What is required to be provided to the consumer prior to receipt of the Check for an RCK transaction?

For an RCK (Re-presented Check) transaction, it is mandatory to provide notification to the consumer prior to the receipt of the check. This notification serves as a disclosure to inform the consumer that their check has been returned for insufficient funds and that it will be represented for payment through the ACH network. This requirement is crucial in maintaining transparency and ensuring that consumers are aware of the status of their payment obligations.

Providing such notification helps protect consumers by ensuring they have the opportunity to address any potential issues related to the check they originally issued. It also reinforces consumer rights and plays a role in the overall integrity of the ACH system. Therefore, the emphasis on notification aligns with regulatory requirements and best practices aimed at ensuring clear communication with consumers in financial transactions.