There are six changes to the ACH Rules coming up that impact Originators and Third-Party Senders. Four changes take effect in 2024, while two additional changes become effective in 2026.

Why it matters: It is important for ACH Originators and Third-Party Senders to stay current with the ACH Rules, including how updates and changes might impact business practices and operations.

Here is a breakdown of upcoming changes and how they apply to corporate users:

• Action on Notification of Change

  • Effective Date: June 21, 2024

  • Your organization may need to update policies and procedures related to handling Notifications of Change.

• Use of Prenotification Entries

  • Effective Date: June 21, 2024

  • Your organization may need to update policies and procedures related to processing prenotification entries.

• Return Reason Code R17 (Entry Initiated Under Questionable Circumstances)

  • Effective Date: October 1, 2024

  • Educate your staff receiving return information on the meaning of Return Reason Code R17.

  • Your organization may require procedure changes to include the handling of fraudulent transactions.

• Return Reason Code R06 (Return per ODFI’s Request)

  • Effective Date: October 1, 2024

  • Your organization may require procedural changes related to the recovery of fraudulent entries, including notifying your financial institution immediately upon learning of fraud.

• Standard Company Entry Description

  • Effective Date: March 20, 2026

  • Update systems to utilize required Company Entry Descriptions.

  • Update procedures for entering Company Entry Descriptions.

  • Train staff on the new requirement.

• Origination Fraud Monitoring

  • Phase 1 Effective Date: March 20, 2026

    Companies originating 6M+ transactions in 2023

  • Phase 2 Effective Date: June 19, 2026

    • All companies regardless of annual origination activity

  • Your organization may require implementation of, or updates to, risk-based processes and procedures to identify and detect fraudulent transactions.