Resolve Stop Payment ACH Returns

Two ACH return codes indicate a stop payment: R29 (Corporate Customer Advisement) and R08 (Payment Stopped). Both require action from the Merchant before reattempting payment on the same bank account, otherwise the payment continues to reject for the same reason.

R29 (Corporate Customer Advisement)

R29 (Corporate Customer Advisement)

This code indicates that the corporate account holder has notified their bank that the transaction is not authorized to be paid. The same ACH reject response is received if payment is re-attempted, unless the customer notifies their bank that the debit is in fact authorized. An R29 return also disables the Payment Profile in Maxio, separately from resolving the issue with the bank, and reinstating it requires a Maxio Risk team review.

R08 (Payment Stopped)

R08 (Payment Stopped)

This reject code means that the individual account holder has contacted their bank and advised that the transaction is not authorized to be paid. The same ACH reject response is received if payment is re-attempted, unless the customer notifies their bank that the debit is in fact authorized.

The following prevention and remediation guidance applies to R08:

• Prevention: Confirm authorization and payment details with the account holder, ensure the date of the expected debit is clearly communicated, ensure the customer has not previously contacted the company to discontinue services.
• Remediation: Contact the account holder to obtain a bank letter to provide in order to reprocess.

Bank letter

For best practices, the bank letter should include:

• Be written on bank letterhead and dated
• The account holder's name, and the last 4 digits of the account number and routing number, matching your records
• A statement that the account is active and able to receive debits from your company
• Be signed by a representative of the bank

This example bank letter follows the format described above:

Related information

For the reinstatement process after an R29 block, see Resolve Blocked ACH Payments Due to R29 Return Code.

For the full list of ACH return codes and severity levels, see Understand ACH Return Codes and Best Practices.