Prevent and manage returns

To verify whether an ACH payment was returned, follow these steps:

1. Go to Payments
2. Find and click on the specific payment you want to check

If an ACH payment is returned, the status will show as Returned, and return details will appear in the Timeline widget. Both the original charge and the ACH return will be listed in the Related Activity widget. If overdraft protection covered the return, an adjustment is typically made in the same payout.

Prevent ACH returns

• Verify account information: Ensure that all account details, including routing and account numbers, are accurate and current before initiating payments.
• Use verification tools: Implement tools, such as Plaid, to confirm the validity of account details. This helps avoid payments to closed or invalid accounts.
• Monitor funding: Regularly check account balances to confirm sufficient funds are available prior to initiating ACH payments.
• Strengthen authorization protocols: Secure explicit customer approvals for recurring payments and periodically update these authorizations as needed.

Managing ACH returns 

• Notification and communication: Promptly inform customers of ACH return incidents, providing detailed explanations and guidance on resolving the issue. 
• Payment re-submission: In some cases, it may be appropriate to re-submit the ACH transaction after addressing the cause of the return, such as resolving insufficient funds. 
• Adjusting future transactions: If the return is due to authorization issues or customer-related factors, make the necessary adjustments for future payments to prevent recurring returns.