NACHA Rule Changes

Effective: 2015-09-18 This Amendment to the Rules reduces the current return rate threshold for unauthorized debit Entries (Return Reason Codes R05, R07, R10, R29 and R51) from 1.0 percent to 0.5 percent of the total Entries originated.

Effective: 2015-09-18 Reinitiation is the method permitted in the Rules to resubmit a returned Entry. The NACHA Rules now formally define the types of Entries that may be reinitiated, and those that are prohibited from reinitiation. This new Rule requires a reinitiated Entry to contain identical content in the following fields: Company Name, Company ID, and Amount. The Rules permit modification of other fields only to the extent necessary to correct an error or facilitate... Read More

Effective: 2015-03-20 Provides an originator/ODFI with an additional mechanism to resolve, via the automated return process, situations in which use of the reversal process has resulted in, or not resolved, an unintended credit to the receiver. Establishes new dishonor return reason code for ODFI Return (R62-Return of Erroneous or Reversing Debit) to dishonor the return of an erroneous debit or the reversal, provided that the associated credit entry (the reversal or the erroneous credit) was... Read More

Effective: 2015-03-20 This Amendment eliminates the use of change code C04 (Incorrect Individual Name/Receiving Company Name) on NOC Entries to mitigate compliance and liability challenges for Originators, ODFIs and RDFIs that use this NOC code.

Effective: 2015-01-01 This Rule revises the NACHA Operating Rules to clarify that, with the exception of an IAT (International ACH Transaction) Entry, the Prenote Entry does not need to include addenda records that are associated with the subsequent live Entry. The Rules require that the format of a Prenote Entry be the same as the live Entry. There are, however, some differences between Prenotes and live Entries to which the Prenote relate: The dollar amount... Read More

Effective: 2015-01-01 This new Rule adds more options for which NACHA may begin an initial investigation or Rules enforcement proceeding when an entity originates an excessive number of unauthorized Entries. This could result in increased investigations of Originator activity, and could ultimately result in fines passed on to those Originators. NOTE: We suggest that you review existing NACHA Rules regarding authorization requirements pertaining to originating ACH Entries to ensure your organization's compliance with the Rules.... Read More

Effective: 2015-01-01 This Rule makes explicit a Third Party Sender's existing obligation to monitor, assess and enforce limitations on their customer's origination and return activities in the same manner as the Originating Depository Financial Institution (ODFI) does today. The Rule also requires that a Third Party Service Provider or Third Party Sender provide proof of completion of its Rules compliance audit to its ODFI upon request, in order to fulfill a request from NACHA. Failure... Read More

Effective: 2014-09-19 Expands the current audit requirement for ODFIS by requiring an ODFI to verify that it provides the RDFI with proof authorization or originator contact information for CCD, CTX and IAT entries to non-consumer accounts.

Effective: 2014-09-19 Reduction in Waiting Period for Live Entries - reduces the current six banking day waiting period between the initiation of a prenotification and "live' entries for originators choosing to originate prenotes. It also clarifies the originator's obligations with respect to a notification of change (NOC) received in response to a prenote.

Effective: 2014-09-19 Permits an RDFI to request proof of a non-consumer receiver's authorization for a CCD or CTX entry or an inbound IAT entry and details allowable methods by which an ODFI can satisfy the RDFI's request. The record or information must be provided to the RDFI within ten banking days without charge.

Effective: 2014-03-21 Non-Consumer Receiver's Obligation to Credit Originator's Account - revises the text and title of Article Three, Subsection 3.3.1.3 (Non-Consumer Receiver Must Credit Originator's Account) to make the section's intent clearer and easier to understand for ACH Network participants.

Effective: 2014-03-21 Requires identification of the ultimate foreign beneficiary or payer of funds in any inbound IAT entry (debit or credit) where that party is not the originator or receiver of the entry.

Effective: 2014-03-21 Clarifies that any country named within various fields of an IAT entry must be identified using that country's 2-digit alphabetic ISO Country Code, as defined by the International Organization for Standardization's (ISO) 3166-1-alpha-2 code list.

Effective: 2014-03-21 Clarifies that an ARC, BOC, or POP Entry may also be considered an incomplete transaction regardless of whether the account that is debited is a consumer account or a non-consumer account.

Effective: 2014-03-21 Clarifies certain sections of the Rules with respect to their application to P2P credit Web entries and corrects a minor discrepancy between return reason code descriptions.

Effective: 2014-03-21 Standardizes the use of the ACH Network for P2P payments and clarifies use of SEC codes WEB and CIE.

Effective: 2014-03-21 Revises two IAT field descriptions, "Originator City and State/Province" and "Receiver City and State/Province", to clarify that, in addition to the backslash (\), the tilde(~) may be used as a data segment terminator. This Rules change allows consistent use of the tilde as data segment terminator for all entries.

Effective: 2014-01-21 Addresses technical and drafting discrepancies between Reversing Entries and Reclamation Entries and makes the rules related to Reclamation Entries consistent with those for Reversing Entries to the extent possible.

Effective: 2013-09-20 The ACH Security Framework establishes minimum data security obligations for ACH Network participants to protect ACH data within their purview. This Rule is aimed at protecting the security and integrity of certain ACH data throughout its lifecycle, and is intended to be consistent with other data security obligations of ACH Network participants. The Rule implementation includes three sets of rules: Protection of Sensitive Data and Access Controls Self-Assessment; and Verification of Third-Party Senders... Read More

Effective: 2013-09-20 This Rule revises language regarding the effective period of a stop payment order related to a debit Entry to a Non-Consumer Account, incorporating two additional conditions under which a stop order would lapse. Prior to this change, a stop payment order on a Non-Consumer Entry will expire after six months, unless it is renewed in writing. The Rules will now take into account two additional conditions under which an RDFI may remove the... Read More