Update March 31, 2021: Currently in beta for a select few customers
Note: This article is intended for users of ACHWorks. If you are using ACHWorks, we strongly recommend that you run a billing authorization 7 days BEFORE and 7 days AFTER you run your regular monthly billing. This will ensure that as many accounts as possible are processed each month.
The North American Clearing House Association (NACHA) has issued rules which require banking information received online to be screened to prevent fraud using a "commercially reasonable fraudulent transaction detection system".
Working in coordination with ACHWorks, Rock Gym Pro has implemented a system to help ensure that banking information submitted through the website is valid before it is used. The RGP software only implements this authorization for facilities using our ACHWorks integration. If you are using another system to process your electronic check payments, you will need to work with your third-party system to make sure they are verifying this information.
The method of authorization is to process a zero-amount transaction on the given bank account and waiting several days to be sure it is valid before using it for any actual transaction.
If the transaction fails, the account will be marked as having failed authorization within RGP.
Beginning the authorization process
Banking information entered manually does not use this process. These new rules only cover banking information submitted through the web, which means that only information copied from a membership change request form will be marked as "needing authorization".
The first step happens when you copy banking information into a customer dialog and save the results. Opening the customer again will show that it is now marked as "Needs Authorization"
Processing the Authorization Request
Authorizations are created as normal ACH transactions and are processed in the billing system. When you open the billing system, a new tab will show up - ACH Authorization - if there are any accounts needing authorization.
Four Options for Processing Authorizations:
- Click the 'Authorize All Accounts' button on the ACH Authorization tab. This will create a single ACH billing event with all the authorizations in it.
- Click 'Bill All Customers' in the Balances due tab. Choosing to process all ACH transactions here will include any pending authorizations. (If there are any, that will be noted in the dialog).
(It is recommended that this option is used if there are any other ACH transactions to process to avoid multiple batches in one day)
- Automatic billing- Billing Launch -- there is an option for "Authorize ACH Accounts". Running this will process the authorizations through the automatic billing process.
- Automatic billing- when creating automated tasks for billing, "Authorize ACH Accounts" is an option here as well.
Customers can not be billed while their banking information has not been authorized-- it will be treated as a missing or invalid account.
A week after an authorization request has been submitted, opening the Billing Center will mark the account as "Authorized" and can then be used for payments.
A failed authorization will be processed with ACH responses. It is recommended to automatically download responses each day under the ACH Responses tab to make sure authorizations are processed in a timely manner.
Having a failed authorization is also a customer warning, which means that it will show in the warnings box when the customer is selected.
the customer shows up in View >> Customer List: With Warnings (If they are a member)
and the customer details will have the authorization failed notice.
If the customer confirms the account information is correct, and that the failure was only temporary for whatever reason, the authorization process can be restarted by using the "Retry Auth." button at this point. This will change the status back to "Needs Authorization" so the process can start over again.
To help find customers whose accounts are in the authorization process, there are two new filters available for customer queries:
1) Has Failed ACH Authorization
2) Has pending ACH Authorization
Further management comes from a new automatic email for Failed Authorizations
This will be sent as part of the daily processing to any failed authorizations that were processed the previous day.