AAP Returns, Reversals, and Adjustments 2

Question 1

A reversing entry must be transmitted within how many banking days after the original entry's settlement date?

Accepted Answer

5 banking days

Answer

2 banking days

Answer

60 calendar days

Answer

Same banking day

Question 2

Return code R07 indicates:

Accepted Answer

Authorization revoked by the Receiver

Answer

Account has been closed

Answer

Payment stopped by the Receiver

Answer

Insufficient funds in the account

Question 3

NOC change code C01 indicates:

Accepted Answer

Incorrect DFI account number

Answer

Incorrect routing/transit number

Answer

Incorrect individual name

Answer

Incorrect transaction code

Question 4

When an ODFI receives a return entry from an ACH Operator, it must pass the return to the Originator within:

Accepted Answer

2 banking days of receiving the return

Answer

Same banking day of receipt

Answer

5 calendar days of receipt

Answer

60 banking days of receipt

Question 5

A dishonored return is when:

Accepted Answer

An ODFI returns a return entry because it does not comply with NACHA rules

Answer

A Receiver formally rejects a credit entry

Answer

NACHA rejects a batch for format errors

Answer

An ACH Operator cancels a batch before settlement

Question 6

Return code R29 indicates:

Accepted Answer

Corporate customer advises the entry is not authorized (for CCD, CTX, or other corporate entries)

Answer

Insufficient funds in a corporate account

Answer

Corporate account has been closed

Answer

Invalid company identification number