When you are creating ACH transactions, you will need to choose Return Codes for each type of entry. The Return Code is a four-character code that indicates the status of the transaction. Here are some tips on how to choose the right Return Codes for your transactions.
The first two characters of the Return Code indicate the type of return. RDFI may use these characters to further categorize the return.
The second two characters of the Return Code indicate the reason for the return.
The most common Return Codes are returned for insufficient funds, incorrect account number, or bank error.
If you are unsure of the Return Code to use, you can contact your RDFI or ODFI for more information.
Finally, keep in mind that you may need to provide documentation to support the ACH Return Codes you choose. Be sure to keep this documentation in a safe place in case you need to refer to it later.
