First Horizon ACH Transfer Limits

In this guide, we'll break down everything you need to know about First Horizon Bank ACH transfer limits - including their same-day ACH capabilities with limits up to $100,000, processing times, and what options you have when standard banking limits aren't sufficient for your business operations. We'll also explore alternatives for even higher-value transactions, including Nickel, a B2B payment platform designed for large invoice-based payments, with free ACH transfers up to $1 million per transaction. If you're looking to maximize your payment processing capabilities, this article will show you how to keep large payments moving efficiently.

First Horizon's Current ACH Transfer Limits

First Horizon Bank takes a progressive approach to ACH transfer limits, particularly with their same-day ACH service that supports transactions up to $100,000 per individual transfer. This positions First Horizon as one of the more forward-thinking traditional banks when it comes to electronic payment capabilities. The bank implemented these higher limits as part of NACHA's phased approach to modernizing the ACH network, demonstrating their commitment to meeting evolving business payment needs.

For same-day ACH transactions, First Horizon follows the NACHA maximum of $100,000 per individual transaction, with no limit on the total dollar amount of an ACH file or batch. This means businesses can process multiple $100,000 transactions in a single batch, providing substantial capacity for high-volume payment operations. The bank explicitly prohibits structuring large payments into multiple smaller transactions to circumvent the limit, which would violate NACHA rules and could result in penalties.

Standard ACH transfers through First Horizon don't have publicly disclosed specific limits, as these vary based on account type, customer relationship, and risk profile. Business Banking Online customers need to submit same-day ACH transactions by 3:00 PM Eastern Time, while those using direct transmission have until 3:45 PM Eastern Time. This extended window for direct transmission users provides additional flexibility for businesses with more sophisticated payment operations.

How First Horizon Compares to Other Banks

When evaluating First Horizon's ACH capabilities against major competitors, their same-day ACH limits stand out as particularly competitive:

Limits vary based on account type and customer relationship

First Horizon's adoption of the full $100,000 same-day ACH limit demonstrates their commitment to supporting businesses with substantial payment needs. While some competitors like Wells Fargo may offer similar same-day limits, First Horizon's clear documentation and multiple processing windows provide transparency that many businesses value. The bank's participation in all phases of NACHA's Same Day ACH rollout shows their proactive approach to payment modernization.

Daily ACH Transfer Limits Explained

First Horizon's approach to daily ACH transfer limits differs between same-day and standard processing. For same-day ACH, the $100,000 per transaction limit applies regardless of daily volume, as long as each individual transaction stays within the threshold. There's no published daily cap on the number of same-day ACH transactions you can process, though the bank likely monitors overall activity for risk management purposes.

For standard ACH transfers, First Horizon doesn't publicly disclose specific daily limits, following a pattern common among regional banks that evaluate limits based on individual customer relationships. Your daily standard ACH capacity depends on factors including account type, banking history, average balances, and overall relationship with the bank. Business accounts typically receive higher limits than personal accounts, reflecting the greater payment volumes associated with commercial operations.

The distinction between same-day and standard ACH limits creates interesting planning opportunities for businesses. Companies can leverage the higher same-day limits for urgent large payments while using standard ACH for routine transactions that don't require expedited processing. This dual approach allows businesses to optimize their payment strategies based on urgency and cost considerations, as same-day ACH transactions incur premium fees.

Monthly Transfer Patterns and Limits

First Horizon Bank doesn't publicly disclose specific monthly ACH transfer limits, focusing instead on per-transaction and daily thresholds. This approach provides flexibility for businesses with varying monthly payment patterns, as there's no cumulative monthly cap that could restrict payment capacity late in the month. The absence of published monthly limits suggests First Horizon evaluates overall account activity holistically rather than imposing rigid monthly restrictions.

For businesses using First Horizon's ACH Cash Concentration services, the bank offers specialized solutions for companies with multiple locations that need to consolidate funds regularly. This service is ideal for businesses that use local depository banks but need to quickly concentrate receivables into one cash pool, suggesting First Horizon can accommodate substantial monthly transfer volumes for qualified commercial customers.

The bank's approach to monthly limits likely involves behind-the-scenes monitoring of transaction patterns to identify unusual activity or potential fraud. Businesses experiencing growth or seasonal spikes in payment volume should maintain communication with their First Horizon relationship manager to ensure their increased activity doesn't trigger unnecessary reviews or restrictions.

Business ACH Transfer Considerations

First Horizon offers robust business ACH services through multiple platforms including Business Banking Online and Treasury Connect. The bank's ACH services support both ACH credits for payments like payroll and vendor payments, and ACH debits for collecting customer payments. With First Horizon being one of the largest ACH processors in the country, businesses benefit from sophisticated infrastructure and extensive experience in commercial payment processing.

The bank's Business Banking Online platform provides accessible ACH origination for small to medium businesses, with cutoff times of 3:00 PM Eastern for same-day processing. Larger commercial clients using direct transmission can submit files until 3:45 PM Eastern, providing additional time for high-volume batch processing. BizEssentials Cash Management Package customers need to specifically opt in to utilize same-day ACH services, ensuring businesses only incur premium fees when they actively choose expedited processing.

First Horizon's ACH services integrate with their broader treasury management offerings, including wire transfers, positive pay, and account reconciliation services. This comprehensive approach allows businesses to manage all payment types through a unified platform, streamlining operations and improving visibility into cash positions. The bank's emphasis on security includes recommendations for dual approval on transactions and regular monitoring of account activity.

Same-Day ACH Processing at First Horizon

First Horizon fully embraces same-day ACH capabilities, offering processing for both credits and debits up to $100,000 per transaction. The bank participated in all phases of NACHA's Same Day ACH implementation, from the initial $25,000 limit in 2016 to the current $100,000 threshold established in 2020. This long-term commitment to same-day processing demonstrates First Horizon's understanding of modern business payment needs.

First Horizon Same-Day ACH Details:

• Maximum per transaction: $100,000
• Cutoff times: 3:00 PM ET (Business Banking Online) / 3:45 PM ET (Direct Transmission)
• Processing windows: Three daily windows for funds availability
• Transaction types: All standard ACH types except International ACH (IAT)
• Fees: Premium per-transaction fee for same-day processing

The bank processes same-day ACH transactions through three daily windows, with funds becoming available at 1:30 PM local time for the first window, 5:00 PM for the second window, and end of processing day for the third window. This staggered availability ensures recipients can access funds quickly while maintaining proper settlement procedures. First Horizon posts all ACH transactions to customer accounts several times per day, though same-day doesn't mean real-time instant availability.

Processing Times and Fees

Standard ACH transfers through First Horizon follow traditional processing timelines of one to two banking days after submission. The bank's standard ACH services don't carry the premium fees associated with same-day processing, making them cost-effective for routine payments that don't require expedited settlement. Understanding these timing differences helps businesses balance cost and speed when planning payment schedules.

First Horizon charges premium fees for same-day ACH transactions, reflecting the higher costs of expedited processing. While specific fee amounts aren't publicly disclosed, the bank emphasizes that originators should weigh the benefits of faster processing against the additional costs. ACH receivers don't pay additional fees for receiving same-day transactions, making it attractive for businesses to offer expedited payment options to their customers.

The bank's fee structure encourages strategic use of same-day capabilities. Emergency payroll, time-sensitive vendor payments, and situations where faster settlement improves cash flow or reduces credit exposure justify the premium fees. For routine payments where timing is less critical, standard ACH processing provides a more economical option while still delivering reliable electronic payment capabilities.

Security and Fraud Prevention Measures

First Horizon implements comprehensive security measures for ACH processing, recognizing that faster payment processing can attract fraudulent activity. The bank recommends businesses establish dual approval processes for ACH transactions, adding an extra layer of verification before payments are initiated. This control mechanism helps prevent unauthorized transactions while maintaining operational efficiency for legitimate payment needs.

The bank's security framework includes monitoring for unusual transaction patterns and potential structuring violations. Attempting to circumvent the $100,000 same-day limit by breaking large payments into multiple smaller transactions violates NACHA rules and subjects violators to penalties. First Horizon's systems likely flag such patterns for investigation, protecting both the bank and its customers from regulatory issues.

For businesses originating ACH debits, First Horizon emphasizes the importance of proper authorization language that clearly explains timing and amounts to customers. If authorization terms need updating to accommodate same-day debits, businesses must obtain new authorizations before initiating faster transactions. This requirement protects consumers while ensuring businesses maintain compliant payment practices.

International Transfer Limitations

First Horizon's ACH services explicitly exclude International ACH Transactions (IAT), meaning businesses cannot use ACH for cross-border payments. This limitation applies to both standard and same-day ACH processing, reflecting regulatory requirements and risk management considerations associated with international payments. Companies needing to pay overseas suppliers or receive payments from international customers must use wire transfers or other international payment methods.

For international wire transfers, First Horizon offers separate services with different fee structures and processing times. International wires typically cost $55 per outgoing transfer and settle within one to two business days. The bank provides currency conversion services for international payments, though exchange rates include markups above the mid-market rate. Businesses should factor these additional costs when comparing international payment options.

The separation between domestic ACH and international wire services means businesses with global operations need to manage multiple payment channels. While this adds complexity, it also allows First Horizon to optimize each service for its specific use case, providing robust domestic ACH capabilities while maintaining appropriate controls for international transactions.

When First Horizon's Limits Aren't Enough

While First Horizon's $100,000 same-day ACH limit ranks among the highest available from traditional banks, some businesses require even greater payment capacity. Companies processing multiple large invoices daily or managing substantial supplier payments may find even these generous limits restrictive. When transaction volumes exceed First Horizon's capabilities or when premium same-day fees become cost-prohibitive for frequent large transfers, alternative solutions become necessary.

Nickel offers unlimited free ACH transfers with single transaction limits up to $1 million, specifically designed for businesses that process large invoice-based payments. Unlike traditional banks that charge premium fees for expedited processing, Nickel provides fast ACH transfers without per-transaction charges. This makes it ideal for wholesalers, distributors, and contractors who regularly handle substantial B2B transactions.

For businesses that value their First Horizon relationship but need additional payment capacity, using a specialized B2B payment platform alongside traditional banking can provide comprehensive coverage. You maintain your existing banking relationships for standard financial services while gaining access to purpose-built payment tools designed for high-value business transactions. Exploring free ACH payment alternatives can reveal significant cost savings, especially for businesses frequently using same-day ACH services.

Maximizing Your First Horizon ACH Capabilities

To optimize your use of First Horizon's ACH services, businesses should develop clear policies distinguishing between transactions requiring same-day processing and those suitable for standard timelines. Creating templates for recurring payments, establishing approval hierarchies, and setting up automated processes through Business Banking Online can improve efficiency while maintaining control. Regular review of transaction patterns helps identify opportunities to reduce costs by shifting non-urgent payments to standard processing.

Building a strong relationship with your First Horizon banker or treasury management officer provides access to guidance on optimizing your ACH setup. They can help evaluate whether your current limits meet your needs, suggest appropriate service packages, and ensure you're aware of all available features. For growing businesses, periodic reviews ensure your banking services scale appropriately with your payment volumes.

Consider establishing backup payment methods for situations where ACH limits or timing constraints create challenges. Having wire transfer capabilities, alternative payment platforms, or relationships with additional banks provides flexibility when facing urgent payment needs that exceed normal parameters. This redundancy ensures business continuity even when primary payment channels face restrictions.

The Bottom Line

First Horizon Bank offers sophisticated ACH transfer capabilities with industry-leading same-day limits of $100,000 per transaction. Their comprehensive approach to business payments, including multiple processing windows and integration with broader treasury management services, makes them a strong choice for businesses with substantial electronic payment needs. The bank's early adoption and full implementation of NACHA's Same Day ACH improvements demonstrates their commitment to payment innovation.

The premium fees for same-day processing and lack of publicly disclosed standard ACH limits require businesses to carefully evaluate their payment strategies. While the $100,000 same-day limit provides substantial capacity, frequent use of expedited processing can significantly increase payment costs. Companies should balance the benefits of faster settlement against these additional expenses when planning their payment operations.

For businesses requiring even higher transaction limits or seeking to eliminate per-transaction fees, specialized B2B payment platforms like Nickel offer compelling alternatives. With free ACH processing up to $1 million per transaction, these platforms remove both cost and capacity constraints associated with traditional banking limits.

Ready to eliminate transfer limits and fees? Get started with unlimited free ACH transfers →