NACHA Proposes Clarification of Third Parties in ACH Network

NACHA

On May 20, NACHA, the organization that manages the ACH Network, requested comment on proposed changes to the NACHA Operating Rules to clarify the definitions, roles, and responsibilities of third parties in the ACH Network. The proposal explains that third parties are performing roles in ACH processing that were not contemplated at the time third parties were first addressed in the rules, and that the line between third parties and originators may sometimes be blurred. The proposal includes specific changes related to related to (i) clear Identification of the originator in consumer debit authorizations; (ii) third parties and receiver authorizations; (iii) definition of third-party sender; (iv) definition of third-party service provider; and (v) third-party sender and third-party service provider audit requirements. Comments on the proposal are due by June 28, 2013.