Remove Bank Routing Number Remove IRS Remove RDFI
article thumbnail

ACH Payment vs Wire Transfer: What’s the Difference and Which Payment Method Should You Use?

Stax

The utility company (the ODFI) passes the ACH files to the financial institution, which then sends a file with the payment request to the customer’s bank (the RDFI). The bank then completes the payment on behalf of the customer. Government payments – You can use ACH to pay individual and business taxes to the IRS.