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ACH return R02

Account Closed

Category: Account & routing Initiated by: RDFI

Applies to (SEC scope)

ALL

camt.053 mapping

AC04 — Closed Account Number

Reinitiation

Restricted — permitted only within the Rules’ limits

Nacha's definition

A previously active account has been closed by action of the customer or the RDFI.

Verbatim from Nacha — ISO 20022 Guide to Mapping U.S. ACH Return Items and Notifications of Change, August 2023, Version 2.01 (Table 1, return reason codes) (return reason code table). Applies to: ALL.

How it appears in an ISO 20022 statement

Nacha's mapping guide maps R02 to camt.053 reason code AC04 (Closed Account Number) — ISO definition: Account number specified has been closed on the bank of account's books.

Return time frame

Nacha's public rule pages refer to the standard "two-day" return time frame for returns that are not extended (unauthorized) returns. The governing time limit for this code is set in the Nacha Operating Rules, which Nacha sells and which were not used here, so it is not restated.

Source: Nacha — rule page 'ACH Network Risk and Enforcement Topics' (unauthorized return rate threshold; reinitiation of entries)

Can the entry be reinitiated?

Nacha's reinitiation rule page says the rule "will allow reinitiations to correct administrative errors", with fields other than Company Name, Company ID and Amount modified only to the extent necessary to correct an error — so Nacha's page treats a resubmission with corrected account details as a reinitiation — within the Rules' limits and carrying the RETRY PYMT description — unless the Originator obtains a new authorization after the return, in which case Nacha does not treat the debit as a reinitiation.

Source: Nacha — rule page 'ACH Network Risk and Enforcement Topics' (unauthorized return rate threshold; reinitiation of entries)

PaymentBrief guidance, not Nacha text

get the corrected details from the Receiver, and decide deliberately whether you are reinitiating or originating a freshly authorized entry.

What an operator does next

The account is closed. Do not retry. Reach the Receiver for new account details, capture a fresh authorization on the new account, and cancel any scheduled entries against the old one so you do not accumulate further returns.

PaymentBrief guidance, not Nacha text. Your ODFI's procedures and the current Nacha Operating Rules govern.

Where this comes up on PaymentBrief

Confidence: high. Status: verified. The Nacha Operating Rules govern. Nacha sells them and they were not used here; every statement above is taken from a public Nacha document or a public US Treasury or Federal Reserve document, named per statement. Where those documents are silent, this card says so of those documents — it is not a claim about everything Nacha has published.

Sources for this code

Related codes

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