As a corporation that handles ACH transactions on behalf of others, you may have heard your financial institution refer to you as a “Third-Party Sender.” Common examples of Third-Party Senders include payroll processing companies, rent payment companies, and other bill pay providers. If an entity is designated as a Third-Party Sender, it is subject to certain duties under the Nacha Operating Rules (“ACH Rules”), such as the requirements to have an annual ACH Audit conducted and to enter into specific agreements with its clients (the “Originators”).
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