2026 Nacha Rule Changes

1. Standardized company entry descriptions

To reduce fraud and increase transparency, Nacha is introducing two standardized company entry descriptions effective March 20, 2026:

• Payroll: For ACH credits related to employee wages and compensation.
• Purchase: For ACH debits authorized by a consumer for the online purchase of goods, including recurring purchases first authorized online.

These descriptions must be included for all ACH entries. Therefore, the data and information in the ACH files must be updated accordingly to ensure compliance. They must also be included in the company entry description field of ACH files. Be sure to update your ACH systems to comply with these Nacha rules.

2. Enhanced fraud monitoring requirements

Nacha is rolling out a phased approach to fraud detection:

• Phase 1 (March 20, 2026): Large originators and third-party senders (TPS) must have fraud detection systems in place. This requirement applies to both originators and third-party senders.
• Phase 2 (June 22, 2026): All other originators and receiving depository financial institutions (RDFIs) must implement similar fraud monitoring.

These rule amendments require all ACH network participants to implement processes to identify fraudulent transactions within the ACH network. Participants need to understand these changes and ensure compliance with the new requirements.

The new measures are designed to detect and prevent fraudulent transactions, including business email compromise (BEC) and vendor impersonation scams. This helps organizations comply with Nacha rules while protecting against payment fraud.

Read more details regarding these changes in our Nacha Rule Change Letter or by visiting nacha.org/newrules.