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Return Codes

Directory of ACH Return Codes

The Return Codes and NACHA Definitions included below are all quoted directly from 2009
ACH Rules: A Complete Guide To Rules & Regulations Governing the ACH Network (National
Automated Clearing House Association, 2009)
 
The ACH Return Codes can be associated with ACH payment
processing.  This is not a complete list of ACH Return Codes--
those related only to government payments, ATMs, ACH credits,
paper check conversion, or inter-bank communications have
been omitted.
 
R01    Insufficient Funds
NACHA The available and/or cash reserve balance is not sufficient to cov
Definition: dollar value of the debit entry.

What it Means: There were insufficient funds in your customer’s account to comp
transaction. You will see this type of ACH Return displayed in
PaySimple with a Return Reason of “Non Sufficient Funds” or “NS

What to Do: You can direct the ACH processor to automatically re-submit tran
returned for insufficient funds.  This setting is attached to your A
Processing Account, and is not included in your PaySimple system
If your account was not initially configured for an automatic re-s
please contact Customer Care so that we can make the appropri
adjustment with your ACH processor. Note that if you configure
re-submit, you run the risk of the transaction being returned aga
incurring a second ACH Return fee.
 
You can also contact your customer for a different form of paym
them for a date when the account will contain funds so that you
manually submit the transaction again.
 
If you have not yet shipped the goods or provided the services c
the payment, you may want to wait to do so until you have conf
 a settled payment.

When you re-submit a R01 or R09 (NSF) transaction y

  only re-submit for the original transaction amount-- y
CANNOT add in the ACH Return Fee assessed to your
If you want to collect this fee from your customers it
authorized as a SEPARATE ACH transaction and you m
manually enter this transaction in PaySimple.

However, you are allowed to include the following sta

in your Terms & Conditions so that when your custom
authorize the initial transaction, they also authorize a
transaction to collect the ACH Return Fee in the case
or R09 (NSF) transaction.

In the case of an ACH Transaction being rejected for Non

Funds (NSF) I understand that {your company name} ma
discretion attempt to process the charge again within 30 d
agree to an additional {insert $} charge for each attempt
NSF which will be initiated as a separate transaction from
authorized payment.

R02    Account Closed

NACHA A previously active account has been closed by action of the c
Definition: the RDFI.

What it Means: The bank account you attempted to charge is closed, and you
submit this transaction.

What to Do: Contact your customer for a different bank account, or for ano
of payment.If you have not yet shipped the goods or provided
services covered by the payment, you may want to wait to do
you have confirmation of a settled payment.

R03    No Account/Unable to Locate Account

NACHA The account number structure is valid and it passes the check
Definition: validation, but the account number does not correspond to the
identified in the entry, or the account number designated is no
existing account.

What it Means: When entering the transaction, the Routing Number, Bank Acc
Number, and/or the Customer Name was entered incorrectly.
re-submit this transaction.

What to Do: Contact your customer and confirm the Routing Number, Bank
Number and the exact name on the bank account. (You may w
your customer to fax a copy of a voided check so that you can
check these values yourself.) If this information does not exac
what you initially entered, make changes and submit a NEW p
you did enter everything correctly, please contact Customer C
we can further investigate the problem.

R04    Invalid Account Number

NACHA The account number structure is not valid. The entry may fail
Definition: digit validation or may contain an incorrect number of digits.

What it Means: When entering the transaction, the Bank Account Number ente
definitely wrong.  You cannot re-submit this transaction.

What to Do: Contact your customer and obtain the correct bank account nu
(You may want to ask your customer to fax a copy of a voided
that you can double-check the bank account number yourself.
NEW payment using the corrected bank account number.

R05    Unauthorized Debit to Consumer Account Using

Corporate SEC Code
NACHA A CCD, CTX, or CBR debit entry was transmitted to a Consume
Definition: of the Receiver and was not authorized by the Receiver. [A CC
debit entry was transmitted to a Consumer Account of the Rec
was not authorized by the Receiver.] The Receiver may reques
immediate credit from the RDFI for an unauthorized debit. The
must be made in writing within fifteen (15) days after the RDF
makes available to the Receiver information pertaining to that
 entry. The Receiver must also provide the RDFI with a written
pursuant to subsection 8.6.6 (Receiver's Written Statement), t
debit entry was not authorized by the Receiver. For purposes o
and related Operating Rules provisions, a debit entry was not
by a Receiver if (1) the authorization requirements of Article T
subsection 2.1.2 (Receiver Authorization and Agreement) have
met; (2) the debit entry was initiated in an amount greater th
authorized by the Receiver; or (3) the debit entry was initiated
settlement earlier than authorized by the Receiver. An unauth
debit entry does not include a debit entry initiated with fraudu
by the Receiver or any person acting in concert with the Recei
RDFI using this return reason code must transmit the return e
ACH Operator's deposit deadline for the return entry to be ma
available to the ODFI no later than the opening of business on
banking day following the sixtieth calendar day following the S
Date of the original entry.

What it Means: An ACH Transaction entered as “CCD” was attempted against

consumer’s personal bank account, and the consumer reported
transaction to the bank as not authorized.  Ordinarily a “CCD”
has a 3-day window in which the transaction can be disputed,
code directs the bank to honor the return if it is entered within
the original transaction.  This is done because the transaction
incorrectly coded as “CCD” when entered.  “CCD” is used only
charging a business bank account.  This is an “unauthorized” r
and will result in your account being assessed the ACH Charge
(See ACH Chargeback Return Codes.)You cannot re-submit th
transaction.  Any additional transactions you attempt to proce
this account will also be returned unless your customer specifi
instructs his bank to accept them.

What to Do: Contact your customer and resolve any issues that caused the
transaction to be disputed.You can ask the customer for a diffe
of payment, or ask to debit a different bank account. If you ne
the same bank account, instruct your customer to call the ban
remove the block on transactions your company initiates.  The
PaySimple Customer Care and inform them that the block has
lifted.  You will be informed when it is permissible to re-submi
transaction.  When you do, be certain to use the proper ACH T
personal bank account and NOT the “CCD” type. (See Appendi
Authorizing Transactions for detailed information on ACH Type
Unfortunately, there is no dispute resolution available to you w
ACH Network.  If your customer continues to claim the transac
 not authorized, but you have proof that it was properly author
will need to sue your customer in Small Claims Court to collec
decide to take this course of action, please contact PaySimple 
Care to obtain a copy of the statement your customer submitt
bank-- You will need this document to pursue your case.

R06    Returned per ODFI's Request

NACHA The ODFI has requested that the RDFI return the ACH entry. I
Definition: agrees to return the entry, the ODFI must indemnify the RDFI
to Article Eight (Recall, Stop Payment, Recredit, and Adjustme
these Rules.

What it Means: The bank that submitted a transaction on your behalf is asking
customer’s bank to reverse it.  This typically happens if there
technical problem during processing that causes transactions t
submitted incorrectly.  In rare instances it can also happen if t
suspects it is being used to submit fraudulent transactions.  Yo
re-submit this transaction.

What to Do: Contact PaySimple Customer Care to determine why the bank

the payment be returned.

R07    Authorization Revoked by Customer

NACHA The RDFI's customer (the Receiver) has revoked the authoriza
Definition: previously provided to the Originator for this particular transac
Receiver may request immediate credit from the RDFI for an
unauthorized debit. The request must be made in writing with
(15) days after the RDFI sends or makes available to the Rece
information pertaining to that debit entry. The Receiver must a
provide the RDFI with a written statement that the authorizati
debit entry has been revoked by the Receiver. The RDFI must
rescinded transaction to its ACH Operator by its deposit deadli
adjustment entry to be made available to the ODFI no later th
opening of business on the banking day following the sixtieth c
day following the Settlement Date of the original entry. This co
related Operating Rule provisions apply to Consumer entries o
This Return Reason Code may not be used for POP entries, Sin
 WEB entries, or TEL entries.)

What it Means: Your customer reported to the bank that the transaction was n
authorized because they revoked your authorization to proces
payment prior to the transaction date.This code can only be us
time or recurring transactions processed against a consumer’s
bank account with an ACH Type of PPD, or on a recurring tran
with an ACH type of WEB.  Typically you will see this return co
customer revokes authorization for a recurring payment sched
you continue to process payments as part of that schedule.Thi
“unauthorized” return code, and will result in your account bei
assessed the ACH Chargeback Fee. (See ACH Chargeback Retu
for more information.)You cannot re-submit this transaction.  
additional transactions you attempt to process against this acc
also be returned unless your customer specifically instructs his
accept them

What to Do: Immediately suspend any recurring payment schedules entere

bank account.  This will prevent additional transactions from b
returned while you address the issue with your customer.  The
your customer and resolve any issues that caused the transac
disputed or the schedule to be cancelled.You can ask the custo
different form of payment, or ask to debit a different bank acc
certain to get proper authorization from your customer to deb
account. (See Authorizing Echeck (ACH) Transactions for more
information on how to do this.)If you need to debit the same b
account, instruct your customer to call the bank and remove t
transactions your company initiates.  Then contact PaySimple 
Care and inform them that the block has been lifted.  You will
informed when it is permissible to re-submit the transaction.
Unfortunately, there is no dispute resolution available to you w
ACH Network.  If your customer continues to claim the transac
not authorized, but you have proof that it was properly author
will need to sue your customer in Small Claims Court to collec
decide to take this course of action, please contact PaySimple 
Care to obtain a copy of the statement your customer submitt
bank-- you will need this document to pursue your case.

R08    Payment Stopped  

NACHA The Receiver of a debit transaction has the right to stop paym
Definition: specific ACH debit. A stop payment request should be handled
accordance with the provisions of Article Eight (Recall, Stop Pa
Recredit, and Adjustment) of these Rules. The RDFI should ve
Receiver's intent when a request for stop payment is made to
is not intended to be a revocation of authorization (R07). A sto
order shall remain in effect until the earliest of the following oc
lapse of six months from the date of the stop payment order,
the debit entry has been stopped, or the Receiver withdraws t
payment order.

What it Means: Your customer instructed its bank not to honor a specific trans
previously authorized you to process.  This instruction to the b
be made BEFORE the transaction is actually processed. You ca
submit this transaction, but you can process additional new pa
against this account.

What to Do: Contact your customer and resolve any issues that caused the
transaction to be stopped. To minimize the risk of additional re
transactions, it is a good idea to make certain that your custom
understands your billing procedures, and agrees not to stop fu
payments.You can re-enter the returned transaction again wit
authorization from your customer.  You can also ask your cust
different form of payment.

R09    Uncollected Funds  

NACHA Sufficient book or ledger balance exists to satisfy the dollar va
Definition: transaction, but the dollar value of transactions in the process
collection (i.e., uncollected checks) brings the available and/or
reserve balance below the dollar value of the debit entry.

What it Means: There were insufficient funds in your customer’s account to co

transaction.

What to Do: You can direct the ACH processor to automatically re-submit t
returned for insufficient funds.  This setting is attached to you
Processing Account, and is not included in your PaySimple 3.0
settings.  If your account was not initially configured for an au
submit, please contact Customer Care so that we can make th
appropriate adjustment with your ACH processor.  Note that if
configure automatic re-submit, you run the risk of the transac
 returned again, and incurring a second ACH Return fee.You ca
contact your customer for a different form of payment, or ask
date when the account will contain funds so that you can man
submit the transaction again.
 
If you have not yet shipped the goods or provided the services
by the payment, you may want to wait to do so until you have
confirmation of a settled payment.

R10    Customer Advises Not Authorized, Notice Not

Provided, Improper Source Document, or Amount of Entry
Not Accurately Obtained from Source Document  
NACHA For entries to Consumer Accounts that are not ARC, BOC, POP
Definition: entries, the RDFI has been notified by its customer, the Receiv
the Originator of a given transaction has not been authorized t
account.....The Receiver may request immediate credit from th
an unauthorized debit. The request must be made in writing w
fifteen (15) days after the RDFI sends or makes available to th
information pertaining to that debit entry. The Receiver must a
provide the RDFI with a written statement, pursuant to subsec
(Receiver's Written Statement), that the debit entry was not a
by the Receiver. For purposes of this code and related Operati
provisions, a debit entry was not authorized by the Receiver if
authorization requirements of Article Two, subsection 2.1.2 (R
Authorization and Agreement) have not been met; (2) the deb
was initiated in an amount greater than that authorized by the
or (3) the debit entry was initiated for settlement earlier than
by the Receiver. An unauthorized debit entry does not include
entry initiated with fraudulent intent by the Receiver or any pe
acting in concert with the Receiver. The RDFI must return the
transaction to its ACH Operator by its deposit deadline for the
adjustment entry to be made available to the ODFI no later th
opening of business on the banking day following the sixtieth c
day following the Settlement Date of the original entry....OR fo
BOC entries, the RDFI has been notified by its customer, the R
that (1) the Receiver opted out of check conversion, (2) the re
notice was not provided by the Originator in accordance with A
Three, subsection 3.7.1 (Notice Obligation) or subsection 3.8.1
Obligation), (3) the source document used for the debit entry
pursuant to subsection 3.7.2 (Source Documents) or subsectio
 (Source Documents), or (4) the amount of the ARC or BOC en
accurately obtained from the source document. The Receiver m
request immediate credit from the RDFI for an ARC or BOC en
reasons described above. The request must be made in writing
fifteen (15) days after the RDFI sends or makes available to th
information relating to that debit entry. The Receiver must als
the RDFI with a written statement, pursuant to subsection 8.6
(Receiver's Written Statement for ARC and BOC Entries), that
Receiver optedout of check conversion, (2) the required notice
provided, (3) the source document used for the debit entry is
or (4) the amount of the ARC or BOC entry was not accurately
from the source document. An RDFI using this Return Reason
transmit the return entry by its ACH Operator's deposit deadlin
return entry to be made available to the ODFI no later than th
of business on the banking day following the sixtieth calendar
following the Settlement Date of the ARC or BOC entry...

What it Means: Your customer submitted a signed document to the bank stati
transaction was not authorized, or that the transaction was en
an amount different than the authorized amount, or was subm
before the authorized date. (See Authorizing Echeck (ACH)
Transactions for more information about authorization require
This is an “unauthorized” return code, and will result in your a
being assessed the ACH Chargeback Fee. ( See ACH Chargeba
Codes for more information.)You cannot re-submit this transac
additional transactions you attempt to process against this acc
also be returned unless your customer specifically instructs his
accept them.

What to Do: Immediately suspend any recurring payment schedules entere

bank account.  This will prevent additional transactions from b
returned while you address the issue with your customer.  Con
customer and resolve any issues that caused the transaction t
disputed.You can ask the customer for a different form of paym
ask to debit a different bank account.   Be certain to get prope
authorization from your customer to debit the new account. (S
Authorizing Echeck (ACH) Transactions) for more information
do this.)If you need to debit the same bank account, instruct y
customer to call the bank and remove the block on transaction
company initiates.  Then contact PaySimple Customer Care an
them that the block has been lifted.  You will be informed whe
permissible to re-submit the transaction.Unfortunately, there i
dispute resolution available to you within the ACH Network.  If
 customer continues to claim the transaction was not authorize
have proof that it was properly authorized, you will need to su
customer in Small Claims Court to collect.  If you decide to tak
course of action, please contact PaySimple Customer Care to o
copy of the statement your customer submitted to the bank--
need this document to pursue your case.

R12    Account Sold to Another DFI  

NACHA A financial institution may continue to receive entries destined
Definition: account that has been sold to another financial institution. Bec
RDFI no longer maintains the account and is unable to post th
should return the entry to the ODFI.

What it Means: Your customer’s account was sold to another bank but the Cus
Record in PaySimple was not updated with the new bank infor
the payment you processed was sent to the old bank and cann
honored.

What to Do: Contact your customer to obtain new Routing Number and Ban
Number information, then enter a NEW transaction using the u
account numbers.

R13    Invalid ACH Routing Number

NACHA Entry contains a Receiving DFI Identification or OGO Identifica
Definition: not a valid ACH routing number.

What it Means: The Routing Number entered for the transaction is invalid and
belong to any bank in the ACH Network.

What to Do: Your PaySimple 3.0 system is designed to validate routing num

to submitting transactions for processing--so you should never
reason code.If you do see the code, double-check that you en
Routing Number correctly, and contact your customer to confi
necessary.  Then submit a NEW payment using the correct rou
number.If you have confirmed that the routing number you en
correct, contact PaySimple Customer Care so that we can inve
problem.
  

R16    Account Frozen

NACHA Access to the account is restricted due to specific action taken
Definition: RDFI or by legal action.

What it Means: The payment cannot be honored because the account has bee
and no transactions can be processed against it.

What to Do: Contact your customer to obtain a different form of payment.

be able to process transactions using this bank account until it
frozen.

R17    File Record Edit Criteria (Specify)

NACHA Some fields that are not edited by the ACH Operator are edite
Definition: RDFI. If the entry cannot be processed by the RDFI, the field(
the processing error must be identified in the addenda record
information field of the return.

What it Means: Your customer’s bank had a technical problem with the ACH tr
record submitted for this payment.

What to Do: Contact PaySimple Customer Care so that we can investigate

problem.

R18    Improper Effective Entry Date

NACHA The effective entry date for a credit entry is more than two ba
Definition: after the banking day of processing as established by the Orig
ACH Operator...The effective entry date for a debit entry is mo
one banking day after the processing date.

What it Means: The date entered in the ACH transaction record is invalid and t
transaction cannot be processed.

What to Do: The PaySimple 3.0 system is designed to submit scheduled tra

only on the exact date they are scheduled to occur, so you sho
 see this return code.If you do see this code, please contact
PaySimple Customer Care so that we can investigate further.

R19    Amount Field Error  

NACHA Amount field is non-numeric...Amount field is not zero in a
Definition: prenotification, DNE, ENR, Notification of Change, Refused Not
Change, or zero dollar entry....Amount field is zero in an entry
a prenotification, DNE, ENR, Notification of Change, Refused N
of Change, Return, Dishonored Return, Contested Dishonored
zero dollar entry....Amount field is greater than $25,000 for AR
and POP entries.

What it Means: The payment was entered for an amount of $0, or a paper-che
conversion (ARC or BOC) was entered for over $25,000.

What to Do: The PaySimple 3.0 system is designed to prevent zero dollar t

and transactions over $25,000, so you should never see this e
do see this code for a transaction under $25,000, please conta
PaySimple Customer Care so that we can investigate further.
 
NOTE:  You should not be converting paper checks to ACH tran
PaySimple 3.0.  The system does not support the ACH Transac
used with paper checks.  If you did process a paper check as a
Transaction, your customer can claim that the payment was n
authorized.

R20    Non-Transaction Account  

NACHA The ACH entry destined for a non-transaction account, as defin
Definition: Regulation D, would include either an account against which tr
are prohibited or limited or a pass-through where the entry is
union or thrift organization and Regulation E descriptive requir
cannot be met.

What it Means: The bank account you entered cannot be used for ACH Payme

What to Do: Contact your customer to obtain authorization to charge a diff

 account. (Be certain that your customer confirms the account
for ACH transactions.) Or, ask for a different form of payment.

R24    Duplicate Entry

NACHA The RDFI has received what appears to be a duplicate entry; i
Definition: trace number, date, dollar amount and/or other data matches
transaction. This code should be used with extreme care. The
should be aware that if a file has been duplicated, the Originat
have already generated a reversal transaction to handle the si

What it Means: There was a technical error that caused your transaction to be
transmitted twice, or your customer’s bank thinks that such an
occurred.

What to Do: Contact PaySimple Customer Care so we can investigate the p

R26    Mandatory Field Error

NACHA Individual Name contains all spaces or all zeros (MTE, TEL, an
Definition: entries)....Check Serial Number contains all spaces or all zeros
BOC, POP, RCK, or XCK entries)....

What it Means: For a TEL or WEB ACH Transaction, the name of the account h
not provided.  

What to Do: The PaySimple 3.0 system is designed to prevent you from su

transactions with these fields missing.  If you see this error, th
likely a technical problem.  Please contact Customer Care so th
investigate further.

R28     Routing Number Check Digit Error

NACHA The Check Digit for a Routing Number is not valid.
Definition:

What it Means: The bank routing number is invalid.

What to Do: The PaySimple 3.0 system is designed to prevent you from su
transactions with invalid routing numbers, but in rare cases yo
this error.  Double check the routing number entered, and if n
confirm it with your customer. (You may want to ask your cus
fax a copy of a voided check so that you can double-check the
yourself.)If you’ve corrected a data entry error, you can enter
payment again as a NEW transaction.If you’ve confirmed the r
number was entered correctly on the original transaction, plea
Customer Care so that we can investigate further.

R29    Corporate Customer Advises Not Authorized  

NACHA The RDFI has been notified by the Receiver (non-consumer) th
Definition: specific transaction has not been authorized by the Receiver.

What it Means: The company you attempted to debit has notified the bank tha
transaction was not authorized.  Or, you attempted to debit a
bank account that is not enabled for ACH transactions.This is a
“unauthorized” return code, and will result in your account bei
assessed the ACH Chargeback Fee.  See ACH Chargeback Retu
for more information.You cannot re-submit this transaction.  A
additional transactions you attempt to process against this acc
also be returned unless your business customer specifically ins
bank to enable the account for ACH transactions.

What to Do: Immediately suspend any recurring payment schedules entere

bank account.  This will prevent additional transactions from b
returned while you address the issue with your customer.  Con
customer and resolve any issues that caused them to claim th
transaction was unauthorized,  then have your customer call t
and remove the block on transactions your company initiates.
problem is account configuration, ask your customer to have t
business bank account enabled for ACH transactions. Then con
PaySimple Customer Care and inform them that the block has
lifted.  You will be informed when it is permissible to re-submi
transaction.Alternately, you can ask the customer for a differe
payment, or ask to debit a different bank account.   Be certain
proper authorization from your customer to debit the new acco
Authorizing Echeck (ACH) Transactions for more information o
do this.)Unfortunately, there is no dispute resolution available
within the ACH Network.  If your customer continues to claim
 transaction was not authorized, but you have proof that it was
authorized, you will need to sue your customer in Small Claim
collect.

R32    RDFI Non-Settlement   

NACHA The RDFI is not able to settle the entry
Definition:

What it Means: Your customer’s bank rejected the transaction.

What to Do: Have your customer contact the bank to find out what caused
problem.  When the problem is remedied you can re-submit th
as a NEW ACH transaction.  You can also ask your customer fo
authorization to charge a different bank account, or ask for an
form of payment.

R34     Limited Participation DFI     

NACHA The RDFI's participation has been limited by a federal or state
Definition:

What it Means: Your customer’s bank is not able to process the ACH payment
initiated.

What to Do: Ask your customer for authorization to charge a different bank
or ask for an alternate form of payment.

R37     Source Document Presented  for Payment      

NACHA The source document to which an ARC, BOC, or POP entry rela
Definition: been presented for payment. The Receiver may request imme
from the RDFI for an ARC, BOC, or POP entry for the reason d
above. The request must be made in writing within fifteen (15
after the RDFI sends or makes available to the Receiver inform
relating to that debit entry. The Receiver must also provide th
a written statement that the source document was presented
payment. An RDFI using this return reason code must transmi
 return entry by its ACH Operator's deposit deadline for the ret
to be made available to the ODFI no later than the opening of
on the banking day following the sixtieth calendar day followin
Settlement Date of the ARC, BOC, or POP entry.

What it Means: A paper check was converted to an ACH transaction, and was
submitted in paper form to the bank for standard processing--
same payment was processed twice.You will see this error if y
customer notifies the bank that a check they wrote was conve
in addition to being processed normally. Additionally, the bank
identify the duplication and assign this code without notifying
customer first. The bank will then “return” the ACH transaction
refund the customer's account, or will simply not process the d
transaction.

What to Do: Check your records to determine if you accidentally entered an

transaction for a paper check that you took the check to the b
did, then this “return” remedied the error, and you don’t need
any further action.If you’re sure you did not take the check to
(for example, you still have the original in your files), contact
customer to resolve the mistake--keeping in mind that the ban
have issued the return without the customer’s knowledge.NOT
March 2010, this code will be counted as an unauthorized “cha
However, you should not be converting paper checks to ACH t
in PaySimple 3.0.  The system does not support the ACH Tran
types used with paper checks.  If you did process a paper chec
ACH Transaction, your customer can claim that the payment w
authorized.  Contact PaySimple Customer Care for assistance
transaction.