Payments

The Victor Platform currently offers three types of payments: ACH payments, wire transfers, and book transfers. Stay tuned as we add support for more payment types as we grow!

ACH Payments

The Automated Clearing House (ACH) is a payment network governed by the National Automated Clearing House Association (NACHA), which facilitates electronic bank-to-bank transfers.

ACH is a high-volume, low cost, batch based network for electronically transferring funds. ACH supports a majority of the transactions for consumers, businesses, and governments in the US. We support both debit and credit ACH transactions.

ACH Debits are transactions that withdraw or pull money from the receiving account. For example: A client needs to pay you for a monthly service, but they want you to debit their account automatically each month. In this case, the client provides you with their account details, and you initiate the debit transaction to pull the funds from their account. Because the transaction is initiated from your end, you are the originator and your client is the receiver of the debit transaction.

ACH Credits are transactions that deposit, or push money into the receiving account. For example: You need to pay your employees electronically using direct deposit. In this case, the employee provides you with their account details and you send a credit transaction to deposit the paycheck into their account. Because the transaction is initiated from your end, you are the originator and your employee is the receiver of the credit transaction.

Unlike wires, which are constantly processed through the day, the ACH network has set payment processing windows. Payments sent through the network are bundled into batches and sent to each individual receiving bank during the next processing window. The receiving banks then distribute the transactions in order to credit or debit the receiver accounts. In the case of debit transactions, the bank collects the funds from the receiver account and forwards them to the originator of the ACH transaction. Because of this, the exact timing around the settlement of ACH transactions varies depending on the financial institutions involved. The following cutoff times apply to Victor ACH payments:

Payment Type Submission Deadline
Standard ACH 6:45PM EST
Same-Day ACH 4:00PM EST

Since ACH is a batch process that runs on set processing windows, the Victor Platform batches and transmits payment requests to the financial institution ahead of the institution's processing cutoff times. As a result, ACH payments progress through a specific flow that can be tracked using the following statuses:

  • cancelled - ACH transfers submitted into the system, but are subsequently cancelled will show as being in a cancelledstate after the object is initially created, but before the next ACH cutoff time.
  • pending - ACH transfers are in a pending state after the object is initially created, but have not yet been processed by the sponsor bank for origination.
  • onhold - The transfer is onhold when it is awaiting an operational task that has been configured in the system i.e., an OFAC screening.
  • processing - Transfers are briefly in a processing state when they are transmitted to the sponsor bank for origination.
  • sent - ACH transfers are in a sent state after being transmitted to the financial institution for submission to the Fed ACH network. A sent status does not confirm that the transfer has been originated on the ACH network.
  • failed - Transfers are failed due to an issue while being processed. ACH transfers that are returned by the receiving institution while in the sent state will be transitioned to the failed state.
  • success - Transfers are marked as success after the configured funds' availability (ACH return window) time frame has lapsed. Successful ACH transfers can still receive a return.

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A Note on Returns

ACH payment rejections that happen while in Sent status will cause the original ACH transfer to be marked as Failed. Once an ACH transfer reaches the Success status, this means the ACH has left the originating bank, however, it can still be returned by the receiving bank. If this happens, a corresponding ACH Return transaction will be generated.

ACH Object Description

An ACH Object within the Victor Platform has the following fields:

Field Type Description
amount number Amount of the transfer to two decimal precisions (for example #####.##)
client_reference_id String Unique transaction identifier passed in by the client. Victor does not guarantee uniqueness of this identifier
counterparty_reference String ID of the Counterparty receiving the transfer. Counterparty object must contain ACH details
description String Optional 10 character description which appears on the receiver's statement
direction String Direction of the funds movement. Either CREDIT (outgoing to a counterparty) or DEBIT (incoming from counterparty)
originating_account_number String Account number of the account originating the transfer
schedule String Specifies whether this is to be sent same-day, next day, or a date in the future.
sec_code String Transfer type according to NACHA rules. Either CCD, PPD, or WEB
transfer_date String If the ACH is set to be sent for a day in the future, this field specifies the date when this ACH is to be sent.

Wire Transfers

Wires represent electronic funds transfers between two accounts at different financial institutions settled over the Fedwire system. Wire transfers are much faster than ACH transfers and can settle in a couple of hours, with the majority settling within 24 hours. Wires are, however, more expensive and cannot be reversed once settled.

Payment Type Submission Deadline
Domestic Wire 6:00PM EST

Wire transfers created in Victor are transmitted to the bank for processing shortly after they are created. The status of a wire transfer can be tracked through the following states:

  • Pending - Wire transfers enter a Pending state when the object is initially created.
  • Processing - Transfers are briefly in a Processing state while they are transmitted to the sponsor bank for origination.
  • Sent - Wire transfers enter into a Sent state after being transmitted to the financial institution for processing.
  • Success - Wire transfers are marked as being in a 'Success' state after being processed by the originating bank.
  • Failed - Transfers are marked as Failed when an issue occurs while being processed.

Wire Object Description

A Wire Object within the Victor Platform has the following fields:

Field Type Description
from_account_number String Account number of the account originating the transfer. This account must have an available balance larger than the transfer amount.
amount number Amount of the transfer to two decimal precisions (for example #####.##)
counterparty_id String ID of the Counterparty receiving the transfer. Ensure that the wire section of the Counterparty object contains valid information.
originator_to_beneficiary_info String Optional 140 character string message

Book Transfers

Book transfers represent intra-financial transfers between two accounts. While book transfers are the fastest and cheapest type of transfer, they are restricted to accounts held at the same bank.

There are two types of book transfers supported by the Victor Platform: Book Internal and Book External.

Book External

Book External transactions indicate a transaction between two different accounts held by different clients at the same financial institution. It should be noted that for this transaction type, the originating account and the receiving account should belong to different clients. The request payload parameter book_type should be set as external.

The originator account should have a sufficient funds balance to support the transaction and, upon a successful transaction completion, the respective debit and credit entries are made to both the originator and receiver accounts.

Book Internal

Book Internal transactions indicate a transaction between two different accounts held by the same client at the same financial institution. It should be noted that for this transaction type, the originating account and the receiving account should belong to the same client. Additionally, in the required payload, the parameter book_type should be set as internal.

The originating account should have a sufficient funds balance to support the transaction and, upon a successful transaction completion, the respective debit and credit entries are made to both the originating and receiving accounts.

Book Object Description

A Book Object within the Victor Platform has the following fields:

Field Type Description
originating_account_number String Account number of the account originating the transfer. This account must have an available balance larger than the transfer amount.
destination_account_number String Account number of the account receiving the transfer.
amount number Amount of the transfer to two decimal precisions (for example #####.##)
client_reference String Unique transaction identifier passed in by the client. Victor does not guarantee uniqueness of this identifier
description String Optional remarks field
type String Describes the type of book transfer. Allowable values are 'internal' or 'external'

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