The ABC’s of Completing the Annual ACH Rules Compliance Audit
Donna K Olheiser, AAP, is the vice president of Education Services and founder of Dynamic Mastership, LLC, and holds the Accredited ACH Professional (AAP) designation (achieved in 2004). She is an enthusiastic and energetic Certified Master Trainer with over 14 years’ training experience. She has designed and facilitated over 100 training sessions each year with her expertise being the rules for companies and financial institutions when processing electronic (specifically ACH) payments, then scheduling the events to facilitate and deliver the material through a variety of venues (webinars, teleseminars, in-person workshops, including regional and national conferences).
Her extensive knowledge, enthusiasm, and passion for transferring payment processing knowledge using the adult learning theory is remarkable and has helped many payment professionals perform daily operational tasks including exception processing while remaining compliant with the NACHA Operating Rules. She uses scenarios and examples to bring the learning home, easy to comprehend and apply to real-life day-to-day ACH processing. Ms. Olheiser’s ability to engage the learner through the entire training event helps the adult learner apply what they’ve learned during and after each training session.
Donna has over 24 years of experience in the financial services industry which includes 9 years’ experience as the education service director at a Regional Payments Association (RPA), where she managed and facilitated the entire education program for nearly 800 financial institution members. Prior to that, Ms. Olheiser spent 14 years in various departments with the Federal Reserve Bank of Minneapolis, including the internal educator for FedACH Central Operations.
The NACHA Operating Rules and Guidelines require that all participating depository financial institutions, third-party senders and third-party service providers that provide ACH services conduct an annual ACH audit to be performed by December 31 of each year (ACH Rules, Appendix Eight). By each participant performing the annual ACH audit, this helps to ensure that electronic payments work safely and efficiently for all users. Every financial institution, Third-Party Service Provider and Third-Party Sender that provide any function within the ACH Network is required to complete the annual ACH Audit for Rules Compliance.
This session will outline the Audit process according to Appendix 8 in the NACHA Operating Rules and what elements of your ACH program need to be checked and verified to ensure compliance with these Rules.
This session will cover the General Audit Requirements along with the specifics for the RDFI and ODFI processes and what types of questions to ask and things to look for when completing your annual ACH Rules Compliance Audit.
- Define general audit requirements
- Identify the details of the ACH audit for the ODFI (and how this pertains to their Originators)
- Outline the audit requirements for the third-party sender – including the new requirement for registration with NACHA
- List what the third-party service provider is responsible for in regard to the annual ACH audit
- Provide tips to help the auditor performing the annual ACH audit – to ensure compliance with the NACHA operating rules
- Review best practices and requirements for additional audit requirements (as defined by NACHA)
- Overview of questions to ask while performing the annual ACH rules compliance audit
Who Should Attend
- Financial Institutions
- Risk/compliance officers
- Internal audit
- Treasury management
- Credit risk managers
- Loan Officers
- All Accredited ACH Professional
Topics discussed the Annual ACH Audit include
- General Audit Requirements
2. Previous audits
- Receiving Depository Financial Institution (RDFI)
3. Returns, stops and WSUD’s
- Originating Depository Financial Institution (ODFI)
1. ODFI agreements
2. Exposure limits
3. Originator obligations