An Automated Clearing House (ACH) return is the equivalent of a bounced check. An ACH return occurs when someone provides bank information in order to make a payment or transfer, but the payment is returned by the bank for one of many reasons. The most common reasons for an ACH return include:
- Insufficient funds
- A stop payment
- Incorrect account information
If an ACH return occurs for an incoming or outgoing transfer you’ve made from your Novo account, you’ll receive an email with the details for this return. Your transaction activity will also reflect this return. The transaction will include the label ‘ACH Return’ to help you identify the case in which this occurred.