Why was an EFT/ACH transaction rejected?

There are different reasons why an EFT/ACH transaction could be rejected or returned from the bank. If an EFT/ACH transaction is returned or rejected, it won’t be processed.

Must know:

  • You need to be an administrator of your account or have Full/Read-Only access to Batch Processing.

Why was an EFT/ACH transaction rejected?

  1. In the Portal, navigate to Processing >
    • Batch Processing, OR
    • Employee Direct Deposit, OR
    • Customer PAD / Vendor DD
  2. Click the batch you want to review.
  3. A red X under the ‘Status’ column means there was a return or rejection. Hover over the X to view more information about the error.
  4. A pop-up will appear with the reason for the error. ex):

Item showing error with reason

Good to know:

  • There is a difference between returns and rejections. 
    • Returns are due to bank-level errors (e.g. insufficient funds). They can take a few business days or longer to return due to bank processing times so you won’t see the red X right away.
    • Rejections are due to bad formatting of bank details, and the red X will usually appear at some point on the process date after 11 am PST. 
  • If the rejected reason is unclear to you, check the bank information is correct and reach out to the account holder to have them investigate with their bank.
  • If the bank information is incorrect, the bank may not find the transaction on their end. To retry the transaction, update the bank information in another batch.
  • You’ll only receive an email notification for a return because there’s a fee for returned transactions. No fee is charged for rejections.
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