PaymentVision 5.7.3 is now available in production. The purpose of this release is to add 1 new enhancement (Bank Account Verification Safety Net) and 1 bug fix (Check Stub Mismatch).
Bank Account Verification Safety Net
Bank Account Verification Safety Net is an existing feature of PayAPI that enables bank accounts to be verified as part of a bank account registration request.
What is bank account verification?
Bank Account Verification is a web service provided by Lyons Commercial Data that enables merchants to verify bank account status.
What’s new?
| Change | Description |
|---|---|
| Request Methods | Previously, Bank Account Verification Safety Net could only be “chained” to AddBankAccount requests. Now, as part of this release, Bank Account Verification Safety Net can also be chained to ReplaceBankAccount requests. |
| Response Handling | Previously if the Bank Account Verification request returned a Deny, Error or Insufficient Information response, then PayAPI returned an 5055 error response. Now, as part of this release, PayAPI will only return a 5055 error response when the Bank Account Verification request returns a Deny or Error response. |
What are the use cases?
Bank Account Verification has the following use cases:
| Use Case | Description |
|---|---|
| ACH Return Rate Management | NACHA has established an inquiry process which is triggered when an ACH originator exceeds a return rate threshold*. This can be problematic for subprime merchants, particularly those who enroll customers in auto debit. Bank Account Verification addresses this by enabling ACH originators to chain Bank Account Verification to bank account registration requests. |
| WEB Entry Account Validation | Effective March 19, 2021, NACHA is requiring bank accounts to be validated as part of a commercially reasonable fraudulent transaction detection system for WEB debit entries. Bank Account Verification addresses this by enabling merchants to chain Bank Account Verification to bank account registration requests within both PayWeb 2 and PayWeb 360. |
*See NACHA Return Rate Thresholds below for more information.
NACHA Return Rate Thresholds
NACHA has established the following ACH return rate thresholds:
| Category | Reason Codes | Limit |
|---|---|---|
| Unauthorized debit entries |
| .5% |
| Administrative returns |
| 3% |
| Overall returns | All | 15% |
How does it work?
- PayAPI receives a valid AddBankAccount or ReplaceBankAccount request
- If Bank Account verification is enabled for the primary merchant and the run mode is set to real time, then PayAPI verifies the bank account using the Lyons Commercial Data iBankRegistry Account Verification web service
- If the Bank Account Verification request returns a Deny or Error response then PayAPI returns a 5055 error response
- If the Bank Account Verification request returns an Accept or Insufficient Information response, then PayAPI continues processing the request as normal
Error Response
| Code | Description |
|---|---|
| 5055 | The Bank Account does not pass Account Verification – {ErrorMessage} |
Are there any integration requirements?
So long as the AddBankAccount and/or ReplaceBankAccount request methods are already integrated into your software and it is able to dynamically handle new response codes, the only integration requirement is to present a Fair Credit Reporting Act disclosure upon receipt of a 5055 error response.
Implementation
Bank Account Verification can be chained to AddBankAccount or ReplaceBankAccount requests by creating an Account Verification validation rule at the primary merchant level and setting the Run Mode to Real Time.
Configuration
Bank Account Verification can be configured to apply to all capture sources or restricted by capture source.
Limitations
PAYAPI
| Limitation | Description |
|---|---|
| Request Methods | Bank Account Verification can only be chained to AddBankAccount and ReplaceBankAccount requests. |
| Sub Merchants | In order for Bank Account Verification to be applied to PayAPI requests it must be set at the primary merchant level. Sub-merchants cannot be excluded. |
| Error Response | PayAPI will return the same error response (5055) regardless of whether the Severity Level is set to Warning or Violation within the Bank Account Verification rule. |
PAYIVR
Bank Account Verification cannot be applied to requests originating from PayIVR.
PAYWEB CLASSIC
Bank Account Verification cannot be applied to requests originating from PayWeb Classic.
PAYAGENT CLASSIC
Bank Account Verification can only be applied on-demand within PayAgent Classic.
PAYMENTVISION PORTAL
| Limitation | Description |
|---|---|
| Restrict by Capture Source | Bank Account Verification can only be restricted by capture source when Run Mode is set to Real Time. |
| Restrict by ACH Class Code | Restricting Bank Account Verification by ACH Class Code is not applicable when chaining Bank Account Verification to PayAPI requests. |
| Minimum Amount | Establishing a Minimum Amount is not applicable when chaining Bank Account Verification to PayAPI requests. |
Check Stub Mismatch
Check Stub Mismatch is a bug that caused both the bank routing number and bank account number to be mismatched on the check stub when printing business checks. This bug has been fixed as part of this release.
