This is from Chris Scudder's Scudder Family Resource Center:

"Scudder" or "skudder" is an old English term denoting a person employed in the tanning trade in the treatment of hides. The name could also be nautical in nature as "scud" is a nautical term. The word "schutter" means archer or bowman in Dutch or Flemish. It could also mean a shooter, which could be why the family arms include cannon balls. Family members of today in the Darenth Valley, Kent, are of the opinion that the name is of Dutch or Flemish origin. And, since many of the inhabitants of that part of England came from that part of the continent, there could be some credibility to that theory.

This surname is of particular interest to me beacause it is my closest dead end. I have not yet traced beyond my 2nd great grandmother:

Mary Jane SCUDDER Married Daniel NOFFSINGER on 22 Sep 1850 in Randolph Co, IN. [Ancestor #8936]