We all need to transfer money for one reason or another, don’t we? As the world moves faster than ever, we need technology that enables swift transactions. But amidst numerous ways and labyrinthine methods, which can be the best and the fastest? Obviously, transfer money using account and routing number is the most reliable way.
As per our inquisitive research, we found the optimal choice for your bank transactions to be to learn how to transfer money using an account and a routing number online. For only through this, do you neither need to get crippled waiting in a queue nor to wait for days like an inpatient crow.
Amazingly enough, the best online checking accounts with no opening deposit and no monthly fee provide an opportunity to transfer money within the shortest time possible, regardless of distance and differences. So you can get some relief from unexpected delays.
But is this superb fast in reality? And does it work effectively? For skeptic folks like you, we have thoroughly researched every twist and turn of this process to present a credible overview before you.
In this write-up, we shall explore how to transfer money using an account and routing number within a short period. So let’s start with some necessary details.
- What Is An Account Number?
- What Is A Routing Number?
- What Is ACH?
- Ways To Transfer Money Using Account And Routing Number
- How To Withdraw Money Using The Account Number And Routing Number?
- Can Someone Withdraw Money From My Account Using My Account Number And Routing Number?
- What Is The Difference Between Account Number And Routing Number?
- How To Choose The Right Bank Account?
- When Do I Need To Provide Someone My Account Number And Routing Number?
- Final Thought
What Is An Account Number?
The account number is a unique set of figures, numbers, or other characters used to identify your individual account. When we open an account in a financial institution, we are given an account number and a routing number.
The account number is so crucial that you won’t be granted access to your account without the reference of that account number.
If you have a paper check, you will find your individual account number stated at the bottom of that check. It is usually situated in between the routing and check number.
An account number is similar to what we know as the ID number. Therefore, it is always important to keep your account number secured.
What Is A Routing Number?
A routing number also called the ABA routing number or routing transit number, is a set of figures or numerical codes used as an identification for a financial institution.
Like an account number, this is also an idiosyncratic set of characters that refer to the location of the bank where you have opened your account at. A routing number is easily accessible because it isn’t as confidential as an account number.
A nine-digit number is stated at the bottom of a check, the routing number can be found at the left of your account number. While transferring money to foreign countries or paying any utility bill, this routing number is required. It is usually labeled as an electronic deposit or a direct deposit.
What Is ACH?
ACH is a mode of transaction where the money is transferred through a computer-based electronic network system. The term ACH stands for Automated Clearing House. In the US, it is a kind of electronic bank-to-bank transaction system.
In the case of ACH payments, you don’t need to go through your visa card or MasterCard. Through the ACH network system, you can easily make transactions from bank to bank. But is it open to all?
Yup, anyone with an account can make use of this ACH system of payment. If you have an account in a US bank, you are able to transact via the ACH scheme. Plus, The electronic ACH payment system provides you with a low cost along with high retention.
Ways To Transfer Money Using Account And Routing Number
Very often, we need to transact money from one person to another or one bank to another bank. We make use of our accounts to pay bills or pay for shopping.
There are several methods to execute all those tradings. Transferring money using the account number and routing number is one of the most prominent methods among them.
A good number of ways are available there to transfer funds from your bank account to another person’s bank account.
These ways include bank-to-bank transactions, direct deposits, check transfers, bank-to-service banks, bill pay, etc. Let’s explore these in detail.
1. Check Transferring
Check to transfer is an easy method of transacting funds. To transfer money using this method, you need to fill a check-up thoroughly. You have to ensure that you don’t give the fraud any chance to forge your check.
After mentioning the amount of money, you want to send to your recipient, close it so that none can tamper with it. In the case of electronic checks routing number is required.
2. Bank To Bank Transfer
Using the recipient’s account and routing number, you can conveniently transfer money from one bank to another. With your checking account number, you can directly send money to the recipient bank.
This type of trading needs almost all the details during the transaction. That makes it a safe method of transferring money. It takes not more than two business days to complete this type of transaction.
This system of sending money is convenient and beneficial for both home and away funds transferring. It should be noted that International transactions in this method are a bit costly.
If you are looking for an impressively convenient and less costly way of transferring money using an account number and routing number, then you should resort to Billpay. In this method, you don’t require to go to the bank physically to carry out the transaction.
Billpay makes it easier to send money to selected recipients. In this method, after logging in to your bank account online, you select the recipient option filling in the necessary details of your recipient. The details include the receiver’s account number, routing number, name, etc.
After all the things being done, you will be given a paper check via email. And you now send money to the person you want to. Though a bit slow, normally, it takes around a week for the transaction to be complete.
4. Depositing Directly
With the recipient’s account and routing number in your hand, you can directly deposit money. You don’t need to visit the bank physically as you get an online facility.
After logging into your account, you need to select the option called “transfer money to another customer” and follow the next instructions to transact without trouble.
How To Withdraw Money Using The Account Number And Routing Number?
Do you know how to withdraw money using an account and routing number? If your answer is ‘no,’ you are in the right place.
This section will be dealing with the process of withdrawing money using the account number and routing number. This process is also known as ACH transfer between different banks.
The first thing that you need to do is to locate your account number and routing number. You will find your account and routing number placed at the bottom of your paper check.
The next step is to update your bill payment method. Change it to ACH payments. Then give all the necessary details about your bank account. Keep in mind that you are required to commence your ACH transfer a few days earlier, at least before the payments are due.
Lastly, as you are done with the process of transferring money using your account and routing number, now you can withdraw that money going to the bank physically or via ATM.
Can Someone Withdraw Money From My Account Using My Account Number And Routing Number?
Can someone steal money from my bank account using my account and routing number? This is an often asked question by account owners.
Yes, others can also withdraw money from your account. But sometimes, it so happens that the account information is leaked. This may bring unexpected consequences.
A fraud normally follows two methods to withdraw money from your account using the account information. He may resort to ACH Transfer or use fraudulent checks.
That’s why it is always important that you should protect your account number and routing number at all means to avoid such misfortune.
What Is The Difference Between Account Number And Routing Number?
If you open a bank account, you will get a distinctive account number and a routing number. Though they have some reciprocal functions, they’re different from each other in various aspects. What are they, you may ask. They are as follows:
Firstly, an account number differs from a routing number in their objects of identification. An account number is akin to your ID and identifies your individual account. On the other hand, a routing number refers to the financial institution where you opened your account.
Secondly, an account number normally comprises ten digits, whereas a routing number is a nine-digit figure. The routing number comes first, and the account number is stated after it at the bottom of your paper check.
Last but not least, your routing number is not as secret as your account number. A routing number is easily obtainable, whereas an account number should be kept private.
How To Choose The Right Bank Account?
Opening a bank account is not some Herculean task. But you have to take into account some ins and outs when it comes to choosing the right bank account.
A variety of bank accounts may confuse you at times. To get rid of confusion and choose the right bank account for you, study this section below thoroughly.
There are several types of bank accounts available: checking accounts, savings accounts, cash management accounts, and so on. Choose the best online checking account that meets your demands.
But how to decide this is the best-suited account for me? There are some criteria. Let’s unravel them to get a clearer view.
1. No Monthly Fee
While opening a bank account, the first thing that you have to consider is its monthly fees. It is always recommended that you choose a bank account that doesn’t require any monthly fee. It is a mark of being customer-friendly.
If you don’t find such a bank, try at least to find one that requires no monthly fee in case of direct deposit. However, try to separate your accounts by opening them at different banks when you need more than one bank account.
2. No Minimum Balance Requirement
Never go for a bank account that requires a minimum balance in the account. A preferred bank account doesn’t have any such minimum balance requirements.
So, it is unwise to open a bank account with minimum balance requirements. It locks up your money without any notable amount of profit. If you have no way out, find one with the least amount.
3. Free ATM Access
While choosing the perfect bank account for you, know that the bank has a huge network of ATM services. No bank is considered to be a good bank if it charges its consumers for withdrawing money. Money withdrawal is always free in an ideal bank.
Therefore, you should choose a bank that provides free ATM access to its consumers.
4. Online Banking and Mobile App
In this world of rapid scientific development, you should not choose a bank without an online banking opportunity. It is not always possible to carry out financial transactions physically. This is why online banking facilities are so important.
So, choose a bank that provides you with the conveniences of Online Banking. You should be given the facility to maintain your bank account, make deposits and pay bills electronically at your computer or your mobile phone using an app.
5. Debit and Credit Card
Debit and credit cards are two very essential things when it comes to convenience in transactions. Both the cards facilitate your daily tradings, be it shopping online or paying bills. Though you will have to know how to send money online using debit cards respectively for each bank– it’s not a big deal.
Many states have their federal bank controlling interbank transactions through a central system, but still, there are banks out of the box. That’s why you must choose a bank account that features the most convenient debit and credit cards and allows you to interact with most banks.
When Do I Need To Provide Someone My Account Number And Routing Number?
Account number and routing number are two sets of important digits that you may require to provide to others in different situations.
These situations may include: when someone wants to transfer funds to your bank account when you need to pay bills for something you have purchased when you order a new check or issue one, and so on.
However, if it is avoidable, don’t share your account number and routing number with others. There is a huge chance of fraud when your account information is shared.
Provide your nearest ones your account and routing number only If it is indispensable. Other than that, try to keep your account and routing number protected by every means.
Today, Money transferring has been a piece of cake with the help of scientific advancement. You can easily send money to your dearest ones from one country to another within hours. Banking facilities are also developed over the years.
Nevertheless, transacting money with ATM cards is not always possible. Therefore, you need to adopt other easy methods that can help you in this regard.
One of the most convenient and least expensive methods of transferring money is using your account number and routing number. In this method, all you need to do is to avoid fraud and keep the account and routing number safe and secured.