An ACH return occurs when an ACH transaction is unable to be processed or completed. This typically happens because of an issue with the information provided, insufficient funds, or other account-related problems.

Your merchant receives their deposits from Rainforest via a daily ACH deposit. On occasion, your merchant's deposit may fail to succeed due to an ACH return. Below are the most common ACH return reasons and how you can help your merchant remedy the issue to receive their funds.

Rainforest will send you notice of any ACH returns received on your merchant’s deposits. If you receive an ACH return notice and have any questions, you can reach out to your Customer Success Manager or support for help.

R01 - Insufficient funds

Problem

Though the merchant is commonly receiving funds from Rainforest in their deposit, there are times that they may owe funds for payments such as refunds, chargebacks, or ACH returns. If the merchant does not have the funds available, the deposit will return with the ACH return code R01, Insufficient Funds.

Solution

Notify your merchant of the ACH return and reason. Advise them to make adjustments to their account so a debit can be successfully re-attempted. If the merchant does not have the funds, Rainforest will hold future deposits until the negative balance is covered by future processing volume.

R03 - No Account/Unable to Locate Account

Problem

Many changes can take place with your merchant after they go through onboarding. Sometimes that includes changing their bank account details. If we attempt to deposit funds to an account that is no longer active, the deposit will return with the ACH return code R03, No Bank Account/Unable to Locate Account.

Solution

Notify your merchant of the ACH return and reason. You will need to collect updated bank account details so Rainforest can re-attempt the deposit. The easiest way is to ask for a voided check or official bank letter that includes the bank account number, routing number, and name on the account. You will need to provide this updated information to [email protected]. Deposits will resume once the new bank account has been verified.

R29 - Corporate Customer Advises Not Authorized (Debit block)

Problem

Some bank accounts are not automatically set up to have a debit (or even credits) made to that account. If this is the case and Rainforest is attempting to debit the merchant's bank account, the bank will block the attempt and the deposit will be returned with the ACH return code R29, Corporate Customer Advises Not Authorized.

Solution

Notify your merchant of the ACH return and reason. They will need to contact their issuing bank and authorize that Rainforest can debit and credit this account. Your merchant may be asked for an ACH ID to remove the block. Reach out to [email protected] for those details.