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Blocking and Unblocking Bank Account Numbers

This request is related to NACHA rule (Article 2, Section 2.12 Notifications of Change (NOC), and Appendix 5). As part of the NACHA rule an entity must follow the instructions from their bank should a Notification of Change (NOC) be received when submitted an ACH transaction.

For example, the bank may respond with an NOC code that requires the utility to block and unblock bank accounts. As an example, a “NOC” or Notice of Change can be sent to the utility from their bank if they receive an ACH transaction where the bank has noted that the account number changed from say 1234 to 6789. The bank may honor that transaction, however, if they send a NOC the bank is stated to never send transactions against the old account number again.

The utility must then locate where the old bank account is setup in their system and then fix it so that they send the new account number in the future (in this case 6789). Once the change is made the utility is required to BLOCK anyone from setting up an ACH record again using the old account number (in this case 1234) as that account will be permanently blocked by the bank. Further, the bank may levy fine(s) if the old account number is used again after the NOC is provided.

We are looking to enhance the C2M / CCS application to allow for situations that may occur because of a NOC from the bank. Below are NOC codes that may be received from the bank:

CO1 - Incorrect Account Number

C02 - Incorrect Routing/Transit Number

C03 - Incorrect R/I Number/Acct Number

C05 - Incorrect Transaction Code

C06 - Incorrect Acct Num and Trans Code

C07 - Incorrect R/Num, AcctNum, TranCode

C08 - Incorrect Foreign RDFI Identif.

C09 - Incorrect Individual ID

C13 - Addenda Format Error

C14 - Inc. SECod for outbound Intl ACH trns

C99 - Converted to MICR draft

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Added on Dec 2 2024
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