Our ACH processing person has asked me to assist in answering a question that has been asked multiple times. If a customer (for whatever reason) never wants to allow an ACH debit to be paid, is this something we want to allow? We have the ability to block this in our core system, but haven't messed with it before. For some reason, she has it in her head that this can only be done via court order, but neither her or I have any clue if that's based on anything factual.
In my opinion, we're putting ourselves in between our account holder and whoever they may be authorizing to take money from the account, and creating situations where we're aiding people in not paying their bills, so I don't see why we would want to.
Does anyone allow/use this type of setting on a consumer deposit account? How do you justify it's use, do you charge fees, do you have a specific agreement/indemnification signed? It seems it would contradict our account agreement otherwise to just do something like this based on a verbal request.
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Someone's about to get horned!