What is Warehousing ?
WAREHOUSING – The ability of an ODFI to receive a file from an originator prior to the Effective Entry Date and hold it for release to the ACH operator or for a RDFI to receive entries ahead of the Settlement Date and hold them without posting until the Settlement Date.
Prenotification Entries Waiting Period
Effective September 19, 2014
This change permits an ACH Originator that has originated a prenotification to initiate subsequent ACH entries as soon as the third banking day following the settlement
date of the prenote.
IMPACT TO CORPORATE USERS:
Within this ACH Rule change, the ACH Corporate Originator may initiate a live dollar ACH entry as soon as the third banking day
following the settlement date of the prenote.
If the ACH Originator receives a return or Notification of Change on the prenote, the ACH Originator is not permitted to send future entries to an account until it has
remedied the reason for the return or made the correction requested by the Notification of Change.
Keep in mind, that prenotes are an optional practice, and are not required by the ACH Rules. If an ACH Corporate Originator does not choose to wait the three banking
days required by this ACH Rule, it should avoid sending a prenote altogether.
Unintended Credit to a Receiver
Effective March 20, 2015
ODFI’s Right to Dishonor a Debit Return that Causes an Unintended Credit to the Receiver
The new ACH Rule establishes the right of an ACH Originator or its financial institution to dishonor the return of a debit entry if the return entry results in an unintended
credit to the receiver because:
1. The return entry relates to a debit that was sent erroneously or is reversing an erroneous credit,
2. The ODFI has already originated a credit reversal to correct the erroneous entry, and
3. The ODFI has not received a return of that erroneous credit or credit reversal.
The amended ACH Rule defines a new dishonored Return Reason Code (R62 – Return of Erroneous or Reversing Debit) for this purpose.
RDFI’s Right to Contest a Dishonored Return Involving an Unintended Credit to Receiver
The Rule also establishes the right of an RDFI to contest this type of dishonored Return if either of the following conditions exists:
1. The RDFI returned both the Erroneous Entry and the related Reversal; or
2. The RDFI is unable to recover the funds from the Receiver.
The new ACH Rule defines a new contested dishonored Return Reason Code (R77 – Non-Acceptance of R62 Dishonored Return) for this purpose.
IMPACT TO CORPORATE USERS: ACH Corporate Originators must understand the use of and be able to dishonor Returns as R62 – Return of Erroneous or Reversing
Debit by March 2015.
ACH Corporate Originators must also understand the use of and be able to accept Contested Dishonored Returns as R77 – Non-Acceptance of R62 Dishonored Return.
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