Why don't bank ACH transactions process on non-business days?

[crypticlogin]

After doing some transfers and noting when my money's *actually* posted, I was just wondering. For the bank folk: Now that practically all banks can handle ACH transactions, why don't transactions process during non-business days e.g. weekends? Isn't the system basically automated and doesn't require a warm body to say "OK, post this now"? Or ii this just a held over practice from when paper checks were king?

 

[rudder]

For the same reason a credit card purchase can instantly be billed to your account, but when you pay your credit card bill online, it takes 3-5 days to process. Banks just sit around and think up ways to piss people off.

 

[Zee]

Better answer below

 

[MemnochtheDevil]

Originally posted by: tenchim
After doing some transfers and noting when my money's *actually* posted, I was just wondering. For the bank folk: Now that practically all banks can handle ACH transactions, why don't transactions process during non-business days e.g. weekends? Isn't the system basically automated and doesn't require a warm body to say "OK, post this now"? Or ii this just a held over practice from when paper checks were king?

Nope, my wife works in ACH and I can tell you quite a bit of it is still not completely automated. Due to reversals and human errors in setting the ACH's up, people need to balance tickets and are an essential part of the process. The reason why banks don't process on weekends? The fed has to be open for the system to take place.

There is at least one commitee looking at various updates to the system, but financial systems move slowly...