What must the source document used for an ARC Entry be until it is destroyed?

What must the source document used for an ARC Entry be until it is destroyed?

• A. Electronically archived
• B. Securely stored
• C. Publicly accessible
• D. Digitally uploaded

Answer: (B)

The source document used for an ARC (Automated ReClearing) Entry must be securely stored until it is destroyed. This indicates that the document needs to be preserved in a manner that protects it from unauthorized access or loss, ensuring the integrity and confidentiality of the information. A secure storage requirement is crucial due to the sensitivity of the financial information contained in these documents, which can include checking account details and authorization for the debit. Secure storage also serves to fulfill regulatory compliance and risk management practices, which are essential components of handling ACH transactions. When the source document is no longer needed, it must be destroyed properly to eliminate any risk of exposing sensitive information, fulfilling both compliance and security obligations. The other options, such as electronically archived or digitally uploaded, might imply some level of electronic preservation but do not emphasize the necessary security aspect. Publicly accessible storage is clearly unsuitable due to the nature of the information involved, which must remain confidential. Therefore, securely stored is the most appropriate choice for ensuring that the source document remains protected until it is time for destruction.

The source document used for an ARC (Automated ReClearing) Entry must be securely stored until it is destroyed. This indicates that the document needs to be preserved in a manner that protects it from unauthorized access or loss, ensuring the integrity and confidentiality of the information. A secure storage requirement is crucial due to the sensitivity of the financial information contained in these documents, which can include checking account details and authorization for the debit.

Secure storage also serves to fulfill regulatory compliance and risk management practices, which are essential components of handling ACH transactions. When the source document is no longer needed, it must be destroyed properly to eliminate any risk of exposing sensitive information, fulfilling both compliance and security obligations.

The other options, such as electronically archived or digitally uploaded, might imply some level of electronic preservation but do not emphasize the necessary security aspect. Publicly accessible storage is clearly unsuitable due to the nature of the information involved, which must remain confidential. Therefore, securely stored is the most appropriate choice for ensuring that the source document remains protected until it is time for destruction.