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July 15, 2015
All About Escrows
David Dickinson

July 16, 2015
Business or Consumer Purpose, That Is the Question!
Kathleen Blanchard

July 21, 2015
Efficient SAR Narratives: Beyond the 5 W's
Victor Cardona

July 22, 2015
How to Complete the Loan Estimate
Jerod Moyer

July 28, 2015
Opening Nonprofit, Memorial, Donation, Association Accounts and more
Deborah Crawford

July 29, 2015
How to Complete the Closing Disclosure
Jerod Moyer



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#1411448 - 07/02/10 12:50 PM ach pre funding - new one to me
whataday Offline
Gold Star

Registered: 09/26/06
Posts: 399
Loc: Georgia
Can anyone tell me what ACH pre-funding is and are there disclosure requirements?

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Deposits and Payments
#1411497 - 07/02/10 01:33 PM Re: ach pre funding - new one to me [Re: whataday]
Georgia Plum
Unregistered


What it means to me is that you have an ACH originator that is sending out, for instance, payroll deposits. Before we will actually send the ACH file, we require that the 'funding' is in their account. The file might not actually settle until tomorrow, but we require 'pre-funding' (money in their account) today.

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#1411835 - 07/06/10 10:06 AM Re: ach pre funding - new one to me [Re: ]
new_shoes Offline
Junior Member

Registered: 03/16/10
Posts: 25
Loc: Massachusetts
We are thinking of implementing prefunding as well. Curious if banks that have it require all credit originators to prefund or just the originators that are more difficult to underwrite?

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#1411924 - 07/06/10 12:04 PM Re: ach pre funding - new one to me [Re: new_shoes]
HappyGilmore Offline
10K Club

Registered: 06/11/04
Posts: 17670
Loc: somewhere over the rainbow
your interbank liability policy should address this...
_________________________
The head nurse spoke up, said leave this one alone...

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#1411945 - 07/06/10 12:43 PM Re: ach pre funding - new one to me [Re: new_shoes]
Kathleen B Online


10K Club

Registered: 12/27/00
Posts: 19068
Bank will require this when they feel the risk is to high to allow the ACH to go out without the funds in the bank. It is an underwriting decision and your ACH process should be modified to allow for this if you choose this option. It is not an unusual requirement.
_________________________
Kathleen Blanchard CRCM "Kaybee"
Lending/CRA/HMDA/Mapping/Consulting
www.kaybeescomplianceinsights.com

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