RETAIL provides full Automated Clearing House (ACH) processing. ACH provides a standard process for sending monetary transactions from one accounting system to another.

The Transit Routing Number and ACH Account Number are carried by RETAIL.

When a new note is entered or when certain ACH options are changed, the system generates a pre-notification to the ACH system. No other entries for this loan will be generated to ACH until the pre-notification period has expired. If the transit routing number indicates that the ACH account is an internal account, no pre-notification is created and ACH drafts can begin immediately.

A loan set up on ACH will create a RETAIL payment transaction and an ACH debit transaction based upon a user-defined number of days prior to the loan’s due date. The RETAIL loan payment transaction is inventoried and will be posted to the loan on the loan’s payment due date. The ACH entries are sent to the ACH system. The lead days are intended to allow time for the ACH debit to be posted to the borrower’s deposit account on the loan’s due date.

All Principal Payment Frequency values are valid.

The system provides options regarding the amount of the ACH draft, considering such items as:

• Additional amount to be charged
• Partial payments
• Current payments
• Past due payments
• Maturity payment
• Unpaid late charges
• Unpaid other charges
• Unpaid miscellaneous fees
• Deferred extension fees

ACH payment cancellation may be performed manually by the user or automatically by RETAIL. Several options are provided regarding automatic ACH cancellation, including:

• NSF payment reversals
• Number of days past due

Upon cancellation the user has the option to have RETAIL automatically increase the loan’s interest rate by a user-defined percentage.

RETAIL also provides the option to automatically credit a dealer reserve account with any available funds via ACH. During each daily processing cycle, the available amount of each reserve type will be calculated for each dealer and based upon certain conditions, an ACH transaction for the net amount is automatically created. At the same time a transaction to reduce each reserve is created by the system and merged into the pending transaction inventory file.

ACH-related reports produced by RETAIL include the following:

• ACH Change Report
• ACH Cancellation Notice
• Payment Transaction Detail
• ACH Interface Transaction Summary
• Pending Transaction Detail
• Pending Transaction Control Report

RETAIL’s robust ACH processing functionality provides many payment processing benefits:

• Improved customer satisfaction
• Reduced mailing costs
• Reduced payment processing time
• Reduced FTE costs
• Reduced posting errors