When the RDFI requests a copy of a Receiver's authorization in writing, how many Banking Days does the ODFI have to provide it?

When the RDFI requests a copy of a Receiver's authorization in writing, how many Banking Days does the ODFI have to provide it?

• A. Five Banking Days
• B. Seven Banking Days
• C. Ten Banking Days
• D. Fifteen Banking Days

Answer: (C)

The correct time frame for the Originating Depository Financial Institution (ODFI) to provide a copy of the Receiver's authorization in writing after a request from the Receiving Depository Financial Institution (RDFI) is ten Banking Days. This requirement is outlined in the National Automated Clearing House Association (NACHA) Operating Rules, which govern the ACH network. This rule ensures that financial institutions are held accountable and maintain a clear process for record-keeping and compliance. The ten-Banking-Day deadline allows sufficient time for the ODFI to retrieve and send the necessary documentation while fostering efficient communication between the entities involved. Understanding this timeframe is crucial for compliance with the NACHA rules and for smooth operations within the ACH network, ensuring that both originating and receiving institutions can meet regulatory requirements effectively.

The correct time frame for the Originating Depository Financial Institution (ODFI) to provide a copy of the Receiver's authorization in writing after a request from the Receiving Depository Financial Institution (RDFI) is ten Banking Days. This requirement is outlined in the National Automated Clearing House Association (NACHA) Operating Rules, which govern the ACH network.

This rule ensures that financial institutions are held accountable and maintain a clear process for record-keeping and compliance. The ten-Banking-Day deadline allows sufficient time for the ODFI to retrieve and send the necessary documentation while fostering efficient communication between the entities involved.

Understanding this timeframe is crucial for compliance with the NACHA rules and for smooth operations within the ACH network, ensuring that both originating and receiving institutions can meet regulatory requirements effectively.