AAP SEC Codes and Entry Types 3

Question 1

Which SEC code covers ACH debit entries to consumer accounts where authorization is obtained at the point of sale via a debit card transaction?

Accepted Answer

POS (Point-of-Sale)

Answer

POP (Point-of-Purchase)

Answer

BOC (Back Office Conversion)

Answer

WEB (Internet-Initiated Debit)

Question 2

The SHR (Shared Network Entry) SEC code is used for:

Accepted Answer

Point-of-sale debit transactions processed through a shared electronic network

Answer

Shared banking services between affiliated institutions

Answer

Multi-bank wire transfers settled via ACH

Answer

International shared-currency transactions

Question 3

For a company initiating a one-time ACH debit authorized by a consumer on the company's website, which SEC code is correct?

Accepted Answer

WEB

Answer

TEL

Answer

PPD

Answer

POP

Question 4

The DNE (Death Notification Entry) is used by:

Accepted Answer

Federal government agencies to notify RDFIs of a recipient's death and stop future credits

Answer

Insurance companies to process death benefit payments

Answer

State agencies to initiate estate debit entries

Answer

Funeral homes to collect payment for services

Question 5

The ENR SEC code is used for:

Accepted Answer

Automated enrollment of consumers in federal government benefit programs

Answer

Electronic network routing of ACH batches

Answer

Emergency notification routing for system outages

Answer

Employer payroll enrollment and setup

Question 6

Which addenda record type is required for IAT entries?

Accepted Answer

Multiple mandatory addenda records including remittance, foreign correspondent bank, and beneficiary information

Answer

A single optional addenda record only

Answer

No addenda records—the main entry contains all required data

Answer

Only the standard NACHA 7-character addenda format