Accredited ACH Professional (AAP) Practice Exam

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Prepare for the Accredited ACH Professional (AAP) Exam with tailored questions and study materials to enhance your understanding of ACH transactions and operations. Test your skills and readiness for this important certification!

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For how long must an Originator retain a copy of the front of a source document relating to an ARC or BOC entry?

1 Year
2 Years
3 Years
5 Years

The correct answer is: 2 Years

An Originator must retain a copy of the front of a source document relating to an ARC (Accounts Receivable Check) or BOC (Back Office Conversion) entry for a period of two years. This requirement is established by the NACHA Operating Rules, which dictate the necessary retention periods for records associated with ACH transactions. The rationale behind the two-year retention period is to ensure that there is sufficient time for any disputes or inquiries related to the entries to be addressed. In the case of ARC and BOC transactions, which frequently involve the conversion of paper checks to electronic transactions, it is essential to have access to the source documents to verify transaction details if questions arise. This timeframe allows both the Originator and receiving institutions to handle any potential errors or customer inquiries effectively, aligning with regulations that emphasize transparency and accountability in electronic payments.