Originally Posted by WTS - Ben

Sure. I will be happy to clarify some of the points in this thread.






How ACH works -

ACH is a batch file system where the debit to the consumer?s account is initiated at any of the FED windows during a given banking day or on any subsequent banking day.

RDFI?s (the consumer?s bank) have 2 business days to return the item. Return reasons are things like insufficient funds, account closed, invalid accounts, etc. In addition, unauthorized returns (charge-backs) can come in later.

ACH items do not ?clear?. They are either returned by the RDFI or they are not.