Upcoming Industry Changes – Same Day ACH

Upcoming Industry Changes – Same Day ACH

On Friday, September 23rd, 2016, ACH payments in the U.S. will undergo a significant change with the introduction of Same Day ACH (Phase I).  The goal of Same Day ACH is to allow the U.S. payments system to accelerate certain types of ACH payments.  The process of implementing Same Day ACH will occur in three phases over the next three years.

  • What is Same Day ACH? Same Day ACH will allow U.S. financial institution to process certain ACH payments during the current day.  Eventually, both consumers and businesses will be able to send and receive ACH credits and debits to external accounts during the same day if submitted by 1:45 PM CST.
  • What is Same Day ACH (Phase I)? On September 23rd, Phase I will be implemented.  During this phase, financial institutions will be required to receive and post domestic ACH credits up to $25,000 if properly submitted.  Funds will be required to be available to the account holder by the end of the processing day.

Some financial institutions may allow ACH originators to submit Same Day ACH credit transactions during Phase I, while others may choose to opt out completely.

Most of the changes associated with Same Day ACH will be transparent to bank clients.  Phase I will begin laying the foundation for the subsequent phases.  We will communicate information about these upcoming phases as they occur.

  • How will Oakworth Capital Bank respond to Same Day ACH (Phase I)? Oakworth Capital will begin accepting Same Day ACH credits up to $25,000 as required.  These credits will be memo posted to the designated account during the day, with full credit being granted to the account holder by the end of the day.

Oakworth Capital will begin allowing certain ACH Originators the ability to initiate Same Day ACH transactions in 2017.  Details to follow!

Who do I contact if I have questions regarding Same Day ACH or Oakworth Capital’s plans surrounding Same Day ACH? Please contact your Oakworth Capital Client Advisor or Trent Green at (205)263-4711 / trent.green@oakworthcapital.com.

Introducing Business Bill Pay

Oakworth Capital now offers Business Bill Pay!  We are pleased to introduce Business Bill Pay to our Oakworth Online Suite of Services.  This multi-tiered service is designed to streamline the Accounts Payable payment and management process for commercial and business clients through a single sign-on application within Oakworth Online.

  • Issue  payments directly from an account via check
  • Singular or Dual Control options
  • Direct integration with certain accounting systems, including Quickbooks
  • Import, create, manage and pay invoices
  • No need to maintain check stock, stamps or envelopes

To get started, contact your Client Advisor, or contact us

Oakworth Capital Bank receives perfect Texas ratio score

Birmingham banks were among some of the region’s healthiest and the state of Alabama’s unhealthiest, according to recently-released Texas ratio scores for the third quarter of 2015. While Birmingham’s Oakworth Capital Bank was the city’s only bank with a perfect Texas ratio score of 0.0, the Magic City’s Alamerica Bank was given the worst rating in the state, with a lofty 120 score…


Upcoming Changes to Credit and Debit Cards – EMV

Debit_tif (523x480) (2) (400x367) (200x184)On October 1, 2015, credit and debit card payments in the U.S. will undergo a significant change with the introduction of EMV guidelines for cards and processing terminals. The goal of EMV technology is to reduce the fraud risk associated with in person or “card present” transactions. Oakworth Capital would like to communicate some frequently asked questions regarding EMV and how it will affect your credit and debit card transactions.

  • What is EMV? EMV stands for “EuroPay, Mastercard, and Visa” and refers to chip enabled payment devices, primarily credit and debit cards. Each chip is a microprocessor that will interact with Point-of-Sale and ATM systems.
  • Why EMV and why now? EMV chips have the ability to protect cardholder and transaction information. The United States is the only major country in the world to still operate its card payment systems using “Mag Stripe” technology, which was originally developed in the 1970’s. The Mag Stripe technology is easily susceptible to fraud since the cardholder and transaction information remain unprotected. 

Over 80 countries around the world have converted to the EMV standard over the last 10 years. There are currently over 2.37 billion chip payment cards in use worldwide. Canada, most of Europe, Latin America, the Caribbean, Africa, the Middle East and Asia have converted both cards and Point-of-Sale/ATM terminals to allow EMV transactions.

Major card issuers began issuing mandates for EMV conversion to financial institutions and retailers in the U.S. as early as 2011. Backed by legislation, the dates for voluntary conversion to the EMV standard were set for October 1, 2015 for retailers and October 1, 2017 for automated fuel dispensers.

  • How Does EMV work? EMV technology benefits cardholders by reducing card fraud resulting from counterfeit, lost and stolen cards. Key information is stored on the chip and not on the Mag Stripe. EMV secures transactions in three main areas: (1) Card Authentication, (2) Cardholder Verification, & (3) Transaction Authentication 

EMV transactions require the cardholder to insert their card into a terminal instead of swiping. The card will usually need to remain in the terminal for 30-45 seconds while the transaction processes.

  • Will all retailers be able to process EMV transactions beginning on October 1, 2015? No. Retailers in the U.S. are beginning to update their Point-of-Sale/ATM terminals to process EMV transactions. Major retailers have been upgrading their terminals for months and some are already allowing EMV transactions to process. Smaller retailers will be converting over the next several years. 
  • Beginning October 1, 2015, do all credit and debit cards have to have an EMV chip to work? Absolutely not. Retailers will continue to allow traditional Mag Stripe cards to work. Oakworth Capital clients should not expect any issues using their current cards. 
  • How and when are Financial Institutions issuing EMV cards? Each Financial Institution will choose a conversion timeline that best suits their needs while some Financial Institutions may not convert at all. Some issuers have already begun converting their card portfolios, while others have decided on a later date or to phase in EMV cards over a multi-year period. 
  • When will Oakworth Capital issue EMV cards? Oakworth Capital will begin issuing both EMV credit cards and EMV debit cards in the first quarter of 2016. 

Who do I contact if I have questions regarding EMV or Oakworth Capital’s plans surrounding EMV? Please contact your Oakworth Capital Client Advisor or Trent Green at (205)263-4711 / trent.green@oakworthcapital.com.

FDIC Equal Housing Lender

Oakworth Announces New Team In Mobile, Alabama

Picture1Oakworth Capital Bank is pleased to announce that the following team of professionals has joined our company to serve the South Alabama market:

Mr. John Hensley –              Managing Director
Mr. Bud Doyle –                   Senior Client Advisor
Mr. Tom Roberts –               Senior Client Advisor
Ms. Katie Smith –                 Assoc. Managing Dir.
Mr. Wade Gordon –             Client Advisor
Ms. Michele Stewart –         Client Support
Ms. DeEdra Pugh –             Client Support

While this team will initially implement Oakworth Capital’s wealth management platform in South Alabama, the company intends to establish a full-service office, including commercial and private banking in the near future. Scott Reed, Senior Managing Director and Chief Executive Officer, of Oakworth Capital Bank states, “We are extremely excited that this team will lead our wealth management efforts in South Alabama. These individuals share our set of client-centered core values making this a natural fit for our company and an extension of our services into this market. Additionally, Mobile is a city on the move, and Oakworth is excited to be a part of its progress.” John Hensley shared, “Our group was immediately drawn to the Oakworth team and its stated core purpose and values. The Oakworth people and their client-centered focus are consistent with our group’s approach. We look forward to affiliating with a successful and growing organization.”

About Oakworth Capital

Oakworth Capital Bank provides commercial banking, wealth management and private banking services to successful businesses, families and individuals. For more information about Oakworth Capital Bank and its unique approach, please visit the company website at www.oakworthcapital.com or call us at 205/263-4700.

Oakworth Capital Bank to merge with Montgomery based AlaTrust Inc.

ocbatOakworth Capital Inc., the parent company of Birmingham’s Oakworth Capital Bank, has signed an agreement to acquire Montgomery’s AlaTrust Inc. AlaTrust, an independent, state-chartered trust company that provides a rangate of wealth management services, will become part of Oakworth Capital Bank and operate under its existing management team. Financial terms of the deal were not disclosed. The deal is expected to close in the third quarter. The deal must be approved by AlaTrust shareholders and regulators. The combined organization will have approximately $750 million in wealth/trust assets and $330 million in total bank assets…Read More…


Alice B. Womack has joined our team!

Oakworth Welcomes Alice B. WomackOakworth Capital Bank is pleased to announce that Alice B. Womack has joined our team of financial professionals as a Client Advisor. Alice brings over 20 years of financial experience to Oakworth’s client advisor group. She will be focused on providing financial services to high net worth individuals, corporate and professional executives and their families as well as professional small to mid-sized commercial firms and charitable entities.  A very warm welcome to Alice!