What is the maximum number of calendar days allowed for an originator to make changes specified in a Notification of Change (NOC) related to a recurring entry?

What is the maximum number of calendar days allowed for an originator to make changes specified in a Notification of Change (NOC) related to a recurring entry?

• A. 10 calendar days
• B. 15 calendar days
• C. 30 calendar days
• D. 6 calendar days

Answer: (B)

The correct answer is 15 calendar days. In the context of the ACH (Automated Clearing House) network, a Notification of Change (NOC) allows an originator to update the information related to a recurring entry, such as a change in account number or a change in the amount. Once the originator receives a NOC from the financial institution, they are required to implement the changes within 15 calendar days. This timeframe is critical in ensuring the accuracy of ongoing transactions and minimizing disruptions to the payment process for both the originating party and the receiving party. Understanding the timeline for implementing changes through an NOC is key for compliance with ACH rules and helps maintain the integrity of electronic payments.

The correct answer is 15 calendar days. In the context of the ACH (Automated Clearing House) network, a Notification of Change (NOC) allows an originator to update the information related to a recurring entry, such as a change in account number or a change in the amount. Once the originator receives a NOC from the financial institution, they are required to implement the changes within 15 calendar days. This timeframe is critical in ensuring the accuracy of ongoing transactions and minimizing disruptions to the payment process for both the originating party and the receiving party.

Understanding the timeline for implementing changes through an NOC is key for compliance with ACH rules and helps maintain the integrity of electronic payments.