Why Can't I Use the Instant Transfer Option for My Bank Account, and How Can I Ensure Quicker Transfers?
Instant cash transfers can significantly reduce waiting times compared to standard transfers, which take 1-2 business days. However, there are instances where you might not see the instant transfer option. Below, we explain key reasons, ways to ensure quicker transfers in the future, and upcoming changes planned by True Finance to enhance the availability of instant transfer options.
1. What is an Instant Transfer?
Instant transfers allow you to access funds within an hour and are available as a quicker, fee-based alternative to standard processing times of 1-2 business days. This option appears during the cash-out process if supported by your bank. Key Points:
Instant transfers are usually accompanied by fees.
You must select "Instant" instead of "Standard" at the cash-out screen for quicker processing.
2. Common Reasons for Instant Transfer Ineligibility
Several factors could prevent the instant transfer option from being available:
a. Unsupported Banks
FedNow currently supports only a limited number of banks, primarily excluding smaller banks and credit unions.
If your bank isn’t on the supported list, the instant transfer option will not appear.
b. Incorrect Processing Option Selection
If the standard transfer option was selected during the cash-out process, it cannot be canceled or adjusted once the transfer is initiated.
3. Improvement Efforts by True Finance
True Finance is actively working to expand instant transfer coverage through partnerships with additional providers. Here’s what is planned:
Timeline: A new partner aiming to ensure 100% bank coverage for instant transfers is expected to roll out broadly starting July 2025. This expansion should allow customers at smaller banks to access quicker transfers.
4. How to Successfully Utilize Instant Transfers
To maximize your chances of successful instant transfer:
Verify Your Bank’s Support: Check whether your bank supports FedNow’s instant transfer feature.
Carefully Select the Correct Processing Option: At the cash-out screen, always choose the "Instant" option if you require faster processing and your bank is eligible.
Understand Accompanying Fees: Instant transfers typically include a fee for faster service.
Frequently Asked Questions
What should I do if I selected instant transfer but my bank doesn’t support it?
If your bank doesn’t support instant transfers, the transaction may default to standard processing (1-2 business days). For future transactions, verify eligibility and avoid selecting instant transfer for unsupported banks.
Why does my transfer still take 1-2 business days after selecting instant transfer?
Once a transfer is in progress, True Finance cannot cancel or adjust the processing method. Delays might result from bank-side processing or issues within the transfer system. Always ensure you’ve selected the correct option before cashing out.
By understanding these limitations and taking proactive steps, you can better manage your finances and anticipate upcoming improvements by True Finance to ensure wider access to instant transfer capabilities.