Account Settlement

The following rules describe when an ACH payment will settle in your COS account:

• Any core transaction tied to an ACH payment will execute on the effective date of the payment.

• The serviceType (Standard, Same Day), along with any configured cutoff time (i.e. systemically configured cutoff time of 1pm for same day payments) will influence the effective date of the payment. Going by the effectiveDate, along with the use of webhook events, may provide value to your reconciliation process. For example:

a) If a Same Day payment is originated on Tuesday, 8/24 at 12pm, where the product is configured for a 1pm same day cutoff, then the effectiveDate of the payment will reflect as 08/24.

b) If a Same Day payment is originated on Tuesday, 8/24, where the product is configured for a 1pm same day
cutoff, then effectiveDate of the payment will reflect as 08/25. Since it is past the cutoff, COS interprets this as being originated the following business day.

c) If a Standard payment is originated on Tuesday, 08/24, then the effectiveDate of the payment will reflect as 08/25.

• When the payment is released to the Fed, and the Fed acknowledges receipt of the payment, COS will execute the transactions on the effectiveDate of the payment. In all examples above, that would occur after the Fed acknowledgment was received. However, in scenario c above, that would occur after the Fed acknowledgment was received and after nightly settlement has completed.

• Nightly settlement is when COS settles all account activity and cuts over to the following business day. Nightly settlement generally occurs at 11:59:59pm each day. The time necessary for COS to complete the settlement process may vary.

• Once the transaction is executed, your balance will be affected depending on the transactionType (push/pull) of the payment. You can track this via the Core.Transaction.Completed webhook event. Additionally, your payment's status will not change to Complete until the related core transaction has completed.