ACH Life Cycle (O Hold Days)
The timelines provided below are for Zero (0) Hold Days* and assuming an 8PM CT Cut-off Time
See also ACH Life Cycle (3 Hold Days)
*Hold Days will be set per merchant or per location and will be decided/assigned during the merchant underwriting process. Hold Days of “0” indicates “Next day funding” to the merchant’s settlement account.Same Day ACH is denoted with SDACH.
For next day debits, transactions must be sent prior to your scheduled cutoff time. On occasion (exception case), EPS may have another processing cycle after 8p (before midnight) which will process any transactions sent after 8p.
Regular Originated Transaction
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT(Noon CT for SDACH) | Approved | To Be Originated | |
| Processed | 8p CT (Noon CT for SDACH) | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT | Processed | Settled | This would be “end of line” for this transaction unless it is returned. |
Originated Transaction that is returned NSF
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT (Noon CT for SDACH) | Approved | To Be Originated | |
| Processed | 8p CT (Noon CT for SDACH) | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT | Processed | Settled | |
| Returned NSF | By Noon CT on date of receipt of return. | Uncollected NSF | Charged Back | NACHA Timeline rule: 2 banking days |
Originated Transaction that is returned NSF (Sent to Collection)
Collections is an optional service configured for each merchant during time of application/boarding- if merchant subscribes to this service, below are the applicable events/statuses.
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT (Noon CT for SDACH) | Approved | To Be Originated | |
| Processed | 8p CT* (Noon CT for SDACH) | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT | Processed | Settled | |
| Returned NSF | By Noon CT on date of receipt of return. | Uncollected NSF | Charged Back | NACHA Timeline rule: 2 banking days |
| Sent to Collection | Approximately 6pm CT on day of return | In Collection | Charged Back | New transaction(s) will be created* |
| Collected | 3 business days from the receiving bank receiving the re-attempt and not returning it. | Collected | Charged Back | Note: if the re-presented transaction is returned NSF, another Returned NSF event will occur on original transaction and status will change back to “Uncollected NSF” |
- Once a transaction goes into collection it is charged back to the merchant
and additional transactions are created as needed (up to two attempts). The
transaction number for the re-presentment transactions will be similar to the
original transaction with designations to show if it is the principal amount
or collection fee amount. Examples for Original Trans ID 123456- 123456:P:2,
123456:P:3 (second and third attempt of principal amount), 123456:F:1,
123456:F:2, 123456:F:3 (three attempts of fee amount).
Originated Transaction that is returned UnAuthorized
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT (Noon CT for SDACH) | Approved | To Be Originated | |
| Processed | 8p CT (Noon CT for SDACH) | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT | Processed | Settled | |
| Unauthorized | By Noon CT on date of receipt of return. | Unauthorized | Charged Back | NACHA Timeline rule: 60 calendar days |
Originated Transaction that is returned for Bad Account
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT (Noon CT for SDACH) | Approved | To Be Originated | |
| Processed | 8p CT (Noon CT for SDACH) | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT | Processed | Settled | |
| Returned Bad Account | By Noon CT on date of receipt of return. | Invalid Closed Account | Charged Back | NACHA Timeline rule: 2 banking days |
Originated Transaction that is Voided
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT (Noon CT for SDACH) | Approved | To Be Originated | |
| Voided | Any time prior to 8p CT (Noon CT for SDACH) | Voided | No Settlement Needed | |
Originated Transaction that is Refunded
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT (Noon CT for SDACH) | Approved | To Be Originated | |
| Processed | 8p CT (Noon CT for SDACH) | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT | Processed | Settled | |
| Refunded | Time of Refund | Processed | Settled | A new transaction is created for the credit (see below) |
Refund Transaction is Created
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | At time of Refund | Approved | To Be Originated | Transaction Number will be same as original transaction |
| Processed | 8p CT | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT (assuming no credit hold days- next day settlement) | Processed | Settled | |
Please note: The new transaction (the refund) will have its own separate Transactions Reference # but the Transaction Number will be same as original transaction it is refunding.
ACH Life Cycle (3 Hold Days)
The timelines provided below are for Three (3) Hold Days* and assuming an 8PM CT Cut-off Time
*Hold Days will be set per merchant or per location and will be decided/assigned during the merchant underwriting process. In these scenarios, a merchant whas 3 hold days placed on the settlement account. This means that they will receive funding 3 days after the receiver account is debited for the payment. Please note, Same Day ACH (SDACH) is not applicable for merchants with hold days
For clarification, this workflow will include a ‘day of week’ in the comments section to help better understand the timing of the events.
Regular Originated Transaction
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | Monday |
| Processed | 8p CT | Processed | To Be Originated | Monday |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | Tuesday (00:00) |
| Settled | Midnight CT on the 3rd business day after the Originated Event. | Processed | Settled | Friday (00:00) This would be “end of line” for this transaction unless it is returned. |
Originated Transaction that is returned NSF
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | Monday |
| Processed | 8p CT | Processed | To Be Originated | Monday |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | Tuesday (00:00) |
| Returned NSF | By Noon CT on date of receipt of return. | Uncollected NSF | Charged Back | NACHA Timeline rule: 2 banking days.
No Settlement occurs because return occurred before hold days were satisfied. |
Originated Transaction that is returned NSF (Sent to Collection)
Collections is an optional service configured for each merchant during time of
application/boarding- if merchant subscribes to this service, below are the
applicable events/statuses.
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | Monday |
| Processed | 8p CT * | Processed | To Be Originated | Monday |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | Tuesday (00:00) |
| Returned NSF | By Noon CT on date of receipt of return. | Uncollected NSF | Charged Back | NACHA Timeline rule: 2 banking days |
| | | | No Settlement occurs because return occurred before hold days were satisfied. |
| Sent to Collection | Approximately 6pm CT on day of return | In Collection | Charged Back | New transaction(s) will be created*. |
| Collected | 3 business days from the receiving bank receiving the re-attempt and not returning it. | Collected | Charged Back | Note: if the re-presented transaction is returned NSF, another Returned NSF event will occur on original transaction and status will change back to “Uncollected NSF” |
- Once a transaction goes into collection it is charged back to the merchant
and additional transactions are created as needed (up to two attempts). The
transaction number for the re-presentment transactions will be similar to the
original transaction with designations to show if it is the principal amount
or collection fee amount. Examples for Original Trans ID 123456- 123456:P:2,
123456:P:3 (second and third attempt of principal amount), 123456:F:1,
123456:F:2, 123456:F:3 (three attempts of fee amount).
Originated Transaction that is returned UnAuthorized
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | Monday |
| Processed | 8p CT | Processed | To Be Originated | Monday |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | Tuesday (00:00) |
| Settled | Midnight CT on the 3rd business day after the Originated Event. | Processed | Settled | Friday (00:00)
Note: if the return event occurs prior to settlement, then no settlement will occur. |
| Unauthorized | By Noon CT on date of receipt of return. | Unauthorized | Charged Back | NACHA Timeline rule: 60 calendar days. |
Originated Transaction that is returned for Bad Account
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | Monday |
| Processed | 8p CT | Processed | To Be Originated | Monday |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | Tuesday (00:00) |
| Returned Bad Account | By Noon CT on date of receipt of return. | Invalid Closed Account | Charged Back | NACHA Timeline rule: 2 banking days.
No Settlement occurs because return occurred before hold days were satisfied. |
Originated Transaction that is Voided
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | |
| Voided | Any time prior to 8p CT | Voided | No Settlement Needed | |
Originated Transaction that is Refunded
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | Any time prior to 8p CT | Approved | To Be Originated | Monday |
| Processed | 8p CT | Processed | To Be Originated | Monday |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | Tuesday (00:00) |
| Settled | Midnight CT on the 3rd business day after the Originated Event. | Processed | Settled | Friday (00:00) |
| Refunded | Time of Refund | Processed | Settled | A new transaction is created for the credit (see below) |
Refund Transaction is Created
| EVENT TYPE | OCCURRENCE | TRANS STATUS | SETTLEMENT STATUS | COMMENTS |
|---|
| Approved | At time of Refund | Approved | To Be Originated | Transaction Number will be same as original transaction |
| Processed | 8p CT | Processed | To Be Originated | |
| Originated | Midnight CT | Processed | Originated/Settlement Pending | |
| Settled | Midnight CT on the 3rd business day after the Originated Event. | Processed | Settled | |
Please note: The new transaction (the refund) will have its own separate Transactions Reference # but the Transaction Number will be same as original transaction it is refunding.