What would you find in the field denoted "N1" in an Addenda Record?

What would you find in the field denoted "N1" in an Addenda Record?

• A. Data element separators
• B. Identification of payees
• C. Transaction type codes
• D. Customer account details

Answer: (B)

In an Addenda Record, the field denoted as "N1" is used for identifying payees. This field typically includes information regarding the name of the entity or individual receiving payment or who is associated with the transaction. Using the N1 field helps add context to the transaction by clearly identifying the payee, which is crucial for both the payer and the payee for accurate record-keeping and processing. Understanding the importance of the N1 field is essential, as it aligns with the operational requirements in the ACH framework, ensuring the smooth execution and reconciliation of transactions. Identifying the payee helps to reduce confusion and enhance transaction transparency in automated processes typically associated with ACH transfers.

In an Addenda Record, the field denoted as "N1" is used for identifying payees. This field typically includes information regarding the name of the entity or individual receiving payment or who is associated with the transaction. Using the N1 field helps add context to the transaction by clearly identifying the payee, which is crucial for both the payer and the payee for accurate record-keeping and processing.

Understanding the importance of the N1 field is essential, as it aligns with the operational requirements in the ACH framework, ensuring the smooth execution and reconciliation of transactions. Identifying the payee helps to reduce confusion and enhance transaction transparency in automated processes typically associated with ACH transfers.