Automated Clearing House - SEC Codes

SEC Codes

Some common Standard Entry Class (SEC) codes:

ARC

Accounts receivable conversion. A consumer check converted to a one-time ACH debit. The difference between ARC and POP is that ARC can result from a check mailed in whereas POP is in-person.

BOC

Back office conversion. A single entry debit initiated at the point of purchase or at a manned bill payment location to transfer funds through conversion to an ACH debit entry during back office processing. Unlike ARC entries, BOC conversions require that the customer be present, and that the vendor post a notice that checks may be converted to BOC ACH entries.

CBR

Corporate cross-border payment. Used for international business transactions, replaced by SEC Code IAT.

CCD

Corporate credit or debit. Primarily used for business-to-business transactions.

CTX

Corporate trade exchange. Transactions that include ASC X12 or EDIFACT information.

DNE

Death notification entry. Issued by the federal government.

IAT

International ACH transaction. This is a new SEC code for cross-border payment traffic. The code will replace the PBR and CBR codes. The new code will be implemented September 18, 2009.

PBR

Consumer cross-border payment. Used for international household transactions, replaced by SEC Code IAT.

POP

Point-of-purchase. A check presented in-person to a merchant for purchase is presented as an ACH entry instead of a physical check.

POS

Point-of-sale. A debit at an electronic terminal initiated by use of a plastic card. An example is using your debit card to purchase gas.

PPD

Prearranged payment and deposits. Used to credit or debit a consumer account. Popularly used for payroll direct deposits and preauthorized bill payments.

RCK

Represented check entries. A physical check that was presented but returned because of insufficient funds may be represented as an ACH entry.

TEL

Telephone-initiated entry. Oral authorization by telephone to issue an ACH entry such as checks by phone. (TEL code allowed for inbound telephone orders only. NACHA disallows the use of this code for outbound telephone solicitations unless a prior business arrangement with the customer has been established.)

WEB

Web-initiated entry. Electronic authorization through the Internet to create an ACH entry.

XCK

Destroyed check entry. A physical check that was destroyed because of a disaster can be presented as an ACH entry.