Back in the 1980s, President Reagan popularized an English translation of the Russian proverb «Doveryai, no proveryai» – trust, but verify. Years later, former Secretary of State John Kerry put a more modern spin on things: «President Reagan’s old adage about ‘trust but verify’ … is in need of an update. And we have committed here to a standard that says ‘verify and verify’.» It appears that the good folks at NACHA may be following Secretary Kerry’s lead by requiring you to «validate and validate» your customer’s account before initiating ACH debits.
An upcoming change to the NACHA Rules will impact your business if you allow consumers to authorize you to initiate ACH payments from their deposit accounts via the Internet or a mobile device. Such ACH payments are known under the NACHA Operating as «WEB Debit Entries.» Read the complete article HERE.