ACH
From Innopaydia
Automatic Clearinghouse (ACH). The Automatic Clearinghouse handles the transfer of funds between banks and handles all the settlement. The clearinghouse takes all ACH files received daily from its member banks, sorts them by the originating bank (the bank where the check was cashed or deposited) and the paying bank (the bank against which the check was drawn), totals the accounts, and credits or debits appropriate accounts accordingly.