ACH Outbound Transaction Processes and Validations
The transaction authorization process involves the following steps for a payment
transaction with Activation date as current date:
- Network related validations
- IBAN check
- Duplicate check
- Authorization Limits Check
- Transaction cutoff time check
- Sanction check
- Computation of Charge & Tax
- Exchange rate pickup
- ECA check
- Network cutoff time check
- Debit /Credit Accounting
- Dispatch file generation
- Dispatch Accounting
Other Validations applicable for the Outbound ACH transaction processing are:
- Future Dated Transactions
- Branch Holiday Parameter
- Network Related Validations
The system validates any debtor, creditor, bank, additional details specified for a payment transaction against the valid characters allowed for the network. If any field contains invalid SEPA character, then the transaction is moved to repair queue with error details. - Network Character Validation for Other Outbound Clearing messages
- IBAN Check
- Duplicate Check
- Transaction Cutoff Time Validations
- Sanction Check
- Computation of Charge and Tax
- Small FX Limit Check and Currency Conversion
- External Credit Approval Check
- Network Cutoff Time Check
The system checks the network cutoff time based on the cut off time maintained for the network. The system considers the application server time for cut off time check. Transactions which failed cut off time check is moved to Post Network Cutoff Queue. - Debit/Credit Accounting
Debit liquidation accounting entries have both payment entries and charge/tax entries. Accounting details are handed off to accounting system with debit/credit liquidation accounting code linked at Network Currency preferences. - SEPA Credit Transfers
- Dispatch Processing
- Dispatch file format
- File Naming Convention
- Dispatch and Validation File Changes
- Future Dated Transactions
- Branch Holiday Parameter
Parent topic: Domestic Low Value Payments