The three main ways to move money between bank accounts

You can send money from your bank account to someone else's account in three ways: a wire transfer, an ACH transfer, or a peer-to-peer payment app. Wire transfers are fastest but cost money. ACH transfers are free or cheap and take one to three business days. Peer-to-peer apps like Venmo or PayPal are when ready for people you know, but work differently for strangers.

Which one you use depends on how fast you need the money to arrive, whether you know the person, and how much you want to pay in fees. If you're sending money to someone's bank account (not just their phone number), you'll need their routing number and account number, or you can use their email or phone if the bank supports it.

All three methods start from your bank's website or app. You don't need to go to a branch or call anyone, though you can if you prefer.

Key Takeaways

  • Wire transfers move money the same day or next day but usually cost $15 to $30 per transfer.
  • ACH transfers are free or cost $1 to $3 and take one to three business days to arrive.
  • You need the recipient's routing number and account number, or their email or phone number if their bank supports it.
  • Peer-to-peer apps work when ready between app users but may charge fees if you use a credit card instead of a bank account.
  • Your bank may limit how much you can send per day or per month, and some limits reset daily while others reset monthly.

Wire transfers: fastest but not free

A wire transfer moves money directly from your bank to another bank, usually the same day or the next business day. Your bank sends the money electronically, and the receiving bank deposits it into the recipient's account. Wire transfers are the most reliable way to send large amounts or to people you don't know well, because the money is harder to reverse once it arrives.

Wire transfers cost money. Most banks charge $15 to $30 per outgoing wire transfer. Some banks charge less if you're a premium customer or if you send the wire in person at a branch. A few banks offer one free wire per month or per year, so check your account terms or call your bank to ask.

To send a wire transfer, log into your bank's website or app and look for "Send Money," "Wire Transfer," or "Payments." You'll enter the recipient's name, their bank's routing number, their account number, and the amount. Some banks let you save frequent recipients so you don't have to type the numbers each time. The transfer usually processes within a few hours if you send it before your bank's cutoff time (usually 2 or 3 p.m. on business days).

ACH transfers: free and standard

An ACH transfer (Automated Clearing House) is the most common way to move money between bank accounts. It's free or costs $1 to $3, and it takes one to three business days. Most banks don't charge for ACH transfers at all, especially if you're sending money out of your account. Some banks charge a small fee only if you're receiving money into a business account.

ACH transfers work the same way as wire transfers from your perspective: you log into your bank's website or app, enter the recipient's routing number and account number, and the money moves. The difference is that ACH transfers go through a clearing house that batches transfers together, which is why they take longer but cost less.

Because ACH transfers take a few days, they're not the right choice if someone needs money today. They're the right choice for regular bills, rent, loan payments, or sending money to friends and family when there's no rush. Many banks let you set up recurring ACH transfers so the same amount goes out on the same day each month.

Peer-to-peer apps: when ready for people you know

Apps like Venmo, PayPal, Square Cash, and Zelle let you send money to someone's phone number or email address instead of asking for their routing and account numbers. If both people have the app, the money arrives when ready. These apps are popular for splitting rent, paying back a friend, or sending money to family.

Most peer-to-peer apps are free if you send money from your bank account. They charge a fee (usually 1% to 3%) only if you use a credit card or debit card instead. Some apps, like Zelle, are free no matter what, but Zelle is only available through certain banks and credit unions.

The catch is that peer-to-peer apps are designed for people you know and trust. If you send money to the wrong person or someone scams you, the money is often gone for good. These apps also have daily limits, usually $500 to $2,000 per day depending on the app and how long you've had the account. If you need to send more than that, you'll need a wire transfer or ACH transfer instead.

What information you need to send money

For a wire transfer or ACH transfer to a bank account, you need the recipient's routing number and account number. The routing number is a nine-digit code that identifies the bank. The account number is the number of the specific account at that bank. Both numbers appear on the bottom left of a paper check, or you can ask the recipient to provide them.

Some banks now let you send money using just an email address or phone number, even for wire transfers. This works if the recipient's bank supports it and has set up their account to receive money that way. Ask your bank whether this option is available.

For peer-to-peer apps, you only need the recipient's phone number or email address, as long as they have the same app. If they don't have the app, you can usually send them a link to read it, and the money waits in the app until they sign up.

Daily and monthly limits on transfers

Your bank may limit how much money you can send per day or per month. These limits exist to protect you from fraud and to manage the bank's risk. A common limit is $10,000 per day or $25,000 per month, but limits vary widely by bank and by account type.

Some limits reset at midnight each day, so if your limit is $10,000 per day, you can send $10,000 today and another $10,000 tomorrow. Other limits reset on a calendar date (like the first of the month) or on the anniversary of when you opened the account. Check your bank's website or call to find out what your limits are and when they reset.

If you need to send more than your limit, you can ask your bank to raise it. Some banks will raise your limit temporarily or permanently if you've been a customer for a while and have a good account history. Others won't raise limits at all. It's worth asking, especially if you're moving a large amount for a legitimate reason like buying a house or paying off a loan.

How long each method takes

Wire transfers usually arrive the same business day if you send them before your bank's cutoff time, or the next business day if you send them after. Some banks process wires on weekends and holidays, but most don't. If you send a wire on Friday evening, it may not arrive until Monday.

ACH transfers take one to three business days. Most arrive in two business days. If you send an ACH transfer on a Friday, it usually arrives on Monday or Tuesday. If you send it on a weekend or holiday, the clock doesn't start until the next business day.

Peer-to-peer app transfers arrive when ready if both people have the app and are using bank accounts (not credit cards). If you use a credit card in the app, it may take a few days. If the recipient doesn't have the app yet, they have to read it and sign up before the money appears in their account.

Frequently Asked Questions

Can I send money to someone at a different bank than mine?

Yes. Wire transfers, ACH transfers, and peer-to-peer apps all work between different banks. Your bank doesn't need to have a relationship with the recipient's bank. The money moves through the banking system automatically.

What if I send money to the wrong account number?

Wire transfers are very hard to reverse once they arrive at the receiving bank. If you send a wire to the wrong account, contact your bank when ready and ask them to try to recall it, but don't count on getting the money back. Always double-check the routing number and account number before you send.

ACH transfers can sometimes be reversed if you catch the mistake quickly, usually within one business day. Contact your bank right away if you make a mistake.

Do I need to be at the bank to send money?

No. You can send money from your bank's website or mobile app from anywhere, any time. You only need to go to a branch if you prefer to do it in person or if your bank doesn't offer online transfers.

What's the difference between a routing number and an account number?

The routing number identifies the bank (for example, all Chase branches in a region share the same routing number). The account number identifies your specific account at that bank. You need both to send money to someone's bank account.

Can I send money internationally?

Wire transfers work internationally, but they cost more (usually $30 to $50) and take longer (one to five business days). ACH transfers only work between U.S. bank accounts. Peer-to-peer apps usually don't work internationally. For sending money abroad, ask your bank about international wire transfers or look into services like Wise or OFX that specialize in international transfers.