NACHA Troubleshooting

Review How to Set Up NACHA to ensure that all necessary fields have been completed correctly. If any of the fields are blank or incorrectly formatted in the ACH section of the Issuer Entity’s bank account information, the file will not generate.

After confirming that all necessary fields have been completed correctly, please review these other common issues:

Export NACHA is grayed out:

The status of the distribution batch must be showing as Ready to Distribute AND the person generating the file must have the correct permissions to be the Default Distributor in the Waterfall/Distribution workflow. 

1. Check your Distribution Workflows in Admin Settings to ensure that you have the necessary permissions (Default Distributor) to export the file. 
   • • Select your name at the top right of IMS > Admin Settings > Distribution Workflows.
2. A bank account must be associated with the entity and distribution - Review Entities Tab: Guided Overview for how to add a bank account to an entity.
   • Verify that banking information for the distributing entity is complete and entered in the correct location. Follow the path below to add and update entity banking information.
     
     • Projects > Entities > Select the drop-down box next to the desired entity and choose Edit > navigate to the Bank Account tab.
       • There should be no dashes or special characters in the EIN, Immediate Origin, or Routing Number fields.
       • The EIN must be between 9-10 digits long. Some banks require the addition of an extra digit, otherwise, this should always be 9 digits.
       • The Immediate Origin must be between 9 and 10 digits long.
3. Once that has been taken care of, you will associate this account to the specific batch that you are pulling the NACHA file for by editing the distribution:

Investor not showing up in NACHA file

1. Ensure that the ACH send method is:
   • Populated on the investor’s CRM profile. Click here to see how to edit an existing contact.
   • Set as their payment preference on their investment in the project Cap Table. 
     • Note that adding a new default ACH account in the CRM will not retroactively change any batches in progress. Likewise, editing the payment preference on a project will not change the payment method on any pre-existing batches.
   • Specified as their payment method on this specific batch. You can see this by clicking on the distribution details view on the project. To edit the batch payment method you will select the investor you wish to edit from the list of distribution recipients > select the Bulk Actions menu > Adjust Selected Distributions > edit the payment method from the drop-down.
2. Check that the investor bank account information (Account number and ABA) has the correct number of digits for the NACHA file to export properly (between 4-17 digits, and 9 digits respectively).
3. The investors in the NACHA file must have valid, legal names. Individuals must have at least two characters for both the first and last name. Entities must also have a legal name greater than two characters long.
4. All investors included on the file must be receiving a distribution payment greater than zero. It cannot be less than or equal to zero.

NACHA file is unbalanced

• By default, IMS generates an unbalanced ACH file.
• A balanced ACH file contains both credits and debits - the totals of which offset one another. By default, IMS will create an ACH file that contains ONLY the transactions that were specified as Send Method "ACH". However, in a balanced file, there will be an additional transaction entry line that will contain the offsetting total debit (it will add up all the transactions and place that amount in the offset entry record).
  • If your bank specifies that they require a balanced file, please contact support with the bank and Routing Number that needed to be added at support@imscre.com. Please include the exact written instructions from your bank regarding their formatting requirements so that we can be sure any adjustments we make will meet their requirements.
  • For banks associated with a routing number that has been formatted to export a balanced file, the menu will show Export Custom NACHA when generating a file, instead of the default option of Export NACHA.

Other FAQs

• Why don't I see the 'Export NACHA' option in the distribution drop-down?
  • Your Team Member profile needs to have SDA (Sensitive Data Access) enabled. By default, those with Super Admin roles will also have Sensitive Data Access (SDA). If any other Team Members need Sensitive Data Access, Super Admin roles can enable SDA for an individual user. 
  • If you are unsure of who has the Super Admin role on your team, please reach out to support@imscre.com for further assistance with this.
• What is 'For Further Credit To' in a NACHA file?
  • When selected, and the investor has text entered into the further credit to field, this text will be inserted as an "addendum" line below their credit entry in the NACHA file. There are some banks that are equipped to make use of this information.
• When is the data pulled into the NACHA file? 
  • The data is pulled into the file at the time the export button is clicked. All the data is in real-time.
  • If the data has changed since the last time a NACHA file was generated, the new data will already be included in the new file for the batch.
• What is the effective date? 
  • The effective date is the next business day from the day that the file is generated. This is the date that the bank will attempt to settle the batch. If the file is stale dated, then the bank will attempt to settle the batch on the next banking day.