Bank Code Bank Code Errors

Question 1

What is the most common cause of a failed ACH direct deposit?

Accepted Answer

Transposed digits in the routing or account number

Answer

Incorrect SWIFT code

Answer

Expired account number

Answer

Wrong currency specified

Question 2

What ACH return code indicates that the routing number provided does not exist?

Accepted Answer

R03 — No Account / Unable to Locate Account

Answer

R01 — Insufficient Funds

Answer

R04 — Invalid Account Number

Answer

R02 — Account Closed

Question 3

If an ACH payment is returned due to an incorrect routing number, who typically bears responsibility for the error?

Accepted Answer

The originating bank or business that submitted the incorrect information

Answer

The receiving bank

Answer

NACHA

Answer

The Federal Reserve

Question 4

What happens to funds sent via ACH to a valid routing number but a non-existent account number?

Accepted Answer

The receiving bank returns the funds to the originating bank via ACH return

Answer

The funds are held by the Federal Reserve

Answer

The funds are deposited into a general bank account permanently

Answer

The transfer is automatically retried

Question 5

How long do banks typically take to process an ACH return for an incorrect routing or account number?

Accepted Answer

Up to 2 business days

Answer

Immediately — real-time rejection

Answer

Up to 5 business days

Answer

Up to 30 business days

Question 6

What is an 'ACH R04' return code?

Accepted Answer

Invalid account number structure

Answer

Insufficient funds

Answer

Account closed

Answer

Stop payment order