ACH Transaction

The ACH Transactions API allows you to create and manage the ACH payment transactions.

Use this API to validate bank account details, process credit and debit transactions, handle reversals, and retrieve transaction information.

Usage workflow

The following steps help you understand ACH transaction flow:

1. Validate account (optional)

Validate the customer’s bank account before processing the transaction. This validation confirms that the bank account exists but does not guarantee available funds.

1. Submit ACH transaction

Create an ACH transaction using the appropriate endpoint. The successful response returns the unique transaction ID and initial status of Pending.

You can also include additional business details, such as invoice or purchase order number, customer’s billing and shipping information, to support your processes.

1. Check transaction status

You can retrieve the transaction details using the transaction ID for status updates.

1. Returned transactions

Returned transactions include:

• trace-number
• returned-date
• returned-code
• returned-message

Example:

• "trace-number": "104000017630448",
• "returned-date": "2017-07-10",
• "returned-code": "R01",
• "returned-message": "Insufficient Funds"

1. Settled transactions

Settled transactions include:

• trace-number
• settled-date

Example:

• "trace-number": "104000017106643",
• "settled-date": "2017-07-27"

ACH transaction statuses

The following table shows the ACH transaction statuses:

Statuses

Status	Description
PENDING	This status indicates that the transaction has been created and accepted by the system but has not yet begun processing.
SETTLED	This status indicates that the transaction has completed successfully.
SETTLING	This status indicates that the transaction is currently being processed by the ACH network.
RETURNED	This status indicates that the transaction was processed but later returned.
VOID	This status indicates that the transaction was intentionally canceled before settlement.
CHARGEBACK	This status indicates that the transaction was reversed after settlement due to a dispute initiated by the account holder or their bank.
MERCHANT_RETURNED	This status indicates that the merchant returned the transaction after settlement.
NO CREDIT	This status indicates that the transaction was processed, but the receiving account was not credited.
TO RESERVE	This status indicates that the transaction amount has been moved to a reserve balance.
UNPROCESSED	This status indicates that the transaction has not entered processing.
ERROR	This status indicates that the transaction failed due to a system or processing error.
REJECTED: AUTHORIZATION DECLINED	This status indicates that the transaction was rejected because the account holder did not authorize the debit or credit.
REJECTED: ACCOUNT IS INVALID	This status indicates that the transaction was rejected because the bank account information is invalid.
REJECTED: VOIDED	This status indicates that the transaction was rejected because it had already been voided.
REJECTED: VOIDING	This status indicates that the transaction was rejected because it was in the process of being voided.
UPDATED	This status indicates that the transaction details were changed after the transaction was created.

The status of the ACH transaction initially appears as PENDING. The status changes from SETTLING to SETTLED when the ACH transaction is processed successfully.

Use webhooks to retrieve ACH transaction statuses. For more information, see ACH Transaction Status Webhooks.

ACH transaction return codes

The following table shows the codes returned by the receiving bank for ACH transactions:

Return codes

Code	Message	Description
R02	Account closed.	A previously open account is now closed.
R03	No account or unable to locate account.	The account number does not correspond to the individual identified in the entry or a valid account.
R04	Invalid account number.	The account number fails the check digit validation or may contain an incorrect number of digits.
R05	Unauthorized debit to consumer account.	A business debit entry was transmitted to a members consumer account, and the member had not authorized the entry.
R06	Returned per ODFI’s request.	The ODFI has requested that the RDFI return the entry.
R07	Authorization revoked by customer.	The member who previously authorized an entry has revoked authorization with the Originator.
R08	Payment stopped or stop payment on item.	The member had previously requested a stop payment of a single or recurring entry.
R09	Uncollected funds.	Available balance is sufficient, but collected balance is not sufficient to cover the entry.
R10	Customer advises not authorized.	The member advises not authorized, notice not provided, improper source document, or amount of entry not accurately obtained from source document.
R11	Check truncation entry return.	To be used when returning a check truncation entry.
R12	Branch sold to another DFI.	RDFI unable to post entry destined for a bank account maintained at a branch sold to another financial institution.
R13	Invalid ACH routing number.	The financial institution does not receive commercial ACH entries.
R14	Representment payee deceased or unable to continue in that capacity.	The representative payee is deceased or unable to continue in that capacity, beneficiary is not deceased.
R15	Beneficiary of account holder deceased.	The beneficiary or account Holder Deceased.
R16	Account frozen.	Access to account is restricted due to specific action taken by the RDFI or by legal action.
R17	File record edit criteria.	Fields rejected by RDFI processing (identified in return addenda).
R18	Improper effective entry date.	Entries have been presented prior to the first available processing window for the effective date.
R19	Amount field error.	Improper formatting of the amount field.
R20	Non transaction account.	Policies or regulations (such as Regulation D) prohibit or limit activity to the account indicated.
R21	Invalid company identification.	The company ID information not valid (normally CIE entries).
R22	Invalid individual ID number.	The individual id used by receiver is incorrect (CIE entries).
R23	Credit entry refused by receiver.	Receiver returned entry because minimum or exact amount not remitted, bank account is subject to litigation, or payment represents an overpayment, originator is not known to receiver or receiver has not authorized this credit entry to this bank account.
R24	Duplicate entry.	RDFI has received a duplicate entry.
R25	Addenda error.	Improper formatting of the addenda records information.
R26	Mandatory field error.	Improper information in one of the mandatory fields.
R27	Trace number error.	Original entry trace number is not valid for return entry; or addenda trace numbers do not correspond with entry detail record.
R28	Routing number or check digit error.	Check digit for the transit routing number is incorrect.
R29	Corporate customer advises not authorized.	RDFI has been notified by business account holder that a specific transaction is unauthorized.
R30	RDFI not participant in check truncation program.	The financial institution not participating in automated check safekeeping application.
R31	Permissible return entry.	RDFI has been notified by business account holder that a specific transaction is unauthorized.
R32	RDFI non settlement.	RDFI is not able to settle the entry.
R33	Return of XCK entry.	RDFI determines at its sole discretion to return an XCK entry; an XCK return entry may be initiated by midnight of the sixtieth day following the settlement date if the XCK entry.
R34	Limited participation DFI.	RDFI participation has been limited by a federal or state supervisor.
R35	Return of improper debit entry.	ACH debit not permitted for use with the CIE standard entry class code (except for reversals).
R36	Return of improper credit entry.	None
R37	Source Document Presented for Payment Check used for an ARC, BOC or POP entry has also been presented for payment.	None
R38	Stop payment on source document.	Stop payment has been placed on a check used for an ARC entry.
R40	Return of ENR entry by federal government agency (ENR only).	None
R41	Invalid transaction code (ENR only).	None
R42	Routing number or check digit error (ENR only).	None
R43	Invalid DFI account number (ENR only).	None
R44	Invalid individual ID number (ENR only).	None
R45	Invalid individual name/company name (ENR only).	None
R46	Invalid representative payee indicator (ENR only).	None
R47	Duplicate enrollment.	None
R50	State law affecting RCK acceptance.	None
R51	Item is ineligible, notice not provided, signature not genuine.	None
R52	Stop payment on item.	None
R61	Misrouted return.	Return entry was sent by RDFI to an incorrect ODFI routing/transit number.
R62	Incorrect trace number.	None
R63	Incorrect dollar amount.	None
R64	Incorrect individual identification.	None
R65	Incorrect transaction code.	None
R66	Incorrect company identification.	None
R67	Duplicate return.	ODFI has received more than one return entry for the same original entry.
R68	Untimely return.	Return entry did not meet the return deadline.
R69	Multiple errors.	None
R70	Permissible return entry not accepted.	None
R71	Misrouted dishonored return.	None
R72	Untimely dishonored return.	None
R73	Timely original return.	None
R74	Corrected return.	None
R80	Cross-border payment coding error.	None
R81	Nonparticipant in cross-border program.	None
R82	Invalid foreign receiving DFI identification.	None

• ACH Vault (Token)

• Webhooks