The Automated Clearing House network is a batch-based electronic payment system that moves funds directly between US bank accounts. A business initiates an ACH payment through its bank, the payment is grouped with others and processed in batches, and the money lands in the recipient's account, typically within one to three business days depending on the timing of the batch and the receiving bank.
For the paying business, ACH is usually the cheapest way to send a domestic payment: many banks charge a small flat fee or nothing at all for standard ACH transfers, compared with the per-transaction fee a wire carries. That cost profile, combined with straightforward automation through accounting software, is why accounts-payable teams default to ACH for recurring or routine vendor payments and reserve wires for cases that need same-day certainty.
ACH only moves dollars between US accounts; it is not used for international transfers. A vendor outside the United States cannot receive an ACH payment directly into a foreign bank account, which is one reason a US client paying a foreign vendor by ACH generally needs that vendor to have a US-based receiving entity on the invoice, such as a merchant of record, rather than a personal account abroad.
For a freelancer outside the United States, the appeal of ACH is entirely on the client's side: it is the payment method a US accounts-payable team already knows, already trusts and already prefers over a wire, precisely because it is boring and domestic. PANORAMA payments accepts client payments by ACH into its US account, which means the client's finance team pays the way it always pays, while the freelancer is paid out separately by a method that matches their own country. For the details of that setup, see receiving ACH payments as a non-US freelancer.
How long does an ACH payment take to arrive?
Typically one to three business days from initiation, depending on when the payment is submitted relative to the bank's processing cutoff and which day the receiving bank posts it. It is not instant, unlike a wire, but it is far cheaper for routine payments.
Can a freelancer outside the United States receive an ACH payment directly?
No. ACH moves funds between US bank accounts only, so a freelancer without a US bank account cannot be paid by ACH directly. A US client can still pay by ACH into a US company's account, such as a merchant of record, which then pays the freelancer through a method suited to their own country.
Why do accounts-payable teams prefer ACH over a wire?
Mainly cost and routine: ACH is typically free or low cost and integrates easily with recurring vendor payment runs, while a wire carries a per-transaction fee and is usually reserved for payments that need to move the same day.