ACH (Automated Clearing House) is a payment processing network that’s used to send money electronically between banks in the United States.
ACH API allows businesses to automate payments like direct deposits and bank transfers by connecting to the ACH network for seamless transactions.
ACH Credit is an electronic payment method that pushes funds directly into a recipient's bank via the ACH network, working like a secure digital check.
ACH Debit is an electronic payment method that transfers funds from one bank account to another through the ACH network, with payer authorization.
ACH Debit Reversal corrects payment errors, unauthorized debits, or insufficient funds through the ACH network, returning funds to the originating account.
ACH Debit vs Credit: ACH credit sends money to the recipient, like direct deposits, while ACH debit pulls funds from the sender’s account, often for bill payments.
ACH deposit prenote verifies bank details with a zero-dollar transaction, preventing errors in direct deposits and ACH payments for secure, hassle-free transfers.
ACH Notification of Change alerts the originator of incorrect ACH payment info, prompting updates to ensure smooth future transactions and avoid errors.
ACH Payment Returns occur when ACH transfers are rejected or reversed due to issues like insufficient funds, incorrect details, or unauthorized transactions.
ACH Return Codes are standardized codes that indicate why an ACH transaction was returned. They help identify issues like insufficient funds or incorrect details.
ACH Reversal is the cancellation of an ACH payment due to errors like wrong amount or account, following strict NACHA rules for secure correction.
ACH vs EFT: ACH moves funds between banks in batches; EFT covers all electronic payments like wires, card payments, and ACH.
Global SEO: Global ACH enables efficient, low-cost international fund transfers, using systems similar to domestic ACH networks for businesses and individuals.
International ACH Transfer is a secure, cost-effective way to transfer funds between banks across countries, offering a reliable alternative to traditional wire transfers.
Payment Rails are networks that move money between banks, businesses, and users—powering secure, fast transactions via ACH, cards, wallets, or blockchain.
Request for Payment (RFP) is a secure ACH method to request funds, letting clients authorize payments easily via the Automated Clearing House network.
Same-Day ACH enables fast, same-day payments, improving cash flow and efficiency by processing ACH transactions on the same day, unlike traditional methods.
What is ACH? ACH (Automated Clearing House) is an electronic payment system that facilitates secure, efficient bank transfers for payroll, bill payments, and more.
ACH return codes are standardized codes used in the Automated Clearing House (ACH) network to indicate why a payment or transaction was rejected or returned.
ACH Return Code R01 indicates payment failure due to insufficient funds in the payer’s account, helping prevent errors in ACH payments and ensuring secure transactions.
ACH Return Code R02 indicates a transaction failure due to a closed or deactivated account. Act fast, as your bank has 2 days to notify you of this issue.
ACH Return Code R03 means your bank account can’t be found. It’s often due to wrong info. Check details to avoid failed ACH payments.
ACH Return Code R04 means an invalid account number, often due to typos; it helps identify and fix ACH payment issues quickly and efficiently.
ACH Return Code R05 indicates an unauthorized corporate debit to a consumer account; banks can return it within 60 days of the transaction.
ACH Return Code R06 means the ODFI rejected the transaction because it wasn't authorized. This code flags unauthorized or invalid ACH payment entries.
ACH Return Code R07 means a customer revoked authorization for a debit. Businesses must stop debits until new approval is given.
ACH Return Code R08 indicates a stopped payment in ACH transactions, usually by the account holder. Understanding it helps resolve issues within two banking days.
ACH Return Code R09 means uncollected funds due to insufficient balance, causing ACH payment issues for personal and business accounts.
ACH return code R10 signals an unauthorized debit, meaning the originator is unknown or not permitted to withdraw funds, often due to fraud or revoked authorization.
ACH Return Code R11 flags a failed ACH due to check issues. It allows re-submission without new authorization if corrected within 60 days.
ACH Return Code R12 means the payment failed because the account's bank branch was sold to another institution, making the original routing info invalid.
ACH Return Code R13 is triggered when an unrecognized or malformed routing number is used, resulting in the payment being returned within two business days.
ACH Return Code R14 indicates the representative payee has died or can’t continue, making the ACH payment invalid and requiring prompt return.
ACH Return Code R15 means the payment recipient is deceased, requiring the transaction to be returned within two banking days to halt further processing.
ACH Return Code R16 indicates a "Frozen Account," blocking transactions due to legal action or fraud. Stop processing and contact the bank for resolution.
ACH Return Code R17 indicates a questionable transaction flagged for suspicious activity, requiring investigation under NACHA rules.
ACH Return Code R18 indicates a file structure error in the ACH entry, meaning the payment file was unreadable or misformatted, preventing processing.
ACH Return Code R19 occurs when a payment is sent to a non-transactional bank that cannot process ACH entries. It indicates an invalid routing number for ACH payments.
ACH Return Code R20 occurs when a non-transaction account, like a savings account, is used for an ACH payment, as these accounts can't process ACH transactions.
ACH Return Code R21 indicates an invalid Company ID in ACH transactions, causing rejections. It ensures correct identification and compliance in corporate payments.
ACH Return Code R22 means an invalid individual ID number, causing payment issues; fix within 2 days to avoid delays in transactions.
ACH Return Code R23 means a credit entry was refused by the receiver’s bank, often due to unrecognized transactions or account restrictions.
ACH Return Code R24 signals a duplicate entry in an ACH transaction, meaning two identical payments were submitted, often due to system or human error.
ACH Return Code R25 indicates an addenda error in an ACH transaction, meaning the supplemental data is missing, incorrect, or improperly formatted.
ACH Return Code R26 means essential information in the ACH transaction, like account details or identification data, is missing or formatted incorrectly.
ACH Return Code R27 signals a trace number error in an ACH transaction, meaning the unique 15-digit tracking ID is missing, invalid, or incorrectly entered.
ACH Return Code R28 indicates a routing number check digit error, meaning the routing number is invalid due to a missing or incorrect verification digit.
ACH Return Code R29 means a corporate account holder reported an ACH transaction as unauthorized, commonly in business-to-business payments.
ACH Return Code R30 means the receiving bank doesn’t participate in the check truncation program, limiting the processing of electronic payments from paper checks.
ACH Return Code R31 applies to corporate payments (CCD/CTX) and indicates the RDFI may return the transaction, but is not required to, under NACHA rules.
ACH Return Code R32 means the receiving bank couldn’t settle the ACH transaction, often due to financial or operational issues preventing proper processing.
ACH Return Code R33 means the receiving bank can't process a destroyed check (XCK) entry, often due to non-acceptance of such transactions in check conversions.
ACH return code R34 indicates that the RDFI cannot process an ACH entry due to state or federal restrictions. Contact your RDFI for details on transaction limits.
ACH Return Code R35 indicates an improper debit entry on a consumer account that doesn't allow such transactions, like restricted or business accounts.
ACH Return Code R36 indicates an improper credit entry, where a credit transaction is processed incorrectly due to errors like wrong amounts or invalid account details.
ACH Return Code R37 means a paper check was presented after an ACH entry from it was already processed, helping prevent duplicate payments.
ACH Return Code R38 means a stop payment was placed on the original document, often a check, preventing the ACH payment from processing.
ACH Return Code R39 means the source document wasn’t eligible for ACH conversion, usually because it didn’t meet NACHA requirements for electronic processing.
ACH Return Code R40 indicates an invalid ENR entry, used when a government benefit enrollment request is rejected due to incorrect information.
ACH Return Code R41 indicates an invalid transaction code, triggered when the receiving bank cannot process a transaction due to an unrecognized or incorrect code.
ACH Return Code R42 indicates a routing number/check digit error, triggered when the check digit in the routing number is invalid or doesn't match the expected value.
ACH Return Code R43 means the transaction was rejected due to an invalid account number for the DFI, often caused by formatting errors or incorrect data entry.
ACH Return Code R44 indicates an invalid Individual ID Number, usually due to a mismatch with the receiving bank’s records or incorrect data entry.
ACH Return Code R45 indicates an invalid name, returned when the provided name doesn’t match the records of the receiving financial institution.
ACH Return Code R46 means the Representative Payee Indicator is invalid or missing, signaling an issue with identifying who’s authorized to manage the funds.
ACH Return Code R47 means a Duplicate Enrollment was detected; someone tried to enroll the same account or individual more than once for ACH payments.
ACH Return Code R50 indicates a state law issue preventing the acceptance of a Re-presented Check (RCK) entry due to state-level regulations.
ACH Return Code R51 indicates that a Re-presented Check Entry (RCK) is ineligible or improperly formatted, usually due to non-compliance with NACHA rules.
ACH Return Code R52 means a Stop Payment was placed on a check re-submitted as an RCK entry, helping avoid processing errors and unnecessary fees.
ACH Return Code R53 means a check previously returned for insufficient funds was re-presented as an RCK entry but couldn’t be processed again, leading to a return.
ACH Return Code R61 means a return was sent to the wrong bank. It signals that the entry should have gone to a different RDFI and needs to be rerouted correctly.
ACH Return Code R62 indicates an incorrect reversing debit entry. It’s often due to duplicates or errors in correction transactions, ensuring accurate ACH processing.
ACH Return Code R67 occurs when a payment is returned due to being a duplicate of a previous transaction, often caused by system or human error.
ACH Return Code R68 signals a return sent after the allowed NACHA deadline, helping enforce proper timing in ACH processing.
ACH Return Code R69 indicates that a required field in the ACH entry is incorrect or invalid, often due to formatting or data entry errors.
ACH Return Code R70 occurs when a return is attempted but the ODFI has not authorized or initiated it, making the request invalid.
ACH Return Code R71 occurs when a dishonored return is sent to the wrong financial institution due to an incorrect routing number.
ACH Return Code R72 means a dishonored return was submitted after the NACHA deadline. It ensures timely dispute resolution and proper ACH transaction handling.
ACH Return Code R73 indicates that an ACH return was submitted within the allowed time frame, ensuring compliance with NACHA rules for timely processing.
ACH Return Code R74, "Corrected Return," is used when a previously returned ACH transaction is corrected and reprocessed with necessary changes.
ACH Return Code R75 confirms that a returned transaction is not a duplicate of a prior return. It helps clarify that the return is valid in the ACH payment process.
ACH Return Code R76 means no error was found in a disputed ACH transaction. The original entry is confirmed as valid.
ACH Return Code R77 means the receiving bank rejects a debit reinitiated under R62, ensuring ACH transaction integrity.
ACH Return Code R80 indicates an "IAT Coding Error," where the International ACH Transaction (IAT) doesn't meet required coding standards.
ACH Return Code R81 means the bank doesn't participate in the IAT network, causing the international transaction to be rejected.
ACH Return Code R82 means an international payment couldn’t be processed because the foreign bank’s identification number is invalid or not supported.
ACH Return Code R83 indicates a settlement issue with the foreign receiving bank (RDFI) in an international ACH transaction.
ACH Return Code R84 indicates that the payment gateway didn’t process the transaction, often due to a temporary failure or more complex issue.
ACH Return Code R85 signals an "Incorrectly Coded Outbound International Payment." It happens when the payment fails to meet the required coding standards.
B2B payments are business transactions for goods/services, involving larger sums and complex workflows, shifting from checks to secure digital methods.
B2B ACH payments are electronic transfers between businesses via the ACH network, offering a secure, low-cost way to handle invoices, payroll, and rent.
B2B digital payments are secure, electronic transactions between businesses, replacing checks to streamline and speed up financial operations.
B2B payment automation digitizes invoice, approval & payment processes—cutting errors, saving time, and boosting cash flow visibility for businesses.
A B2B payment gateway securely processes high-volume business transactions, streamlines payments, and integrates with invoicing and accounting tools.
B2B payment methods include digital alternatives to traditional checks and wire transfers, offering businesses faster, secure, and cost-effective transaction solutions.
B2B payments are business transactions for goods/services, involving larger sums and complex workflows, shifting from checks to secure digital methods.
B2B cross-border payments are international fund transfers between businesses, involving currency exchange, compliance, and complex global systems.
Billing & Invoicing is the process of managing and processing customer payments, including generating invoices, handling subscriptions, and tracking transactions to ensure accurate and timely payments.
Accounts Receivable as a Service (ARaaS) outsources invoicing and payment collection, speeding up cash flow and cutting manual work for businesses.
Billing automation uses software to streamline invoice creation, sending, and tracking—saving time, reducing errors, and improving cash flow accuracy.
Churn management means spotting why customers leave and taking steps to keep them happy and loyal, helping your business grow steadily over time.
A dunning letter is a formal reminder sent to customers about overdue payments, helping businesses recover funds while maintaining positive customer relations.
Dunning management is a process for collecting overdue payments, balancing firm debt recovery with customer care, and improving cash flow and financial health.
Failed payment recovery ensures seamless revenue flow, reducing churn and maintaining customer trust by resolving payment issues like expired cards or errors.
Invoice automation streamlines your billing by automatically creating, sending, and tracking invoices, cutting down on errors, saving time, and improving cash flow.
Invoice coding in accounts receivable assigns accurate GL codes to incoming payments, improving cash flow tracking, reporting, and revenue management efficiency.
An invoicing API lets your software handle invoices, create, send, and track them, so you can simplify billing, reduce errors, and scale with ease.
An outstanding invoice is a bill sent but unpaid, showing due payment for delivered goods or services—vital for cash flow and accounts receivable tracking.
Pro forma vs commercial invoice: A pro forma is a quote for shipping, while a commercial invoice is the official sale record for customs and payment.
A progress invoice lets businesses bill in stages for work completed on long-term projects, improving cash flow and tracking milestone progress.
Recurring revenue management software automates billing, renewals, and payments for subscription-based businesses, ensuring steady income and accuracy.
SaaS billing automates recurring charges for subscription software, with features like proration, trials, and tiered pricing to support growth and compliance.
SaaS billing software automates billing for subscription businesses, streamlining invoicing, pricing, revenue recognition, and compliance.
An invoice requests payment for specific goods or services; a statement lists all account activity, showing balances, invoices, and payments over time.
Tiered billing is a pricing model offering multiple service levels at different price points, allowing businesses to cater to varied customer needs and maximize revenue.
Usage-Based Billing charges customers based on actual usage, offering flexibility and fairness, common in utilities, telecom, and SaaS for optimized resources.
Daily Sales in Accounts Receivable shows how many days it takes to collect credit sales, revealing cash flow efficiency and payment collection speed.
Accounts receivable is money owed to a business for goods or services delivered—recorded as a current asset and vital for cash flow and financial health.
Accounts receivable reconciliation ensures customer payments match records and compares AR ledgers, general ledger, and payment proofs for accuracy.
E-invoicing is the digital, structured exchange of invoices that enables automated processing in accounting or ERP systems, replacing paper or PDFs.
Invoice management handles invoice receipt, verification, approval, and payment, ensuring accurate processing and timely vendor payments throughout the lifecycle.
Invoice processing is verifying, approving, and paying vendor invoices—ensuring accuracy, timely payments, and streamlined financial operations.
Invoice to Cash (I2C) is the process from issuing an invoice to receiving payment, covering billing, collections, and closing the transaction.
Metered billing charges users based on actual usage, like data or API calls, instead of a flat fee, ideal for SaaS, cloud, and utility services.
Pay by Link lets businesses send secure payment links via email or SMS—customers click, pay online with a card or wallet, no app or login needed.
Progressive billing is a payment method that lets you invoice clients as work progresses on long-term projects, helping manage costs and maintain clarity.
Quote to Cash (QTC) is the end-to-end process from quoting to payment, ensuring pricing accuracy, faster sales cycles, and proper revenue capture for businesses.
What is recurring billing? It’s an automatic payment system where customers are charged on a set schedule, providing convenience and steady cash flow for businesses.
Subscription billing is a recurring payment model where customers are charged regularly for ongoing access to services like SaaS, streaming, and memberships.
A credit note is a document from seller to buyer reducing the owed amount due to returns, errors, or overcharges, used to offset future purchases or refunds.
A customer billing portal is a secure self-service platform where users view bills, make payments, manage info, and track charges—anytime, online.
A hosted payment page is a secure, third-party checkout page that handles customer payments, protecting businesses from storing sensitive card data.
An open invoice is an unpaid bill for delivered goods or services, showing amount due, due date, and invoice details.
Payment Processing is the system that handles electronic transactions, enabling businesses to accept payments via credit cards, debit cards, ACH, and digital wallets securely.
Batch Payment Processing simplifies managing multiple payments and groups transactions into a single unit, ideal for payroll, vendor, or recurring payments.
Card-Present vs Card-Not-Present: Card-Present involves physical payments at a point of sale, while Card-Not-Present occurs online or over the phone.
Cash float is the delay between sending and receiving funds, impacting cash flow management in business during check clearing or electronic payments.
Interchange Fee is the charge a card-issuing bank imposes on a merchant’s bank for each card transaction, covering security, fraud prevention, and services.
Money movement is transferring funds between accounts, banks & businesses. Secure payments matter—use DepositFix to simplify & speed up transactions!
Money Transmission is the process of transferring funds securely between parties via banks or services, enabling both domestic and international transactions efficiently.
Payment controls in accounts payable prevent fraud, errors, and late fees by ensuring all payments are secure, accurate, authorized, and efficient.
Payment gateway vs payment processor: The gateway captures payments securely; the processor moves funds—each plays a vital role in online transactions.
Payment Rails are networks that move money between banks, businesses, and users—powering secure, fast transactions via ACH, cards, wallets, or blockchain.
Payment routing finds the fastest or cheapest way to process a payment, helping businesses cut costs and ensure smooth, successful checkouts.
Real-Time Payments enable instant, 24/7 fund transfers, revolutionizing transactions with improved speed, cash flow, and flexibility for businesses and consumers.
A void transaction cancels a card payment before it's processed, stopping funds transfer, ideal for same-day errors or quick sale corrections.
Card-on-File payments securely store a customer's card info for future use, replacing sensitive data with encrypted tokens for safety and convenience.
Embedded payments integrate payment processing within apps, enabling seamless transactions without redirection to external sites or services.
Integrated payments embed payment processing into your POS or software, enabling seamless transactions within sales, inventory, and customer management systems.
Payment automation streamlines invoicing, payment collection, reconciliation, and reporting, reducing errors and improving efficiency through tech integration.
Payment operations involve processes that ensure secure, efficient transactions, including initiation, authorization, processing, and settlement of payments.
Payment orchestration streamlines the payment lifecycle across providers, gateways, and methods, optimizing costs and boosting authorization rates via a unified platform.
White label payment processing lets companies offer branded payment solutions without developing the technology, commonly used in fintech and e-commerce.
A Card-Not-Present (CNP) transaction occurs when the cardholder isn't physically present, like online purchases, preventing card swipe or insertion.
A payment gateway securely processes debit/credit card transactions, encrypting data and authorizing payments between customers, merchants, and banks.
A payment processor securely handles card or digital transactions between buyers, banks, and merchants, ensuring fast and safe payment communication.
A payments hub centralizes all payment methods and workflows—credit cards, transfers, wallets—into one secure platform for smooth, compliant transactions.
A virtual terminal is a web-based app that lets businesses process credit card payments online, without a physical POS, perfect for remote or service-based businesses.
eCheck Payment is a digital version of a paper check, using ACH to securely transfer funds electronically—faster, safer, and more cost-effective.
Reconciliation is the process of comparing internal financial records with external statements—such as bank or payment processor reports—to ensure accuracy, identify discrepancies, and maintain financial integrity across transactions.
Balance reconciliation ensures accuracy and matches internal records with external statements to detect discrepancies and maintain reliable financial data.
Invoice reconciliation verifies invoices against purchase orders and receipts to ensure accurate billing, prevent errors, and approve correct payments efficiently.
Transaction reconciliation compares internal records with external statements to ensure accuracy, detect errors, and maintain financial integrity.
Cash reconciliation ensures all cash transactions match between internal records and bank statements, helping detect errors, fraud, or discrepancies.
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