CPP CPP Electronic Payments & ACH 1

Question 1

What does ACH stand for in the context of US payment systems?

Accepted Answer

Automated Clearing House

Answer

ACH stands for Automated Clearing House, the US electronic network used for financial transactions such as direct deposits and bill payments.

Question 2

Which organization governs and manages the ACH Network rules in the United States?

Accepted Answer

Nacha

Answer

Nacha (formerly NACHA) is the self-regulatory organization that governs the ACH Network and sets the operating rules.

Question 3

What is the standard ACH settlement window for Same Day ACH transactions?

Accepted Answer

Within the same business day

Answer

Same Day ACH transactions settle within the same business day, typically within a few hours of submission.

Question 4

What ACH transaction type is used when a company pulls funds from a customer's bank account?

Accepted Answer

PPD Debit

Answer

A PPD Debit (Prearranged Payment and Deposit Debit) entry is used when a company pulls funds from a consumer's personal bank account under a written authorization.

Question 5

Which ACH Standard Entry Class (SEC) code is used for internet-initiated consumer debit entries?

Accepted Answer

WEB

Answer

WEB (Internet-Initiated Entry) is the SEC code for debit entries initiated via the internet for consumer accounts.

CPP - Certified Payment Professional Practice Test

CPP - Certified Payment Professional Practice Test

CPP CPP Electronic Payments & ACH 1