How many characters is the Trace Number field, and which Participant does it identify?

How many characters is the Trace Number field, and which Participant does it identify?

• A. 10 characters, identifies the RDFI
• B. 15 characters, identifies the ODFI
• C. 12 characters, identifies the ACH Operator
• D. 8 characters, identifies the Company ID

Answer: (B)

The Trace Number field is essential for tracking individual ACH transactions throughout the payment system. It consists of 15 characters and serves to identify the Originating Depository Financial Institution (ODFI) associated with a specific transaction. The Trace Number provides a unique identifier for each entry and is formatted in a way that includes several components: the routing number of the ODFI, a trace sequence number, and a three-digit suffix that ensures the uniqueness of the trace number for the day the transaction was processed. This structure allows for easy tracking and reconciliation of transactions back to the originating financial institution. Understanding this format is crucial for professionals managing ACH transactions, as it directly relates to the efficiency and accuracy of transaction processing and tracking in the ACH network.

The Trace Number field is essential for tracking individual ACH transactions throughout the payment system. It consists of 15 characters and serves to identify the Originating Depository Financial Institution (ODFI) associated with a specific transaction.

The Trace Number provides a unique identifier for each entry and is formatted in a way that includes several components: the routing number of the ODFI, a trace sequence number, and a three-digit suffix that ensures the uniqueness of the trace number for the day the transaction was processed. This structure allows for easy tracking and reconciliation of transactions back to the originating financial institution. Understanding this format is crucial for professionals managing ACH transactions, as it directly relates to the efficiency and accuracy of transaction processing and tracking in the ACH network.