Best ACH Transfer Brokers 2024
ACH Transfer deposits are a convenient way for traders to fund a trading account, or even make a rent payment or buy clothes. This guide will unpack all you need to know about the payment method, including security, fees, speed and more. As automated payments continue to rise in popularity, it is worth having an understanding of how an ACH transfer works and the value one holds. We have also compiled a list of the top brokers supporting ACH Transfer deposits.
Best ACH Transfer Brokers
Based on our evaluation, these are the best 5 brokers that offer ACH transfers:
ACH Transfer Brokers Comparison
| Broker | Minimum Deposit | Instruments | Platforms | Leverage | Visit |
|---|---|---|---|---|---|
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$0 | Forex, Crypto | OANDA Trade, MT4, TradingView, AutoChartist | 1:50 | Visit |
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$100 | CFDs, Forex, Stocks, Cryptos, Futures, Options, Commodities | MT4, MT5, TradingView, eSignal, AutoChartist, TradingCentral | 1:200 (Retail), 1:500 (Pro) | Visit |
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$0 | Stocks, Options, Futures, Forex, Funds, Bonds, ETFs, Mutual Funds, CFDs, Cryptocurrencies | Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, eSignal, TradingCentral | 1:50 | Visit |
|
$0 | Forex, Stocks, Options, Commodities, Futures, Crypto | NinjaTrader Desktop, Web & Mobile, eSignal | 1:50 | Visit |
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$0 | Stocks, ETFs, Bonds, Mutual Funds, Options, GICs | TradingCentral | - | Visit |
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$100 | Futures on Forex, Commodities, Cryptos, Indices, Interest Rates | WebTrader, App | - | Visit |
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$0 | Stocks, Options, ETFs, ADRs, OTCs | Desktop Platform, Mobile App | 1:2 | Visit |
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$10 | Stocks, Options, ETFs, Crypto | eToro Trading Platform & CopyTrader | - | Visit |
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$0 | Cryptos | Desktop Platform, Mobile App | - | Visit |
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$0 | Stocks, ETFs, Options, Mutual Funds, Bonds, Cryptos, Fixed | Own | - | Visit |
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$0 | Cryptos | ActiveTrader, AlgoTrader, TradingView | - | Visit |
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$2500 | Stocks, ETFs, Cryptos, Options, Bonds | Own | - | Visit |
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$0 | Cryptos | AlgoTrader | - | Visit |
#1 - OANDA US
Why We Chose OANDA US
OANDA is a popular brand offering exceptional execution, low deposit requirements and advanced charting and trading platform features. The top-rated brand has over 25 years of experience and is regulated by trusted agencies, including the NFA/CFTC. Around the clock support is available for short-term traders, alongside flexible contract sizes and automated trade executions.
"OANDA remains an excellent broker for US day traders seeking a user-friendly platform with premium analysis tools and a straightforward joining process. OANDA is also heavily regulated with a very high trust score."
- DayTrading Review Team
- Instruments: Forex, Crypto
- Regulator: NFA, CFTC
- Platforms: OANDA Trade, MT4, TradingView, AutoChartist
- Minimum Deposit: $0
- Minimum Trade: 0.01 Lots
- Leverage: 1:50
Pros
- The broker offers a transparent pricing structure with no hidden charges
- OANDA is a reliable, trustworthy and secure brand with authorization from tier-one regulators including the CFTC
- There's a strong selection of 68 currency pairs for dedicated short-term forex traders
Cons
- The range of day trading markets is limited to forex and cryptos only
- It's a shame that customer support is not available on weekends
- There's only a small range of payment methods available, with no e-wallets supported
#2 - FOREX.com
Why We Chose FOREX.com
Founded in 1999, FOREX.com is now part of StoneX, a financial services organization serving over one million customers worldwide. Regulated in the US, UK, EU, Australia and beyond, the broker offers thousands of markets, not just forex, and provides excellent pricing on cutting-edge platforms.
"FOREX.com remains a best-in-class brokerage for active forex traders of all experience levels, with over 80 currency pairs, tight spreads from 0.0 pips and low commissions. The powerful charting platforms collectively offer over 100 technical indicators, as well as extensive research tools."
- DayTrading Review Team
- Instruments: CFDs, Forex, Stocks, Cryptos, Futures, Options, Commodities
- Regulator: NFA, CFTC, CIRO, FCA, CYSEC, ASIC, SFC, FSA, MAS, CIMA
- Platforms: MT4, MT5, TradingView, eSignal, AutoChartist, TradingCentral
- Minimum Deposit: $100
- Minimum Trade: 0.01 Lots
- Leverage: 1:200 (Retail), 1:500 (Pro)
Pros
- With over 20 years of experience, excellent regulatory oversight, and multiple accolades including runner-up in our 'Best Forex Broker' awards, FOREX.com boasts a global reputation as a trusted brokerage.
- There’s a wealth of educational resources including tutorials, webinars, and a stacked YouTube channel to help you get educated in the financial markets.
- Alongside a choice of leading platforms, FOREX.com offers a superb suite of supplementary tools including Trading Central research, SMART Signals pattern scanner, trading signals, and strategy builders.
Cons
- There’s no negative balance protection for US clients, so you may find yourself owing more money than your initial deposit into your account.
- Demo accounts are frustratingly time-limited to 90 days, which doesn’t give you enough time to test day trading strategies effectively.
- Despite increasing its range of instruments, FOREX.com's product portfolio is still limited to forex and CFDs, so there are no options to invest in real stocks, real ETFs or real cryptocurrencies.
#3 - Interactive Brokers
Why We Chose Interactive Brokers
Interactive Brokers (IBKR) is a premier brokerage for experienced traders, providing access to 150 markets in 33 countries, along with a suite of comprehensive investment services. With over 40 years of experience, this Nasdaq-listed firm adheres to stringent regulations by the SEC, FCA, CIRO, and SFC, amongst others, and is one of the most trusted brokers for trading around the globe.
"Interactive Brokers is one of the best brokers for advanced day traders, providing powerful charting platforms, real-time data, and customizable layouts, notably through the new IBKR Desktop application. Its superb pricing and advanced order options also make it highly attractive for day traders, while its diverse range of equities is still among the best in the industry."
- DayTrading Review Team
- Instruments: Stocks, Options, Futures, Forex, Funds, Bonds, ETFs, Mutual Funds, CFDs, Cryptocurrencies
- Regulator: FCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB
- Platforms: Trader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, eSignal, TradingCentral
- Minimum Deposit: $0
- Minimum Trade: $100
- Leverage: 1:50
Pros
- While primarily geared towards experienced traders, IBKR has made moves to broaden its appeal in recent years, reducing its minimum deposit from $10,000 to $0.
- There's a vast library of free or paid third-party research subscriptions catering to all types of traders, plus you can enjoy commission reimbursements from IBKR if you subscribe to Toggle AI.
- The new IBKR Desktop platform takes the best of TWS while adding bespoke tools like Option Lattice and Screeners with MultiSort to create a genuinely impressive trading experience for day traders at every level.
Cons
- TWS’s learning curve is steep, and beginners may find it challenging to navigate the platform and understand all the features. Plus500's web platform is much better suited to new traders.
- IBKR provides a wide range of research tools, but their distribution across trading platforms and the web-based 'Account Management' page lacks consistency, leading to a confusing user experience.
- Support can be slow and frustrating based on tests, so you might find it challenging to reach customer service representatives promptly or encounter delays in resolving issues.
#4 - NinjaTrader
Why We Chose NinjaTrader
NinjaTrader is a US-headquartered and regulated brokerage that specializes in futures trading. There are three pricing plans to suit different needs and budgets, as well as ultra-low margins on popular contracts. The brand's award-winning charting software and trading platform also offers a high-degree of customization and superb technical analysis features.
"NinjaTrader continues to meet the demands of active futures traders looking for low fees and premium analysis tools. The platform hosts top-rate charting features including hundreds of indicators and 10+ chart types."
- DayTrading Review Team
- Instruments: Forex, Stocks, Options, Commodities, Futures, Crypto
- Regulator: NFA, CFTC
- Platforms: NinjaTrader Desktop, Web & Mobile, eSignal
- Minimum Deposit: $0
- Minimum Trade: 0.01 Lots
- Leverage: 1:50
Pros
- You can get thousands of add-ons and applications from developers in 150+ countries
- Traders can get free platform access and trade simulation capabilities in the unlimited demo
- NinjaTrader continues to deliver comprehensive charting software for active day traders with bespoke technical indicators and widgets
Cons
- The premium platform tools come with an extra charge
- There is a withdrawal fee on some funding methods
- Non forex and futures trading requires signing up with partner brokers
#5 - Qtrade
Why We Chose Qtrade
Qtrade is an award-winning Canadian financial services firm that offers a selection of investing accounts with $8.75 and $6.95 stocks, mutual fund trades and 100+ commission-free ETFs. This is a long-running brand that is well regarded in Canada, where many investors choose it to build their savings account or pension pot. QTrade is also highly trusted and authorized by the Canadian Investment Regulatory Organization (CIRO).
"Qtrade is a good match for Canadian traders who are looking for a reputable and regulated broker to make longer-term investments as well as leveraged trades."
- DayTrading Review Team
- Instruments: Stocks, ETFs, Bonds, Mutual Funds, Options, GICs
- Regulator: CIRO
- Platforms: TradingCentral
- Minimum Deposit: $0
- Minimum Trade: Variable
Pros
- Easy to use and award winning platform and customer experience
- 100+ commission-free ETFs
- One of the best investment platforms on offer in Canada
Cons
- Only available to residents of Canada. So if you are residents of Dubai, the UK or Lebanon, you will not be eligible
- Commissions of $8.75 per equity can stack up
- Transfer out fee
What Is ACH Transfer?
An ACH transfer is a transfer of funds processed through the automated clearing house (ACH) network. Although today, ‘ACH’ has become a generic term for such systems. Transfers are electronic and take place between banks (bank-to-bank). The ACH network (or equivalent) batch processes these transfers. These large-volume, aggregated transactions typically occur three times per business day.
An ACH transfer is essentially the modern-day equivalent of a paper cheque. However, while the basic logic is the same, it is a more reliable, quicker and cheaper method of payment. Examples of ACH transfers used today include direct deposits from an employer or government benefit program, bill payments and person-to-person transfers. They can also be used to make recurring payments into a savings account such as a college fund or retirement account or to fund a live trading account. In 2020, more than 2 billion ACH transfers were initiated.
In recent years, ACH transfers have become an increasingly popular way to fund live trading accounts. Many brokers and exchanges, including popular platforms Robinhood and Binance, accept the payment method, with more set to follow suit.
The primary value of an ACH transfer lies in its security, ease of use and efficiency. They are also usually free. There are no specific requirements and limits for the system, you only need a bank account.
How Does An ACH Transfer Work?
There are two types of ACH transfers; ACH Direct Deposits and ACH Direct Payments. ACH Direct Deposit is an electronic transfer made from a business or government organisation to a consumer, e.g. tax refunds and government benefits. An ACH Direct Payment is a transfer made between individuals, businesses and other organisations. Examples include payments made on social apps such as Venmo, Monzo and Zelle.
ACH transfers are facilitated by most reputable banks including Citibank, Capital One, HSBC, RCB and Union Bank. They are accepted worldwide across Europe, North America, Asia and Australia and by a whole range of platforms, exchanges and brokers.
Fees
As a general rule, ACH transfers are free, although this does vary between banks and brokers. Some platforms may impose charges for certain types of transfers, e.g. a transfer from one current account to another held with a different bank. Others may charge a fee for international transfers, such as for a USA to India transaction. Ensure that you have read up on your bank’s and/or broker’s policies to avoid any unexpected fees.
Where fees do apply, costs are often nominal. A transfer fee is added by some institutions but, at an average of $3,000, it is not something to worry about. As a rule, brokers don’t tend to charge fees, though there may be some discrepancies here, meaning it may be worth ensuring that you’ve read through the details of your broker’s policy.
Most banks do impose a maximum transfer limit. Bank of America, for example, has a limit of $3,000 per day for standard delivery and $2,000 per day for next-business-day delivery. Similarly, U.S. Bank’s transfer limit is set at $2,500, whilst Chase Bank’s cap is much higher at $25,000.
Banks don’t tend to set a transfer minimum. Some brokers may have a minimum deposit and/or charge to make a deposit. If your bank does charge a transfer fee, it’s worth making fewer, larger deposits to avoid incurring additional costs.
Speed
An ACH transfer is not an instant payment solution. Instead, banks collect payments and then process them in bulk. Processing usually happens three times per business day. An ACH transfer typically takes between 1-3 business days to be credited, though just how long cannot be predicted easily. In some cases, the money will move on the day the process is initiated but this is not always the case. Transfers made late on Friday night may not be executed until Monday morning, for example. Some banks may offer same-day processing at an extra fee.
If you see that an ACH funding hold has been placed on your transfer or bank account, it means that the sum is pending approval or processing. The bank has been notified of the transaction but it will take some time to clear, usually hours but it may vary depending on the time of day, it can roll over.
As a means to fund a trading account, you should be aware that this isn’t an instant execution option. Planning ahead is key to ensure funds are accessible when needed.
Security
ACH transfers are as safe and secure as the online banking system through which they are processed. As with any e-payment, fraud is a possibility and you should remain vigilant. However, when compared to sending cash or a cheque in the mail, ACH transfers offer a much safer solution.
Furthermore, there is usually a window of time in which a sender can recall an ACH transaction if it was made in error. The duration of this window will be specific to the bank, so ensure that you are familiar with your bank’s policy. The option for reversal grants a degree of security to clients and is fairly unique. It is not a luxury afforded with wire transfers, for example. Once these are made they cannot be reversed.
As a general rule, ACH transfers are a safe, secure and reliable way to fund a trading account. However, we recommend choosing a reputable bank and broker that offers some insurance or protection for account holders should anything go wrong.
How To Deposit Using ACH Transfer
To make an ACH transfer, you will first need to check that your broker supports them as a payment method. To do so, head to the deposits and withdrawals page on the broker’s website. If you are unable to find the information you’re looking for, get in touch with the customer support team, who should be able to point you in the right direction.
Once you have established that ACH transfers are supported, head to the deposits section in your trading portal. Under the ‘Funding’ tab, you should be able to select ACH transfer.
If you have any issues with your transfer, such as it not showing up, it having been declined or you have received an error message, contact your bank. Your bank will also be able to advise on any tracking queries and support with routing numbers.
Pros Of Using ACH Transfer For Traders
ACH transfers are a great way to fund your live trading account and, whilst they do not offer instant execution, they are:
- Safe – on the whole, ACH transfers are safe and reliable. They are an established and widely used payment method, supported by major financial institutions. As with any e-payments, be wary of scams and ensure that you have opted for a reputable bank and broker.
- Cheap – ACH transfers are usually free. If charges do apply, they tend to be nominal. As any trader will know, hidden fees can crop up anywhere, so it is refreshing to have a low or even no-cost option. When compared to wire transfers, another popular way to fund trading accounts, ACH transfers are much cheaper, albeit wire transfers can be quicker.
- Convenient – making regular, recurring payments using ACH transfers is straightforward and much easier than writing out a cheque each time. You will also save yourself the cost of a stamp.
Cons Of Using ACH Transfer For Traders
Whilst ACH transfers are good, they’re not perfect. There are a few limitations worth keeping in mind:
- Transaction Limits – many banks set maximum transfer limits. Limits may be per transaction, daily or weekly. Banks can also impose limits on transfer destinations, e.g. for international transfers. Most banks cap transfers at $10,000 per day, though this is not a hard and fast rule. For example, Chase Bank offers greater flexibility with a cap of $25,000.
- Slow – ACH transfers take 1-3 business days to be processed. This is slow when compared to the multitude of instant transfer options that exist today. Whilst same-day transfers are becoming increasingly popular, this network still has some way to go.
- Time-Sensitive – as ACH transfers are aggregated, some banks will set cut-off times that will need to be adhered to if you wish your transfer to be processed for the next business day. If you miss the cut-off, it could delay the transfer, causing a problem if time is of the essence. Time frames may also vary on weekends (both on Saturday and Sunday) and holidays.
- Limited Use – not all brokers, banks or services will accept ACH transfers. For example, Kraken is a Bitcoin and cryptocurrency exchange that does not. If you are looking to use ACH transfers as a way to fund your trading account, make sure you opt for a broker that supports it.
ACH Transfer Vs Other Payment Methods
When it comes to electronic transfers, there are several options available, each with its own merits and limitations. Over the past few years, there have been several new players in the market bringing more and more to the table. As well as instant execution, in-built messaging capabilities and apps have become the norm. So how do they all compare to ACH?
- Wire Transfer – a wire transfer is quicker than an ACH transfer but is often more expensive and cannot be recalled.
- PayPal – not all brokers accept PayPal as a funding method so be sure to check that out. PayPal offers a similar level of security to ACH transfers and is also capped, although, at $100,000 for crypto purchases, it affords traders a greater degree of flexibility. Xoom is a PayPal service and so offers similar conditions.
- Instant Transfer – several e-banks are offering instant transfers, such as Monzo, Plaid and Zelle. Whilst their speed is a bonus, limits will also apply. It also means that you’ll need to create an account with the provider to make electronic payments.
Is ACH Transfer Good For Day Trading?
ACH transfers are a straightforward, cheap and reliable way to fund your trading account, pay bills or even purchase a Tesla. With an increasing number of brokers supporting the payment method, traders can enjoy flexibility in addition to security and convenience.
However, there are some drawbacks to bear in mind. The processing time, 1-3 days, is slower than the multitude of instant-execution options available today. Maximum transfer limits may also present an obstacle for traders looking to deposit larger amounts.
Overall, we would recommend ACH transfers as a funding method for any trading account that supports them. Their safety, ease of use and low cost mean that traders can get on with the job at hand. We would advise that any trader considering using ACH transfers read up on their bank and broker’s policies to avoid any unexpected fees.
Transfer timeframes, limits and fees may vary between banks so make sure you’re familiar with your bank’s policy.
FAQ
Is An ACH Transfer Safe To Use With My Broker?
ACH transfers are safe, secure and reliable, just ensure that you opt for a reputable bank and broker. As with any online payment, scams are in circulation, so be careful and avoid sharing your details with third-party organisations.
How Do I Make An ACH Transfer To My Trading Account?
To deposit into your trading account via ACH transfer, head to the ‘Funding’ tab in your account portal. If supported, you will be able to select ACH transfer. An ACH authorisation form, or transfer form, authorizes the deposit or withdrawal from a customer’s bank account on the ACH network.
How Quickly Will My ACH Transfer Be Processed In My Trading Account?
Although they are reliable and convenient, ACH transfers are not the fastest payment method compared to e-wallets, which are typically processed instantly. You can expect to wait 1 to 3 days for the transaction to be processed, which may not suit active day traders.