Administrative Return Rate Threshold
Administrative Return Rate of three percent (3%).
With reference to a Participating DFI, any day on which such Participating DFI is open to the public during any part of such day for carrying on substantially all of its banking functions, and, with reference to an ACH Operator, any day on which the applicable facility of such ACH Operator is being operated.
A calendar day other than a Saturday, Sunday, or a Federal holiday in the United States.
An account held by a Participating DFI and established by a natural person primarily for personal, family, or household use and not for commercial purposes.
An entry related to a previous return, that has been dishonored by the receiving bank or ACH Operator.
An Entry that
- is a duplicate of an Entry previously initiated by the Originator or ODFI.
- is to or from a Receiver different than the Receiver intended to be credited or debited by the Originator.
- is for a dollar amount different than was intended by the Originator.
- is a debit Entry on a date earlier than the Receiver was intended to be debited by the Originator, or payment of a credit Entry on a date later than the Receiver was intended to be credited by the Originator.
- A debit Entry initiated by an Originator to a Consumer Account of the Receiver based on (a) any form of authorization that is communicated from the Receiver to the Originator via the Internet or a Wireless Network, except for an Oral Authorization via a telephone call; or (b) any form of authorization if the Receiver’s instruction for the initiation of the individual debit Entry is designed by the Originator to be communicated, other than orally via a telephone call, to the Originator via a Wireless Network.
- At the discretion of the Originator, a debit Subsequent Entry for which the Receiver’s affirmative action for the initiation of the Subsequent Entry is communicated by the Receiver to the Originator via the Internet, regardless of the manner in which the Standing Authorization was obtained.
- A credit Entry initiated by or on behalf of the holder of a Consumer Account that is intended for the Consumer Account of a Receiver, regardless of whether the authorization of such Entry is communicated via the Internet or Wireless Network.
Nacha Operating Rules
“Nacha Rules” or “ACH Rules”, or “Rules”
The Operating Rules of the National Automated Clearing House Association, including all appendices, formal rules interpretations, and schedule of fees, as in effect from time to time.
An account held by a Participating DFI and established by an Organization primarily for commercial purposes.
The company that processes the ACH transaction – either a deposit to a Receiver’s account (credit) or a payment from a Receiver’s account (debit) with authorization obtained from the Receiver.
Originating Depository Financial Institution
A Participating Depository Financial Institution with respect to Entries. Note that an RDFI is not considered an ODFI solely by reason of its initiation of Acknowledgment Entries, Return Entries, Extended Return Entries, or Notifications of Change.
- it Transmits directly or indirectly to an ACH Operator for Transmittal to an RDFI, and
- on which it is designated as the ODFI in accordance with Appendix Three (ACH Record Format Specifications).
Overall Return Rate Threshold
An Overall Return Rate of fifteen percent (15%).
Participating Depository Financial Institution
A financial institution that
- is authorized by applicable Legal Requirements to accept deposits,
- has been assigned a routing number by Accuity, and
- has agreed to be bound by these Rules
Person or an organization that has authorized an Originator to initiate an ACH transaction to the Receiver’s account with the RDFI. A Receiver may be either a company or a consumer, depending on the type of transaction
Receiving Depository Financial Institution
A Participating Depository Financial Institution with respect to Entries. An ODFI is not considered an RDFI solely by reason of its receipt of Acknowledgment Entries, Return Entries, Extended Return Entries, or Notifications of Change.
- it receives from its ACH Operator to the accounts of Receivers, and
- on which it is designated as the RDFI in accordance with Appendix Three (ACH Record Format Specifications).
An Entry to a Consumer Account that recurs at substantially regular intervals, without further affirmative action by the Receiver to authorize those future Entries.
Following the Return of an Entry, an Entry initiated to the same Receiver’s account in the same amount in payment or fulfillment of the same underlying obligation.
An originated entry that has been returned by the receiving bank or ACH Operator.
A credit or debit Entry that reverses an Erroneous Entry.
A File that reverses all Entries in an Erroneous File.
Same Day Entry
An Entry for which the Effective Entry Date is the same Banking Day as the date on which the Entry is Transmitted by the ODFI to its ACH Operator, and is Transmitted by the ACH Operator’s deadline for same-day processing and settlement. A Same Day Entry must be for an amount of $100,000 or less. An IAT or ENR Entry cannot be a Same Day Entry. An Entry with a stale or invalid Effective Entry Date will also be a Same Day Entry if it is Transmitted by the ODFI to its ACH Operator by the ACH Operator’s deadline for same-day processing and settlement, and is otherwise eligible for same-day processing and settlement.
A credit or debit Entry initiated by an Originator in accordance with the Receiver’s authorization for a one-time transfer of funds to or from the Receiver’s account.
Standard Entry Class Code
A three-character code that identifies the type of Entry.
An advance authorization by a Receiver of future Entries to the Receiver’s Consumer Account that requires further affirmative action by the Receiver to initiate those future Entries.
Unauthorized Entry Return Rate Threshold
An Unauthorized Entry Return Rate of one half of one percent (0.5%).
Written Statement of Unauthorized Debit
A written notice submitted to an RDFI by a Receiver requesting recredit to the Receiver’s account with the RDFI for a debit to the Receiver’s account that (a) was not authorized by the Receiver or was one for which the Receiver’s authorization was revoked; (b) was not initiated in accordance with the terms of the authorization; or (c) was an improperly-originated RCK Entry as provided in Section 3.12 (Written Statement of Unauthorized Debit).