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Personal Finance (Not Investing) • Money market redemption mechanics

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No settlement required. If you purchase a mutual fund using your bank account, they initiate an ACH pull. As soon at the funds arrive at Vanguard, the purchase is made. Likewise for a sale. The day of the sale, an ACH is initiated from Vanguard and a day or two later it appears in your bank account. If you sell on Monday, the funds are in your bank on Wednesday.
I played around with the mobile app. Neither Schwab nor fidelity allow you to buy or sell with ach from and to external bank account. I am guessing this is unique to vanguard.
Note that while Vanguard has what I think is a $1 million ACH limit, your bank probably has a much lower one -- $50,000 or $25,000 or $5,000 or even $1,000. These are defaults. Usually you can ask to have your bank's ACH limit increased.

Statistics: Posted by Franz — Thu Nov 13, 2025 11:40 pm — Replies 16 — Views 1019



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