you haven’t yet set up your ACH payment system through MagicDoor, now’s a great time to do it.
Once approved, linking your account via Plaid takes just a few clicks, and you’ll be ready to send or receive payments that same day.
Have questions or need help with setup? Check out the MagicDoor help page or contact the team anytime, we’re here to help you make the most of every transaction.
Frequently Asked Questions
Can ACH payments go through the same day?
Yes, if both the sending and receiving financial institutions support same-day processing, ACH payments can settle within hours. This depends on cutoff times and whether the transaction qualifies under current same-day rules.
What is the limit for same day ACH?
As of 2024, the per-transaction limit for same-day ACH is $1 million. This cap applies to both ACH credit and debit transactions and is set by Nacha, the organization that governs the ACH network.
Are ACH funds available immediately?
Not always. Even with same-day processing, availability depends on the receiving bank’s policies. Funds may be processed the same day but could take additional time to post to your account, especially outside business hours.
What is the difference between ACH and Nacha?
ACH refers to the electronic network used for transferring money between U.S. bank accounts. Nacha (National Automated Clearing House Association) is a nonprofit organization that oversees the rules and standards for the ACH network.