Every day in the life of an RDFI (Receiving Depository Financial Institution), they have rejected or non-post items that need to be processed. If they return the entry, what is the Return Reason Code and the timeframe to return the Entry while in compliance with the Nacha Operating Rules.
Front-end and Operations staff struggle daily with the question – “When do I use a Stop Pay form and when do I need a Written Statement of Unauthorized Debit (WSUD)?” This is YOUR session! The trainer in this session will provide examples of when to use which form and why plus tying this information back to what the Nacha Operating Rules state to ensure you are in compliance each time you help your account holder with their request. Discussion and scenarios (plus review questions) to identify when and why to use Return Reason Code R10 or R11. How does Reg E error resolution fit in with disputed transactions in the ACH arena will be outlined during this 1-day seminar. Key points illustrated during this virtual seminar will assist your customer service and front-line staff as well as your operations staff.
Why Should You Attend:
This 1-Day virtual seminar WILL include examples and scenarios to practice the rules and help demonstrate how to apply best practices to remain in compliance with the Nacha Operating Rules when processing Exceptions. Customer service and operations staff struggle each day with the question from their customer – “What does my account holder want me to do…Stop this payment, return it, or they may be saying they revoked the transaction, or even disputing an unauthorized transaction -- what are the next steps?” Including the front-end issue of “What form do I need, what do I need to look for to be sure of what I’m doing when assisting my account holder with these delicate situations?” Several scenarios will be provided throughout this virtual seminar to help identify what questions to ask the account holder, what forms to be used (based on responses) and next steps when returning the Entry.
This session will help answer those struggles and concerns to help the front-line and operations staff determine when to use what form, and what the timeframe is to be able to Stop a Payment vs. outright returning an Entry (general returns) or a disputed transaction as unauthorized vs. authorization revoked (extended returns).
These two topics continue to be at the top as problematic when processing ACH exceptions on a daily basis. In addition, the ongoing struggle concerning the use of R10 vs. R11 (and when) when processing Unauthorized Returns or disputed returns.
Areas Covered:
Covered during this session, the trainer will:
- Define the Rules surrounding Stop Payments
- Identify the difference in the Rules between a consumer and non-consumer Stop Payment (includes single stop vs. recurring stop)
- Responsibilities of the RDFI for Stop Payments
- Difference between a Stop Pay form and a Written Statement of Unauthorized Debit (WSUD)
- List tips that will help customer service and frontline staff to ensure they are asking the right questions of the account holder to determine how to process the disputed transaction while remaining in compliance with the Nacha Operating Rules
- Outline what an unauthorized transaction is, vs. an entry where the authorization has been revoked, and when to use a Written Statement of Unauthorized Debit (WSUD)
- Minimum elements required for the WSUD - according to the Rules
- Identify the differences between using Return Reason Code R10 vs. R11 and what that means to the RDFI when returning entries
- Outline training tips for the ODFI to identify the differences between R10 and R11 for Return Entries and inform the Originator so they understand the difference between the two return codes
- Review timeframes for Stop Payments and all types of ACH Returns
- Illustrate what constitutes an entry to be returned as authorization revoked vs. Stop Payment vs. Unauthorized (with scenarios)
- Warranties of the RDFI when transmitting Extended Return Entries
- When to use Return reason code R07-Authorization Revoked
- Describe using scenarios and review questions (throughout the entire seminar) – what, when and how to process Stop Payments, Authorization Revoked, and Return General and Unauthorized Entries, and remain in compliance with the Nacha Operating Rules
Who will Benefit:
- Financial Institution professionals (new/current operations staff)
- Banking Operations managers and staff
- Compliance and Risk professionals
- Treasury Management professionals
- Aspiring and current AAP’s (Accredited ACH Professionals)
- Banking Managers/ Supervisors
- Audit and Compliance Personnel / Risk Managers.
In-Person Seminar going Virtual with increased learner satisfaction.
Yes, attend this seminar from anywhere. We are making it real and more interactive – Here's a sneak peek:Our enhanced delivery process and technology provides you an immersive experience and will allow you to access:
- The real-time and live presentation as in in-person events
- Private chat for company-specific conversation – the same as you would get in an in-person seminar
- Opportunities to connect with your peers to share knowledge at a different time and have group discussions
- Live workshop activities
- Live Q&A during the event and offline Q&A assistance after the event
- As usual more content, activities and case studies and now adding homework for a comprehensive understanding
- Certification
- 8:00 AM – Registration Begins
- To start this virtual seminar, we will review how the ACH network works, briefly covering the ACH participants and the flow of ACH transactions. The trainer will use examples of different types of payments to illustrate the types of transactions that are sent and received within the ACH network.
- Continuing, we will discover how Returns flow through the ACH network before we get into all the details surrounding the Returns process. Discussion on the struggles with front-end staff and operations each day; whether it’s (1) processing an exception item (rejected or non-posted transaction) and determining the “how-to” handle the entry or (2) answering questions from an account holder about a disputed transaction (or even to Stop a Payment). Differences between a consumer and non-consumer Stop Payment will be included. Discussion on what questions to ask, what forms to fill out and how to explain to your account holder what you are doing for them (based on their answers) and what this means to them. Basically, outlining the error resolution process for disputed transactions (includes difference between ACH Rules and Regulation E) – and outline the responsibilities of the consumer and the Financial Institution (the RDFI and ODFI) and the Originator. The trainer will outline how returning an Entry for non-consumer (business) accounts are different when it comes to remaining in compliance with the Nacha Operating Rules.
- Details and processes for ACH Stop Payments vs. Authorization Revoked vs ACH Unauthorized (disputed) Transactions; what forms to use and why; also, how to determine what Return Reason Codes to use and timeframes will all be a part of this seminar. What’s the difference between a Stop Payment form and a WSUD (Written Statement of Unauthorized Debit) will be included.
- We will be using examples and scenarios to practice application of the rules and help demonstrate how to apply best practices while remaining in compliance with the Nacha Operating Rules when processing exceptions.
- 10:30 AM – 11:30 AM – LUNCH BREAK
- 11:30 AM – Seminar/Workshop Resumes
- After lunch, discussion will continue with the entire Return process. Beginning with the WSUD (Written Statement of Unauthorized Debit) and the minimum information that MUST be included on that form, PLUS details on an Operations Bulletin (by Nacha) in 2023 relating to “suggested changes” to the WSUD. The trainer will provide a list of Return Reason Codes that REQUIRE the WSUD to be completed and signed BEFORE the Entry is returned.
- Details of the Return process for exceptions (rejected or non-post) can sometimes include a “manual posting process” by the RDFI; at which time a Notification of Change – NOC (COR Entry) can be sent instead of returning the transaction will be included. Warranties for the RDFI, responsibilities of the ODFI and the Originator when processing a COR Entry will all be a big part of this seminar to truly outline the intricacy of the exception processes with the ACH network.
- Timeframes related to each type of ACH Return will be covered (consumer and non-consumer); the reason for the Return (administrative or disputed) or Federal Government will be provided. A list of Return Reason Codes (including timeframes) will be provided as a take-away for participants.
- During the Return process outline, a chart of “processing times” for the ACH Operator indicating when they process Returns with Settlement times is covered, including the option of returning an Entry on the same day as settlement date for faster funds availability (this is for ALL types of transactions – not just “Same Day”).
- The trainer will walk us through the complete ACH Return process, from when the RDFI does the first Return, to the ODFI possibly dishonoring that Return and on to the RDFI potentially contesting that dishonored Return Enty. Discussion on who is responsible for what, timeframes and all other details for each participant in this complex Return process.
- Scenarios, examples and review questions throughout the seminar will demonstrate how the Return process can be somewhat simplistic with detailed information on the Nacha Operating Rules and hands-on training.
- 2:00 PM PT – Seminar/Workshop ends for Day 1
Donna K Olheiser
Owner, Dynamic Mastership, LLC
Donna founded Dynamic Mastership, LLC in December 2014 in an effort to utilize her 24+ years’ experience in the financial services industry, by sharing her passion for training financial institutions and organizations on the Rules and processes for electronic payments (with her specialty being ACH payments). She holds the Accredited ACH Professional (AAP) designation (achieved in 2004). Donna’s experience before founding Dynamic Mastership, includes 9 years' serving as the Education Service Director at a Regional Payments Association (RPA), where she managed and facilitated the entire Education program for nearly 800 financial institution members. Prior to that, Donna spent 14 years with the Federal Reserve Bank of Minneapolis in various departments, where she started her training career as the Training and Development Specialist in 2003.
Donna is a certified Master Trainer who continually uses her extensive knowledge, experience, enthusiasm and passion for transferring payment processing details, while using the adult learning theory is remarkable! Her training style has helped many payment professionals remain consistently informed of the NEW and ever-changing NACHA Operating Rules and explaining how the Rules apply when performing daily operational tasks including complex return and exception processing. She incorporates scenarios and examples in her detailed training, so the Rules are easy to comprehend and apply to real-life day-to-day ACH processing. Donna's ability to engage the learner through the entire training event helps the adult learner apply what they've learned during and after each training session.
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