Skip to content

Prohibiting ACH for Escrow: Business Decision

Question: 
Our practice is not conducting ACH transactions for Trust account​s​ such as Escrow​s​. Is there any compliance reason to prohibit ACH for escrow or is it merely a business decision? Escrow company doesn't conduct ACH transactions but wires or check only.
Answer: 

by Randy Carey:

It is business decision. If the customer doesn't have the need for the service, I don't think you want to turn it on.

Answer: 

by John Burnett:

NACHA rules require that bank accept incoming ACH items for transactions accounts. But you don't have to allow everyone to originate ACH entries.

First published on 08/05/2018

Filed under: 
Filed under operations as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics