Why does it take up to 3 days to transfer money from one account to another online and who gets the interest?

The interest accrues in the bank's books. Assuming you're initiating the transfer today from your sending bank to your receiving bank.





In Canada this amounts to us consumers making overnight loans to a bank, which though against the bank act, is not really monitored by the government.





My bank cannot answer the question of why 5 years ago I could pay my visa with them online and see the payment immediately, and now it takes two days for my money to travel from one account at scotia to a visa at scotia.

Why does it take up to 3 days to transfer money from one account to another online and who gets the interest?
We are being ripped off by the banks. Next year electronic transfers are supposed to become same day
Reply:The banks tell us 3 days is needed. I don't understand it - I assune the banks get the interest.


Hmm, maybe I do understand it...
Reply:The bank debits your account immediately but the credit takes time. In the meantime, the bank earns "float." This is why online bill pay is free.
Reply:believe it or not ok because i work for a bank part time the bank doesnt get the moey they send the money to a bacs company who works as a broker as such who has the authority to send money into other banks accounts and that then does it so day 1= leaves you account =day 2 arrives at bacs day 3= arrives at you bank!


so people say that the bank makes money they dont! and bacs is intrest free!