ACH Software Overview
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ACH (Automated Clearing House) is a highly reliable and efficient nationwide batch-oriented electronic funds transfer system governed by the NACHA OPERATING RULES which provide for the interbank clearing of electronic payments for participating depository financial institutions. The Federal Reserve and Electronic Payments Network act as ACH Operators, central clearing facilities through which financial institutions transmit or receive ACH entries.
With the use of iACH, inFORM Decision’s ACH payment processing suite, you can save time and money by processing electronic transfers, instead of checks. The check spooled files already being created by your current Accounts Payable software on the ISeries are used as input for the iACH electronic batches. There is no custom coding required to interface with iACH.
Your vendors are notified either by fax (iFAX) or by email (iMAIL) that they have received or will be receiving payment based upon you AP schedule. The average cost of cutting a check is over two dollars, and the cost of sending an ACH transaction is fifteen cents or less. Not only can iACH pay for itself in a relatively short amount of time, your company could see considerable savings improving it’s overall bottom line.
IACH ACH ePayment Solutions 5.05 12.15.08 System: S10AE7BC ACH ePayment Applications 1. Work with ACH Spool Capture Applications WRKIACHSPL 2. Work with ACH Control File Records WRKACHAPP 3. Work with ACH Detail Transactions WRKACHTRN 4. Submit ACH File and Control File SBMACHFILE ACH ePayment Configure Secure FTP 10. Send using SFTP SBMACHSFTP 11. Schedule SFTP transmission SCDACHSFTP ACH Notification Maintenance 20. Work ACH Notifications WRKACHNOTE 21. Work ACH Vendor Master WRKACHVEND 22. Submit ACH Notifications SBMACHNOTE 23. ACH System Environment ACHSYSENV Bottom Selection F1=Help F3=Exit F12=Cancel
* Option 1 on the iACH menu allows you to map fields contained in your spooled files to the iACH fields, facilitating the creation of ACH batches. It also allows you to change already existing ACH/spooled file mapping.
* Option 2 on the iACH menu enables you to enter in all of your company’s bank details, data transmission protocol configuration and other credentials necessary to send a NACHA compliant file to your financial institution for electronic payment.
* Option 3 on the iACH menu enables you to add and/or modify transactions for specific ACH control records. Transactions can be changed from a released status to an open status, making them eligible for electronic file transmission.
* Option 4 on the iACH menu actually creates the ACH Control and detail files. It allows for the creation of these files based upon ACH Control Record (or your company’s bank account details etc defined in Work with ACH Control File Records) and an ACH transaction date range.
* Option 10 on the iACH menu will send the ACH files created, based upon the ACH Control Record specified, to your company’s financial institution, using SFTP. No need to worry about your sensitive data. SFTP, or secure FTP, is a program that uses SSH to transfer files. Unlike standard FTP, it encrypts both commands and data, preventing passwords and sensitive information from being transmitted in the clear over the network.
* Option 11 on the iACH menu lets you schedule the transmission of your ACH files based upon ACH Control Record.
* Option 20 on the iACH menu allows you to create your own fax and email templates. These templates are used when sending your vendors ACH Notification and Pre-notifications. The actual data elements from your ACH reserved fields such as Vendor name, invoice number and invoice amount among others, to be automatically integrated into the template to communicate specific details of the ACH transactions.
* Option 21 on the iACH menu allows you to add or maintain vendors and associate them with an ACH Control Records. Here you will define vendor specific information such as bank account number, account type, ACH Notification and Pre-Notification preferences as well as email and/or a fax number to send the notifications.
* Option 22 on the iACH menu will send your vendors ACH Notification and/or Pre-Notifications according to which ACH Control Record and ACH processing transaction dates contained within the date range specified.
* Option 23 on the iACH menu allows you to specify important elements of your ACH system. It allows you to specify where the ACH objects and data are found. It also allows you to specify whether to enable fax and or email ACH Notification and Pre-Notifications, Email client type, default sender address, default subject line and fax client type.
The table below outlines the configuration and production steps necessary for the initial setup and day to day operations.
|Task||Menu Description||Item||Detailed Description||Frequency|
|1||Create ACH Control Record||Item 2||NACHA constants, transmission details, transaction types||One Time Setup|
|2||Create Test ACH Spooled File||Customer Supplied||Used as input into the ACH repository||One Time Setup|
|3||Compose Pre-notifications / Notification Message templates||Item 20||This will create the message body used to notify vendors of pending and executed financial transactions||One Time Setup|
|4||Configure Transmission for FAX/email||Item 23||Used to configure||One Time Setup|
|5||Create Test Vendor Records||Item 21||Identify Vendors wishing to participate in ACH, and assign previously defined Notification, Pre-notification messages||Set Up as Vendors Participate|
|6||Create a Spool Capture application||Item 1||Used to map the data from your company's spooled file to the ACH repository.||One Time Setup|
|7||Merge a Spool Capture application with transaction spooled file.||Item 1||Used to capture the data from your company's spooled file to the ACH repository||On production schedule|
|8||Work with ACH Detail Transactions||Item 3||Used to Release those items in the ACH repository for inclusion within an ACH file.||On production schedule|
|9||Submit ACH Notifications||Item 22||Send a Pre-Notification of transactions to vendors from prior step||On production schedule|
|10||Submit ACH File and Control File||Item 4||Creates the actual ACH Control and Detail Files||On production schedule|
|11||Send Using SFTP||Item 10||Sends Detail, and if necessary the control file||On production schedule|
|12||Submit ACH Notification||Item 22||Send a Notification of transaction to vendors of prior step||On production schedule|