How to submit an ACH (MoneyLink®) transaction

How to submit an ACH (MoneyLink®) transaction

ACH transactions are electronic fund transfers between Schwab accounts and accounts at other financial institutions. There are no fees on ACH transactions (for a full list of key features and information, see Introduction to ACH (Schwab MoneyLink®).

To create a new ACH profile: 

  1. Navigate to the Account Management tab on Schwab Advisor Center. 
  2. Select, update or fund an account in the Digital workflows section, or within Move Money. 
  3. Select, Add or manage accounts in Move Money’s ACH workflow. 

Once an ACH profile is established, use the Move Money tool to submit an on-request transfer, create a recurring profile, or edit recurring transaction details for eligible registration types.

All processes
In addition to the information above, the following may be required:
Schwab Advisor Center® access

Security functions:

  • View Move Money access.
  • Update Move Money access.
  • Request ACH (MoneyLink)/Request ACH* access to submit transactions.
  • Update ACH (MoneyLink)/Update ACH* access to edit profiles.
Recurring ACH transfers
  • Use the Move Money tool to establish a recurring profile or edit existing recurring instructions.
  • Select, Manage External Accounts in Move Money to establish a recurring profile. The ACH (MoneyLink) form may also be used if desired.
  • A completed 529 ACH (MoneyLink) form (inbound only).
  • A completed ESA Distribution Form (outbound only).
  • For retirement accounts, you can use either the Move Money tool or Account Management tab, or complete an IRA Distribution Form (outbound only).

These security function names are being updated and may appear with one term or the other.

  1. Navigate to the Move Money tab.
  2. If the account has ACH (MoneyLink) access, select the ACH (MoneyLink) radio button to begin the transfer.
  3. Select the radio button for the profile you want to use. (If the account does not have an ACH profile, click Add or manage accounts to set up an ACH profile using the digital workflow.) 
  4. Enter the completion date and the amount, plus any other information required for the transaction and click Continue.
  5. Review the Account details and Transaction details sections. 
  6. Click the Money movement acknowledgement to acknowledge that you or someone at your firm has confirmed the move money request and instructions with your client and click Submit

For step-by-step visual instructions on how to set up an ACH transfer in the Move Money tool, refer to this guide. If you’re using the Legacy Move Money tool, refer to legacy instructions

  1. Go to the Account Management tab in Schwab Advisor Center and select update or fund an account under the Digital Workflows. Enter the applicable account number to start the workflow.
  2. Complete:
    • Schwab account information
    • Outside financial institution account information
    • On-request or recurring transfer instructions
  3. Either print the prefilled form or upload to DocuSign to obtain the appropriate account holders’ signatures and initials Tooltip  and signatures from all account holders from the outside financial institution.
  4. Send the signed form to your Schwab service team via a Schwab Advisor Center service request.

Once you submit your ACH transfer request:

  • The confirmation page confirms the transaction was submitted. A PDF link is available to print or save for your records.
  • If an ACH profile is already established, the transaction remains in pending status until processed; the request typically takes one to two business days to post.
  • The cutoff time for same-day transfers is 5:30 p.m. ET.
  • Use the Move Money transactions table on the account to monitor the progress of the request or account activity page for new profile setups through service request.
  • If you need to edit or cancel an existing transaction, use the links next to the transaction in the Move Money transactions table.

 Go to the Forms library on Schwab Advisor Center and select the forms below.

Form: 529 ACH (MoneyLink)
Form: IRA Distribution Form
Form: ESA Distribution Form
Form: ACH (MoneyLink)
Resource:
Move Money Clickable Guide

 

Are there any limits to ACH transactions in the Move Money tool?
There is a limit of $500,000 for each transaction. There is no limit to the number of transactions that can be submitted to achieve the total desired transfer amount.

Can my client use ACH to transfer funds to or from accounts other than his or her own?
Your client may establish outbound transfers to a financial institution where your client is not an account owner. In addition to your client’s signature, the outside financial institution account owner must sign the ACH (MoneyLink) authorization form and their signature requires notarization or may be obtained through DocuSign.

If your client is not an account owner on the outside financial institution inbound transfers are not available.  

What if there are insufficient funds to make the transfer?
ACH transfers require that your client’s account contain sufficient, cleared funds by 11:59 p.m. ET the night preceding the scheduled transfer date. The transfer will not occur if there are insufficient funds. Schwab will generate an alert to you and a letter to your client about insufficient funds; in such case, you may contact your service team about other alternatives (e.g., sending a wire or check). Your client also may contact Schwab Alliance at 800-515-2157.

Can I use an ACH profile to transfer funds between my client's Schwab Bank Investor CheckingTM or Savings account and their brokerage account?
Yes. The ACH profile needs to be established on the Schwab brokerage account connecting to the Schwab Bank Investor Checking/Savings account. The Bank account is treated as an external account. 

Can I set up an ACH profile on my fee disbursement account?
Yes. An ACH profile may be established to disburse funds from your fee account after the Management Fee Letter of Authorization form is also submitted.

Is there a holding period on ACH transactions into my client’s Schwab brokerage account?
Yes. Transferred funds are subject to a three-business-day hold. During this period, you may conduct most Schwab business using these funds (e.g., mutual funds and equity trade settlements, etc.). You may not withdraw the funds or use them to purchase options or penny stocks.

Can ACH profiles automatically process dividends or sales proceeds?
Yes. You can make these selections in the digital workflow for establishing a new ACH profile, or in section five of the ACH (MoneyLink®) Form.

Who within my firm should be given Update Move Money and Request and Update ACH access?
Only employees authorized to make withdrawal requests on behalf of your firm.

Can my clients use ACH profiles to initiate payments?
No. ACH is not a bill payment service and cannot be used to make payments to merchants. It allows money to move only between a variety of Schwab accounts and other financial institutions, such as banks or credit unions. Refer clients interested in electronic bill payment service to Schwab BillPay®.

How can I use DocuSign to establish ACH (MoneyLink) if my client is not an account owner on the non-Schwab account?
Once inside the DocuSign console Add recipients page, add the non-Schwab client as an additional account holder. You will need the non-Schwab account owner’s name, email address, and cell phone number. Non-Schwab client will need to be authenticated using SMS and KBA. 

You will need to remove the additional initial tag from the authorization section as the non-Schwab client does not need to provide advisor authorization. You will need to move the signature and date tags for the non-Schwab account holder to the Other Financial Institution Account Holder Signature section on the last page of the ACH (MoneyLink) authorization page. 

How to use DocuSign®
Introduction to move money eAuthorization
Introduction to ACH (Schwab MoneyLink®)
Tax withholding election (TWE) FAQs