One-time Debit Authorizations
This type of authorization is obtained for a one-time payment. This type of authorization is to be used when an ACH Originator is debiting the account one time (e.g., a one-time purchase, a one-time dues payment, etc.).
Multiple, Non-Recurring Debits
Multiple but non-recurring debits are debits in which the amount and time frame for the initiation of the debits may vary. Examples of this type of debit include occasional catalog purchases from the same merchant or occasional purchases of securities with a broker. Originators do not need to obtain a written authorization for each individual debit entry. However, they must have obtained a written authorization up front that establishes a relationship between the Originator and consumer Receiver for this particular type of activity and to which all such entries would apply.
Standing Authorizations –
Authorization Definition Becomes a NACHA Rule September 17, 2021
A standing authorization is an advance authorization by a consumer of future debits at various intervals. Under a Standing Authorization, future debits would be initiated by the consumer through further actions. NACHA rules allows for Originators to obtain Standing Authorizations in writing or orally. The NACHA Rules also defines Subsequent Entries, which will be individual payments initiated based on a Standing Authorization. Subsequent Entries will be able to be initiated in any manner identified in the Standing Authorization.
