Difference between EFT and Wire Transfer?
EFT (Electronic Funds Transfer) and wire transfers are both electronic methods of moving money, but they differ in several key aspects:
Like EFT is an overarching term that includes various electronic payment methods such as wire transfers, ACH transfers, debit card transactions, and more whereas Wire transfer is a specific type of EFT involving direct fund transfer between banks through secure messaging networks like SWIFT or Fedwire.
Difference in terms of Speed & Cost
EFT payments processing times vary; ACH transfers typically take 2-3 business days, while debit card transactions are instantaneous. EFT payments are more cost-effective & have minimal fees whereas Wire transfer is much faster, often completed within the same day or a few hours, making it ideal for urgent payments but more expensive due to faster processing and enhanced security features
