There are two timeout settings:
Max Wait Time: Amount of time the caller (the code requesting a connection) will wait before getting a connection timeout. The default is 60 seconds. A value of zero forces caller to wait indefinitely.
To improve performance set Max Wait Time to zero (0). This essentially blocks the caller thread until a connection becomes available. Also, this allows the server to alleviate the task of tracking the elapsed wait time for each request and increases performance.
Idle Timeout: Maximum time in seconds that a connection can remain idle in the pool. After this time, the pool can close this connection. This property does not control connection timeouts on the database server.
Keep this timeout shorter than the database server timeout (if such timeouts are configured on the database), to prevent accumulation of unusable connection in Enterprise Server.
For best performance, set Idle Timeout to zero (0) seconds, so that idle connections will not be removed. This ensures that there is normally no penalty in creating new connections and disables the idle monitor thread. However, there is a risk that the database server will reset a connection that is unused for too long.