Jack Henry Rapid Transfers
What is Jack Henry Rapid Transfers?
Jack Henry Rapid Transfers enable lightning-quick money movement, allowing both business and retail users to enjoy near-instant results when transferring funds between the user’s own accounts, also known as “Me-to-Me transfers”. In addition to the benefits of swift money movement, this also allows for:
- Near-instant transfers between accounts from different financial institutions
- Moving money from digital wallets or pre-paid debit cards to a primary bank account
Register for Rapid Transfers Office Hours
Join our regular office hours and connect with experts from Jack Henry and Moov to learn how to optimize your Rapid Transfers workflow.How Does it Work?
Through partnership and integration with Moov and the Moov Wallet, as well as Mastercard Send and Visa Direct, we can offer near-instant transfers to and from debit-card based accounts for both retail and business customers. Rapid transfers are much faster because they’re sent over card rails rather than traditional ACH. The shift to the fast lane dramatically cuts transfer completion times and allows processing 24/7/365. In fact, with rapid transfers, money movement that once took days to complete can now be done in a matter of seconds.
Fraud and Security
How Rapid Transfers Stays Secure
Jack Henry has card validation checks in place. In addition, the end user must also complete a 2FA security code verification. Adding an external debit card is an action that requires step-up authentication within Banno.
Jack Henry Rapid Transfers is considered a high-risk action by Jack Henry. We highly recommend that financial institutions enable High-Risk Actions (HRA) to prevent unauthorized device or account activity, strengthening protection around sensitive digital events especially as it relates to rapid money movement.
Beyond the advanced validation practices that Moov and Jack Henry perform, Moov’s cloud-based native processing engine enables ongoing transaction monitoring across its entire network of transactions, not just those limited to each financial institution.
Identity Validation and Cardholder Verification
- Account Name Inquiry (ANI) Mechanics: The platform uses Account Name Inquiry (ANI), which ensures the name on the card matches the name of the end user at the financial institution.
- Address Verification System (AVS): The system will verify the address on file with the issuing bank. For most financial institutions, this is the physical address, though it can vary.
Fraud Addendum and Settlement Risk Coverage
To receive settlement risk coverage from Moov for Rapid Transfer transactions, financial institutions must sign the fraud addendum and implement specific security configurations.
By adhering to these higher security standards, the financial institution shifts settlement risk to Moov, who then assumes responsibility for any covered losses and retains the right to pursue recovery from end users for losses Moov incurs.
To qualify for this coverage, all financial institutions must enable the following settings in Banno:
- Two-Step Verification: A financial institution must require two-step verification (2FA) rather than just a password for high-risk actions.
- High-Risk Action Blocking: A financial institution must, at a minimum, block high-risk actions on unverified devices while allowing anchor device unblocking.
While these settings are highly recommended to minimize fraud and ensure coverage, they are not strictly required to use Rapid Transfers. Financial institutions may choose to bypass these settings and manage transaction risk independently. These security configurations are required to qualify for settlement risk coverage. Financial institutions that do not enable these settings retain transaction risk independently.
To get started with the fraud addendum, contact Moov at compliance@moov.io.
Costs
There are no direct costs to our banks and credit unions for this service. However, end-users will incur fees on “push-to card” transfers, at 1.75% or a $0.50 minimum per transfer. For “pull-from-card” transfers, end users will incur fees at 0.75% or a $0.50 minimum per transfer.
The fees are set by Jack Henry and are not available for revenue sharing. Jack Henry set the fees in tandem with Moov to ensure costs incurred are mitigate by Rapid Transfers. Rapid Transfers is a costly service, which is why the fees are necessary.
Velocity Limits
The velocity limits outlined below represent Moov’s default thresholds for Mastercard and Visa. All financial institutions have the flexibility to configure limits, including the maximum transfer amount and the number of transfers allowed per day.
Moov Velocity + Amount Limits for Push-to-Card
| Limit type | Maximum limit |
|---|---|
| Amount | $25,000 |
| 1-day velocity | 150 transactions or $100,000 |
| 7-day velocity | 250 transactions or $250,000 |
| 30-day velocity | 750 transactions or $500,000 |
Moov - Velocity + amount limits (Pull from card)
| Limit type | Maximum limit |
|---|---|
| Amount | $10,000 |
| 1-day velocity | $10,000 |
| 7-day velocity | $25,000 |
| 30-day velocity | $50,000 |
Accounting and Settlement Logic
Rapid Transfers enable end users to move funds instantly between their accounts and external debit cards. To ensure seamless reconciliation, these transactions are processed in two distinct phases: the Real-Time Transaction and the Daily Settlement Sweep.
Push-to-Card
Below is the ledger breakdown for Push-to-Card transfers (moving funds to an external card).
Phase 1: Real-Time Transaction (Push-to-Card)
Timing: Occurs the moment the user initiates the transfer in the Banno financial institution’s app.
In this phase, the end user’s funds are immediately debited, and the “push” to the external network is initiated. The Banno financial institution’s internal Settlement GL acts as the temporary holding area to ensure the books remain balanced while the funds are in flight.
| Entity | Account | Debit (-) | Credit (+) |
|---|---|---|---|
| Customer | End User DDA | $1.00 + $Fee | |
| FI Internal | Settlement GL | $1.00 | |
| FI Internal | Settlement GL | $Fee | |
| Moov | FI Moov Wallet | $1.00 | |
| FI Internal | Settlement GL | $1.00 |
Note: At this stage, the customer sees an immediate deduction from their balance, and the external card receives the funds in near real-time.
Phase 2: Daily Sweep
Timing: 3:00 PM Central daily
The Daily Sweep is the final reconciliation step. This occurs when Moov settles the net position back to the Banno financial institution via a standard ACH transfer, effectively clearing the balance held in a Banno financial institution’s Settlement GL.
| Entity | Account | Debit (-) | Credit (+) |
|---|---|---|---|
| Moov | FI Moov Wallet | $1.00 | |
| FI Internal | Settlement GL | $1.00 |
Pull-from-Card
Below is the ledger breakdown for Pull-from-Card transfers (moving funds from an external card to the Banno financial institution).
Phase 1: Real-Time Transaction (Pull-from-Card)
Timing: Occurs the moment the user initiates the transfer in the Banno financial institution’s app.
In this phase, funds are secured from the external card, and the bank adjusts the user’s DDA and GL balances to make funds available immediately. The Banno financial institution’s internal Settlement GL tracks the pending reimbursement from the external network to ensure the books remain balanced.
| Entity | Account | Debit (-) | Credit (+) |
|---|---|---|---|
| End User | User’s Ext. Card | $1.00 | |
| Moov | FI Moov Wallet | $1.00 + $Fee | |
| Customer | End User DDA | $Fee | |
| FI Internal | Settlement GL | $Fee | |
| Customer | End User DDA | $1.00 + $Fee | |
| FI Internal | Settlement GL | $1.00 + $Fee |
Note: At this stage, the customer sees an immediate increase in their available balance, allowing for instant use of the pulled funds while the back-end settlement is finalized.
Phase 2: Daily Sweep
Timing: 3:00 PM Central daily
The Daily Sweep is the final reconciliation step. This occurs when Moov settles the total amount (including fees) back to the financial institution via a standard ACH transfer, effectively clearing the outstanding position held in the Banno financial institution’s Settlement GL.
| Entity | Account | Debit (-) | Credit (+) |
|---|---|---|---|
| Moov | FI Moov Wallet | $1.00 + $Fee | |
| FI Internal | Settlement GL | $1.00 + $Fee |
Disputes
The dispute process for Rapid Transfers is no different than the dispute process for any other electronic transaction under Regulation E. It is governed by the card networks to ensure that financial institutions can easily track and address any issues. Because Rapid Transfers are strictly restricted to me-to-me transactions initiated by the legitimate account owner, it generally presents a low risk by design. The primary distinction in this case is that both the initiator and the recipient of the transaction are the same individual or entity.
How are Disputes Managed?
When notified by a customer of a dispute, the financial institution should engage in an investigation using the same processes and procedures as any other investigative workflows. The difference here is that instead of reaching out to a merchant, the financial institution reaches out to the external financial institution (linked card or deposit account) to determine if a true error has occurred.
Additionally, a dispute may be initiated by the external financial institution. Disputes will be managed by the financial institution via Moov. Moov receives dispute notifications directly from the card networks and communicates all dispute details back to the Moov account admin. For more information and a deeper technical look at this workflow, review the extensive documentation available in the Disputes guide on Moov’s developer site at docs.moov.io.
Compliance and Moov Partnership
Jack Henry is partnering with Moov to deliver Jack Henry Rapid Transfers and has conducted the industry-standard due diligence practices that apply to all of our partner integrations.
We understand that our financial institutions take vendor management extremely seriously, as they should. For Rapid Transfers, the financial institution is the merchant with Moov.
We’ve provided very comprehensive due diligence documentation specifically covering this relationship. Explore the full Jack Henry Rapid Transfers Due Diligence Documentation. Please open a support case for the password. In addition, Moov has created a Trust Center with extensive information about Moov’s infrastructure, policies, and more.
How to Get Started?
Each financial institution must enroll for a Moov merchant account to configure Jack Henry Rapid Transfers. Moov handles the program management and registration with card networks on behalf of all Banno financial institutions. All four Jack Henry cores support Rapid Transfers.
For more information on how to get started, please view the Jack Henry Rapid Transfers Onboarding and Compliance Guide via the For Clients Portal. The information in the Onboarding and Compliance Guide is crucial in getting properly set up for this feature.
Moov enrollment within Banno People is live. The Onboarding and Compliance Guide outlines when to navigate to this page.
To start the process, navigate to:
- Banno People
- Rapid Transfers
- Settings
From this screen, click the Moov enrollment link, which will move through the enrollment form, including providing any necessary information to Moov.
Moov Merchant Account Creation Form
The following information outlines the step-by-step process for onboarding a financial institution for Jack Henry Rapid Transfers using the Moov dashboard.
Business
Fill out the initial business details for the financial institution:
- Legal business name
- Industry
- Primary regulator
- Business type
- Tax ID Type
- Tax ID
- Business email
- Phone number
- Company website
- Tell us about what the business does
Expected Activity
This section is divided into three parts: Transactions, Fulfillment, and Processing statements.
- Transaction amounts
- What is the makeup of your volume
- What is your volume by customer type
- Do you sell physical goods?
- How long after payment do customers receive their goods/services?
- Processing statements
Bank Account
Providing an account which will serve as the settlement account for daily automatic sweeps from the Moov wallet.
- Account type:
- Critical Point: The default option is “Checking.” This is not the best practice for this setup and should be changed to “General Ledger” to ensure proper function.
- Account Holder Type: Select Business.
- Account Holder Name: Enter the name of the financial institution.
- Routing Number: Enter the routing number for the General Ledger account.
- Account Number: Enter the full General Ledger account number.
Review and Finish
The final page provides a complete summary of all information entered during the onboarding process.
- Carefully review all sections, especially the Bank Account and Expected Activity sections, for accuracy.
- Use the Edit button next to any section to make corrections.
- Once all information is verified, click the Finish button to submit the application.
Post Moov Rnrollment Process
After the Moov enrollment is complete, Moov has to manually verify General Ledger accounts. This is typically done within minutes and should not have any downtime. Moov uses the information provided to submit registration to card networks. Moov also discloses transaction pricing, applicable agreements, and collects acceptance.
In Banno People, the Rapid Transfers settings screen updates the status to Enrolled once information has been provided and setup is complete. It also directs all financial institutions to create a support case to enable Jack Henry Rapid Transfers.
In Banno People, all financial institutions can see the Rapid Transfers enrollment process. Enroll with Moov as a merchant, configure the velocity limits, and then send us a support request to enable some test users for Rapid Transfers. This enables the ability to demo the process as much as is required. Open a support case to request this enablement in the ForClients Portal.
Looking for more information? Additional documents about Moov functionality can be found in the product collateral section under the Digital Banking section.
Frequently Asked Questions
Have questions about Jack Henry Rapid Transfers? Check out our Frequently Asked Questions page that covers Rapid Transfers’ functionality and experience, operational details, and more.
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