SFTP
SFTP (SSH File Transfer Protocol) is a secure network protocol used to transfer files between systems. It uses SSH (Secure Shell) to authenticate the connection and encrypt all data in transit.
Because it combines authentication and encryption in one protocol, SFTP is widely used in financial institutions. It reduces the risk of interception and simplifies firewall configuration compared to FTPS.
Why It Matters
SFTP is the industry standard for secure file transfers. It protects sensitive information like ACH files and vendor reports while maintaining full audit trails.
Common SFTP Uses
- Exchanging encrypted files with vendors
- Transferring ACH, wire, and payment files to core systems
- Uploading daily batch processing files
- Automating secure file transfers with orchestration software