A cut off time is the daily deadline by which a payment instruction must reach the bank to be processed that business day, and it determines the value date the payment receives.
General information, not financial, legal, or tax advice. Verify current terms and eligibility with the provider before applying.
How a cut off time works
Banks process payments in batches and through external clearing systems that themselves run to fixed daily schedules, so each bank sets a cut off time after which an instruction can no longer make that day's processing run. A payment submitted before the cut off is processed that business day, and one submitted after it, or on a weekend or public holiday, is processed on the next business day. The value date assigned to the payment depends on these cut off times and on the rules and market practice of the country where the receiving account sits. These arrangements were current in general terms as of 28 December 2025, and the exact times vary by provider.
Cut off time and value date
The value date is the day funds are settled and made available, and the cut off time is what determines it. Meeting the cut off means the payment takes that day's value date, while missing it pushes the value date to the next business day. For a payment that must arrive by a deadline, such as a payroll run or a supplier due date, the business needs to work back from the value date it needs and submit the instruction before the matching cut off.
Cut off times vary by payment type
Instant domestic schemes such as Faster Payments in the United Kingdom run around the clock, so their effective cut off is close to real time. High value and same day schemes such as CHAPS, and international wire and same day automated transfers, have earlier cut offs in the working day, often in the early afternoon, after which the payment moves to the next business day. Because the times differ by bank, currency, and route, a business should confirm the relevant cut off with its provider before relying on same day delivery.
Frequently asked questions
What is a cut off time in banking?
How does a cut off time affect when my payment arrives?
Why are cut off times different for each payment type?
How do I find my bank's cut off times?
Definitions, fees, features, and eligibility change and vary by region. This page was last reviewed on 28 December 2025. Confirm current terms with the provider before applying.