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December 11, 2012
Upcoming Changes to Social Security ACH Benefit Payments
Please be advised that Treasury and the Social Security Administration (SSA) will be converting ACH benefit payments that routinely pay on the 3rd of each month to a new payment processing system. This change will become effective for SSA benefit payments that will be payable to recipients on January 3, 2013. This change in processing was likewise implemented in October 2012 for ACH cycled benefit payments (monthly benefit payments that pay on the 2nd, 3rd, and 4th Wednesday of each month)
This change in processing results in some subtle changes to certain information fields accompanying the ACH payment records. Depending upon how your institution or its data processor uses this information to post Social Security payments to customer accounts, these changes could be important. Specifically, there are three fields within two ACH payment records that will, or could, change for SSA benefit payments being issued for the January 3, 2013 payment date. A summary of those changes is as follows:
Immediate Origin field (NACHA File Header Record): Effective with SSA benefit payments dated January 3, 2013, this field will be “031736026”. Company Identification field (NACHA Company Batch Header Record): Effective with SSA benefit payments dated January 3, 2013, position 41 of this field will be “1” or “9”. When it is “1”, it will be followed by a child support Employer Identification Number. When it is “9”, it will be followed by any of the following Routing and Transit Numbers (RTNs): 031736026, 031736039, 031736042, 031036030, 031736013, 031036360, 101036216, 101736147, 121036241, and 121036092. It is important to note that the RTN assigned to individual payments may vary from those used previously. Financial institutions should not expect to receive regularly recurring monthly benefit payments for the same recipient or customer under the same RTN.
Company Name field (NACHA Company Batch Header Record): Effective with SSA benefit payments dated January 3, 2013, this field will be “SSA TREAS 310”.
This advanced information is being provided to financial institutions to enable them to review any systems processing or posting impact. Further detailed information regarding these changes can be found on the corresponding update posted on the Green Book website at http://fms.treas.gov/greenbook/. Questions may be directed to Treasury at (816) 414-2142 or by email to: payments@fms.treas.gov.
Changes to Social Security ACH benefit payments effective January 3, 2013
New benefit
payment
requirements
from NACHA
The following new benefit payment requirements were recently received from NACHA.
Depending upon how your institution or its data processor uses this information
to post Social Security benefit payments to customer accounts, these changes
could be important.
Changes are
effective
January 3, 2013
Effective with payments dated January 3, 2013, the Department of the Treasury and
the Social Security Administration (SSA) will convert ACH benefit payments that
routinely pay on the 3rd of each month, to a new payment processing system.
These changes in processing results in some changes to certain fields associated with
ACH records related to SSA benefit payments. The changes were recently
implemented for ACH cycled benefit payments (monthly benefit payments that pay on
the 2nd, 3rd, and 4th Wednesday of each month) in October 2012.
What is affected
These changes affect the originating Routing and Transit Number (RTN), the Company
Name, the Company Identification number, and the Originating Depository Financial
Institution (ODFI) Identification in ACH files.
IMPORTANT!
What you need
to do
• Review your new batch reports in case you find errors with the incoming
batches.
• If the SSN payment appears on the report you must contact Support prior to
posting any of the transactions. Please create a case in C3 with the subject line
“SSN ACH PAYMENT BATCH CHANGE REQUIRED” so Support can assist in
making the necessary table changes and source changes prior to the distributing
of the funds.
• If this is not done, you will need to manually post the distributions to all
affected accounts. However, your credit union should still create a C3 case to
make sure that all necessary table changes are made for future incoming
distributions.
Follow these steps
a) Go to http://www.fms.treas.gov/greenbook/index.html
b) Then type in SSA-3rd at the search box and press/click search
c) The resulting page should show:
NOTICE: Upcoming Changes to Social Security ACH Benefit ...File Format: PDF/Adobe Acrobat
Jan 3, 2013 ... NOTICE: Upcoming Changes to Social Security ACH Benefit Payments. Effective with payments dated January 3, 2013, the Department of the ...
www.fms.treas.gov
www.fms.treas.gov/greenbook/pdf/KFC-SSA-3rd-Greenbook.pdf
d) Can then look at pdf which contains TREAS contact.
If you have additional questions, please direct inquiries to Matt Fineout at 816-414-2142 or Matthew.Fineout@fms.treas.gov
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