Are electronic funds transfers safe? 🔐

Yes. So long as you're making your EFT through a legitimate bank or financial services provider, you can be virtually guaranteed that your money will be safe. However, despite the all-round security of modern banks and their funds transfer protocols, you're still at risk of being scammed by a third party, particularly when it comes to credit card payments. Always be sure that the person to whom you're sending an EFT is indeed a credible and legitimate person or institution.

Is an electronic funds transfer the same as a direct deposit? 📥

No. An EFT is a general term used to describe any type of payment method that's made electronically. A direct deposit, on the other hand, is a specific term used to describe a type of EFT whereby money is deposited into a person's bank account. This process can also be done physically, and not necessarily electronically.

Are electronic funds transfers immediate? 🚀

No, but they're usually fairly fast. Depending on your country, EFTs sent domestically can take anywhere from a few seconds to a few days to arrive in the recipient's account, while EFTs sent internationally tend to take around three days to arrive, on average.

Are EFTs and ACH payments the same? 🗽

More or less. An Automated Clearing House (ACH) payment is just one of the many different types of electronic funds transfers out there, and happens to be the one that's used domestically within the United States.

Are electronic funds transfers free? 💲

It depends. Many banks around the world offer their customers the ability to send EFTs free of charge, while others have small fixed fees or variable fees associated with each transfer. International EFTs (wire transfers), on the other hand, are pretty much never free, and typically cost anywhere between US$25 and US$40 per transfer.

Do electronic funds transfers go through on weekends? 🍹

No. Banks almost always process payments only on weekdays. This means that if you send an EFT on either a weekend or on a bank holiday, you'll have to wait for the next working day for the processing of your payment to begin.

Are EFT and wire transfers the same? 🔁

No. Wire transfers are a type of electronic funds transfer, whereas electronic funds transfers themselves are used to define a broad range of digital money transfer methods.

Electronic Funds Transfers (EFTs)

Affiliate disclosure

An electronic funds transfer, also commonly known as a "funds transfer" or simply an "EFT", is any payment method by which money is sent from one bank account to another electronically.

Practically synonymous with a bank transfer, an EFT is a broad term used to encapsulate any method of payment that involves the electronic transfer of funds, and therefore includes wire transfers, ACH transfers, as well as debit and credit card payments, among many others.

Note that while the term EFT has today become broadly synonymous with online banking and the use of the internet, the "electronic" part of "EFT" also traditionally includes telephonic banking and ATM transfers.

The Monito Glossary

When it comes to moving money, don't let yourself be bogged down by all the jargon. Explore The Monito Glossary to get up to speed with everything you need to know about money transfers.

See All Terms

You May Still Be Wondering...

Are electronic funds transfers safe? 🔐

Yes. So long as you're making your EFT through a legitimate bank or financial services provider, you can be virtually guaranteed that your money will be safe. However, despite the all-round security of modern banks and their funds transfer protocols, you're still at risk of being scammed by a third party, particularly when it comes to credit card payments. Always be sure that the person to whom you're sending an EFT is indeed a credible and legitimate person or institution.
Is an electronic funds transfer the same as a direct deposit? 📥

No. An EFT is a general term used to describe any type of payment method that's made electronically. A direct deposit, on the other hand, is a specific term used to describe a type of EFT whereby money is deposited into a person's bank account. This process can also be done physically, and not necessarily electronically.
Are electronic funds transfers immediate? 🚀

No, but they're usually fairly fast. Depending on your country, EFTs sent domestically can take anywhere from a few seconds to a few days to arrive in the recipient's account, while EFTs sent internationally tend to take around three days to arrive, on average.
Are EFTs and ACH payments the same? 🗽

More or less. An Automated Clearing House (ACH) payment is just one of the many different types of electronic funds transfers out there, and happens to be the one that's used domestically within the United States.
Are electronic funds transfers free? 💲

It depends. Many banks around the world offer their customers the ability to send EFTs free of charge, while others have small fixed fees or variable fees associated with each transfer. International EFTs (wire transfers), on the other hand, are pretty much never free, and typically cost anywhere between US$25 and US$40 per transfer.
Do electronic funds transfers go through on weekends? 🍹

No. Banks almost always process payments only on weekdays. This means that if you send an EFT on either a weekend or on a bank holiday, you'll have to wait for the next working day for the processing of your payment to begin.
Are EFT and wire transfers the same? 🔁

No. Wire transfers are a type of electronic funds transfer, whereas electronic funds transfers themselves are used to define a broad range of digital money transfer methods.

Other Popular Money Transfer Definitions

Mobile Money

September 30, 2022 - by François Briod

What Is A Direct Deposit?

December 20, 2021 - by Olivia Willemin

Prepaid Card

Exchange Rate Alerts: Definition, Use, and More

Direct Debit

International Wire Transfer: Definition, Exchange Rates, Fees, and More

Direct Entry

Why Trust Monito?

You’re probably all too familiar with the often outrageous cost of sending money abroad. After facing this frustration themselves back in 2013, co-founders François, Laurent, and Pascal launched a real-time comparison engine to compare the best money transfer services across the globe. Today, Monito’s award-winning comparisons, reviews, and guides are trusted by around 8 million people each year and our recommendations are backed by millions of pricing data points and dozens of expert tests — all allowing you to make the savviest decisions with confidence.

Learn More About Monito

Monito is trusted by 15+ million users across the globe.
Monito's experts spend hours researching and testing services so that you don't have to.
Our recommendations are always unbiased and independent.