Guides
SWIFT, SEPA, ACH and Faster Payments: which rail for which payment
A plain guide to the main payment systems a business meets when paying or getting paid abroad, with speed and typical use for each.
A payment rail is the system that carries a payment from one bank account to another. The rail determines how fast the money arrives, what it costs and what details you need.
The main rails at a glance
| Rail | Where | Currency | Typical speed |
|---|---|---|---|
| SWIFT | Worldwide | Most currencies | 1 to 5 business days |
| SEPA Credit Transfer | Euro area and wider SEPA zone | EUR | Same or next business day |
| SEPA Instant | Participating SEPA banks | EUR | Seconds |
| ACH | United States | USD | Same day to 2 business days |
| Fedwire | United States | USD | Same day |
| Faster Payments | United Kingdom | GBP | Minutes |
| Pix | Brazil | BRL | Seconds |
SWIFT
The global network for international bank transfers. It reaches almost every bank in the world, which is its strength. Payments may pass through intermediary banks, so delivery time and deductions vary. Use it when no local route exists.
You need the recipient’s name, account number or IBAN, and the bank’s SWIFT/BIC code.
SEPA
The euro payment system covering the European Union and several neighbouring countries. A SEPA transfer between two countries works like a domestic payment: low cost and predictable timing.
You need the recipient’s name and IBAN.
ACH and Fedwire
The two main systems for US dollars inside the United States. ACH is low cost and processed in batches. Fedwire is immediate and final, and is used for larger or urgent payments.
You need the recipient’s name, account number and routing number.
Faster Payments
The United Kingdom’s real-time system for pounds. Payments usually arrive within minutes, at any time of day.
You need the recipient’s name, sort code and account number.
Choosing the right rail
- Paying in the recipient’s home currency? Use the local rail of that country whenever you can.
- Urgent and high value in USD? Fedwire.
- Destination with no local route available to you? SWIFT.
The practical challenge is access. To use a country’s local rail you normally need an account in that country. A multi-currency business account gives you that access without opening a bank account in each market.