The RocketKOR ACH solution allows you to move money between bank accounts using the Automated Clearing House (ACH) financial network.
The ACH network is a secure network used for moving funds between financial institutions in the U.S. Common uses of ACH include:
The RocketKOR ACH solution allows you to move money between bank account Financial Accounts. This includes your Business Financial Accounts and Customer Financial Accounts.
The RocketKOR ACH solution supports same-day and next-day transactions when moving funds between bank accounts. You can create the following types of transactions:
The ACH solution provides the following functions, which you can perform using the ACH solution APIs or the RocketKOR Portal:
An ACH transaction is originated on RocketKOR using the ACH solution APIs or the RocketKOR Portal. RocketKOR then works with the Originating Depository Financial Institution (ODFI), ACH Processor, and Receiving Depository Financial Institution (RDFI) to complete the transaction.
The following diagram explains the role of each of these parties. It also shows the message flow for ACH transactions from and to the RocketKOR platform. Path A shows the flow for Send, Request, and Reversal transactions, and Path B shows the flow for Return transactions. A Return transaction is created by the RDFI if the RDFI rejects the transaction (for example, if the bank account does not exist or contains insufficient funds for the transaction).
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As the Third-Party Originator, RocketKOR initiates the ACH transaction on behalf of the Business Account that requested the transaction. When an ACH Send, Request, or Reversal transaction is initiated on the RocketKOR platform (via the APIs or the Portal), RocketKOR sends a transaction request to the ODFI.
The ODFI creates an entry for the transaction on the ACH network on behalf of the Originator (RocketKOR). The ODFI sends these ACH entries to the ACH Processor.
The ACH Processor (either the Federal Reserve or The Clearing House) sorts the ACH entries and sends them to the appropriate RDFI.
The RDFI receives the ACH entries and then either debits or credits the counterparty’s account. The counterparty is the other party that is participating in the ACH transaction by either sending or receiving funds.