Scenarios

The following describes the scenario depicted in the ACH Dishonored Return Entry example.

The return entry is received by XYZ Trust, it contains one batch that carries a single return entry. The return had to be made available to the ODFI by opening of business on June 28 in order to be considered on time. For the purpose of this example, assume that the return was on June 27. However, due to ACH Operator hardware problems, XYZ Trust did not receive the return until June 29, instead of June 28. XYZ Trust is unable to post the return to AM Club's account because AM Club has declared bankruptcy. Thus, XYZ Trust suffers a loss and dishonors the return as untimely.