Getting paid
Wire transfer
A wire transfer is an electronic, bank-to-bank transfer of funds, usually settled quickly and often used for large or international payments.
How wire transfers work
A wire transfer moves money directly from one bank account to another through networks like Fedwire or, internationally, SWIFT. The sender gives their bank the recipient’s account details, and the funds are sent individually rather than in a batch.
Wires are fast — often same-day for domestic transfers — and considered final once sent, which makes them suitable for high-value or time-sensitive payments. They also usually carry a fee on one or both ends.
Wire transfer vs. ACH
Both move money bank-to-bank, but wires are faster, individually processed, and costlier, while ACH is cheaper, batched, and a bit slower. Wires shine for large sums and international payments; ACH is better for routine domestic invoices and recurring billing.
Because wires are hard to reverse, double-check recipient details before sending — wire fraud relies on tricking senders into wiring to the wrong account.
Example: An international client pays a $20,000 invoice by wire transfer so the funds arrive quickly and securely, rather than waiting on a slower, domestic-only ACH transfer.
FAQs
Frequently asked questions
What’s the difference between a wire transfer and ACH?
Wires are faster, processed individually, and more expensive, and work internationally; ACH is cheaper, batched, slower, and best for routine domestic payments.
Are wire transfers reversible?
Generally no — once sent, a wire is considered final, which is why you should verify the recipient’s details carefully before sending.
Related terms
ACH payment
An ACH payment is an electronic bank-to-bank transfer processed through the US Automated Clearing House network, commonly used to pay invoices and run payroll.
Invoice payment
An invoice payment is the funds a buyer sends to a seller to settle the amount owed on an invoice, by or before its due date.
Payment terms
Payment terms are the conditions on an invoice that state when payment is due and how it should be made — for example "Net 30" or "Due on receipt."
Put it into practice
WaffleInvoice lets you create branded invoices, set payment terms, collect payments online, and automate reminders — free for unlimited invoices.
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