ACH NSF Fees and Retry Payments

There has recently been industrywide attention on RETRY items and NSF fees for re-presenting unpaid transactions.

The Federal Deposit Insurance Corporation (FDIC) revised its Supervisory Guidance on Multiple Re-Presentment NSF Fees in June 2023. Although controlling fees for re-presented NSF items is a best practice and not required for regulatory compliance, we recognize the importance of offering your institution better control over how you charge fees.

Jack Henry plans to modify the Symitar ACH Posting Batch process to add a new option for charging a fee for RETRY payment items. This change will be incorporated into an upcoming release.

In the meantime, Synergent is offering two options to assist you with managing fees for RETRY payment items:

ACH.RETRY.FEE.ADJ Specfile

This is a free solution created by Jack Henry that identifies ACH items that were assessed an NSF fee based on the identifying description of RETRY, which is required by ACH rules on re-presented items.

The specfile will reverse the fee that was charged. This should be run once a day before the daily returns are sent. Jack Henry built a procedure that will ensure that only one fee reversal is processed for each occurrence.

If your credit union is using the Member Fee Manager product to reverse fees, Synergent is reviewing code to identify the effort to enhance the free Jack Henry solution to accommodate Member Fee Manager by showing the ACH Retry Fees.

Edit Modification

Synergent has created a billable solution that avoids charging the NSF fee on re-presented items. We will create a custom ACH Edit that is added into your ACH process. This Edit identifies the re-presented items based on the RETRY description and updates the Custom Info Field on the item record. With the update, we then create a targeted posting job that posts only the represented items without any fees. If an ACH item is returned, it will follow your normal return process.

Learn More

Questions about these options? Please contact your dedicated Account Relationship Manager, or email ARM@synergentcorp.com.