Info About Federal Reserve (ACH) Automated Clearinghouse Services - Reverses & Return Payments

After research and a lot of people asking I do a video about ACH Payments. I decided to show exactly what the Federal Reserve states they can and can not do when it comes to any ACH transfer.

(Side note: did you know the Federal Reserve created the ACH system so many people use today?)

All information obtained was directly from the Federal Reserve Website. I do go into detail regarding how the Federal Reserve uses ACH on a basic level. This video mainly will touch on the topic of Returned Payments.

As I have learned the following is important to keep note of:
ACH - Debit Transfers
ACH - Credit Transfer
Article 4A
Operating Circular 4 (OC4)

Brief summary:
The Federal Reserve Bank CANNOT REVERSE any Debit ACH Transfers. This is done sole on the Financial Institution that was the "Receiving Bank". As noted that doing so these banks will incur fee's and will be responsible to repay the Federal Reserve bank.

The Banks and Credit Card companies are probably having a field day. Trying to cover this up and thinking of ways they can just collect all this money from the citizens using their accounts. (hence instant closures without notice, etc)

Automated Clearinghouse Services
https://www.federalreserve.gov/paymentsystems/fedach_about.htm

External ACH Settlement Day Finality Guide
https://www.frbservices.org/files/fedach/pdf/ach_settlement_day.pdf

Operating Circular No. 4
https://www.frbservices.org/files/regulations/pdf/operating-circular-4-092316.pdf

Uniform Commercial Code - U.C.C. - ARTICLE 4A - FUNDS TRANSFER (2012)
https://www.law.cornell.edu/ucc/4A

Would love to hear your thoughts! Please keep the comments friendly. Thank you all!