6/4/2020 - By Janice Weisz, AAP
Financial institutions constantly seek ways to contact and communicate quickly with other financial institutions about specific ACH payment issues and exceptions. Nacha created the ACH Contact Registry Rule (the Rule) to help facilitate this process. Make sure that you are aware, informed, and ready to register with Nacha. Included are some frequently asked questions and answers regarding this upcoming requirement.
The Rule requires financial institutions to register contact information with Nacha for personnel or departments responsible for ACH operations and fraud/risk management. The contact information will be made available to other registered financial institutions, Payments Associations, the ACH Operators, and Nacha for operational, fraud, and risk management issues in the ACH Network (e.g., proof of authorizations, ACH-related system outages, erroneous payments, duplicates, reversals, fraudulent payments, etc.).
Registration will be performed through Nacha’s website via the Risk Management Portal and there is no fee to register.
Effective July 1, 2020, the registration portal will be available to begin to submit and query contact information. To stay compliant with Nacha, financial institutions must complete the registration by October 30, 2020.
All financial institutions participating in the ACH Network must register.
Currently, Nacha requires all ODFIs to register their Direct Access status and Third-Party Sender status via Nacha’s Risk Management Portal. Under this new Rule, ODFIs will be required to perform an additional registration and provide their own contact information for ACH operations and keep that information current.
Currently, Nacha does not require financial institutions that are only RDFIs to register information via Nacha’s Risk Management Portal. Under this new Rule, all RDFIs will be required to register contact information for ACH operations and keep that information current.
Specific contact information for personnel or departments responsible for ACH operations and fraud/risk management. The financial institution will be required to register either:
Registered phone numbers and email addresses must be those that are monitored and answered during normal business hours for financial institution inquiries. For more information, you can visit Nacha’s website.
Staying in compliance can be challenging if you have any questions or need assistance preparing for this new Nacha Rule, email me or a member of our Financial Institutions Team so we can help.
About the Author | Janice Weisz, AAP
Janice is a consultant in the Financial Institution Advisory Group at Saltmarsh, Cleaveland & Gund. Janice has been working with financial institutions since 2001 with an emphasis on operations, compliance, audit and internal controls. She currently provides ACH compliance, NACHA compliance, internal audit and other consulting services to the firm’s financial institution industry clients.
FORT WALTON BEACH
(850) 243-6713
ORLANDO
(407) 203-8990
NASHVILLE
(615) 661-0885
PENSACOLA
(850) 435-8300
TAMPA
(813) 287-1111
info@saltmarshcpa.com
(800) 477-7458
Sign up to receive updates and important information from Saltmarsh!