Payment rails
The networks and systems that move money between accounts, such as ACH, wires, card networks, RTP and FedNow, each with its own rules and timing.
What payment rails are
Payment rails are the infrastructure that moves money from one account to another. In the US, the main bank rails are ACH, wires and the instant payment networks RTP and FedNow. Wires run over Fedwire and the Clearing House Interbank Payments System (CHIPS). Card networks and newer options, such as stablecoins, also act as rails.
How it works
Each rail has an operator, membership rules and a settlement method. ACH settles in batches, Fedwire and instant payments settle one by one, and card payments settle after clearing. Platforms often connect to several rails through one bank partner.
- 01 · CHOOSE The payer or platform picks a rail based on speed, cost, amount and reach.
- 02 · SEND The payment goes out under that rail's format, cutoffs and limits.
- 03 · SETTLE Banks settle on the rail's schedule, and the recipient is credited.
| Rail | How it settles | Availability |
|---|---|---|
| ACH | In batches, same day or within two business days | Business days |
| Fedwire | One by one, in real time | 22 hours on business days |
| RTP and FedNow | One by one, in seconds | 24/7/365 |
| Card networks | After daily clearing | Authorization at any hour; funds usually settle on business days |
Limits differ by rail, such as network maximums of $10 million per payment on RTP and FedNow.
When businesses use it
- Payroll and recurring bills over ACH
- Large or urgent payments by wire
- Instant payouts and pay-ins over RTP and FedNow
- Card acceptance and push-to-card payouts over card networks
Cross River's multi-rail, API-based bank core connects companies to RTP, FedNow, ACH and wires through a single integration, with one onboarding process for all rails. See bank rails at Cross River.