Automated Clearing Houses (ACHs)

Automated Clearing Houses (ACHs) are electronic payment systems that process and settle large volumes of credit and debit transactions, typically involving low-value, non-urgent payments. ACHs facilitate the clearing and settlement of transactions between banks and other financial institutions within a specific region or country, providing an efficient, cost-effective alternative to paper-based payment methods, such as checks.

Some of the largest ACHs in Europe include:

1. STEP2: Operated by EBA Clearing, STEP2 is a Pan-European ACH that processes SEPA Credit Transfers (SCTs) and SEPA Direct Debits (SDDs) across the Single Euro Payments Area (SEPA). STEP2 is one of the largest ACHs in Europe, connecting banks and financial institutions across the entire SEPA region.
2. BACS (Bankers' Automated Clearing Services): BACS is a UK-based ACH that processes electronic credit transfers and direct debits in British pounds. BACS processes millions of transactions daily, including salary payments, pensions, and government benefits.
3. Equens: Equens is a European payment service provider that operates an ACH, processing euro-denominated credit transfers and direct debits within the SEPA region. Equens is a subsidiary of the Italian company SIA Group.

Some of the largest ACHs globally include:

1. The Automated Clearing House (ACH) Network in the United States: The ACH Network is a nationwide electronic payment system that processes large volumes of credit and debit transactions in the United States. It is operated by two main ACH operators, The Clearing House (TCH) and the Federal Reserve. Transactions processed through the ACH Network include direct deposits, bill payments, and business-to-business payments.
2. BECS (Bulk Electronic Clearing System) in Australia: BECS is an Australian ACH that processes electronic credit transfers and direct debits in Australian dollars. BECS is operated by the Australian Payments Network (AusPayNet), which is the self-regulatory body for the Australian payments industry.
3. NETS (National Electronic Funds Transfer System) in India: NETS is an Indian ACH that processes electronic credit transfers and direct debits in Indian rupees. NETS is operated by the National Payments Corporation of India (NPCI), which is the umbrella organization for retail payment systems in India.

In summary, Automated Clearing Houses (ACHs) are electronic payment systems that process and settle large volumes of credit and debit transactions, typically involving low-value, non-urgent payments. Some of the largest ACHs in Europe include STEP2, BACS, and Equens, while globally, the ACH Network in the United States, BECS in Australia, and NETS in India are among the largest.