On a recent Friday, numerous customers across major banks experienced direct deposit delays due to a widespread processing issue in the financial industry.
The problem originated with the Electronic Payments Network, a private sector operator responsible for managing the Automated Clearing House (ACH) network, which processes financial transactions.
Banking institutions affected by the issue included Bank of America, Chase, Truist, U.S. Bank, and Wells Fargo, with many customers reporting outages related to their accounts.
The nature of the complaints wasn’t specified on Downdetector, the site that tracks service interruptions.
It’s essential to note that all Federal Reserve Financial Services were operating normally despite these glitches.
According to the Federal Reserve, the processing problem was attributed to a manual error associated with an ACH file.
The Clearing House, the banking association and payments company that owns the EPN processing system, has been working diligently to rectify these payment errors.
Affected banks, such as U.S. Bank, assured customers that their accounts remain secure, and balances will be updated as soon as the deposits are received.
In a recent incident, bank customers encountered delays in receiving their direct deposits due to a widespread processing issue that affected major financial institutions. The hiccup primarily centered around the Electronic Payments Network, a private sector operator that manages the Automated Clearing House (ACH) network responsible for processing financial transactions. Notably, several banks, including Bank of America, Chase, Truist, U.S. Bank, and Wells Fargo, experienced outages that prompted customers to report disruptions in their account services.
The specifics of these complaints have not been detailed on Downdetector, the platform that monitors and reports service interruptions. However, it’s reassuring to note that all Federal Reserve Financial Services continued to function without any hindrances during this period.
The Federal Reserve explained that the processing problem arose from a manual error associated with an ACH file, causing payment delays. The Clearing House, the banking association and payments company responsible for the EPN processing system, has been actively working to resolve these payment inaccuracies.
U.S. Bank, one of the affected institutions, assured its customers that their accounts remain secure throughout this episode, with balances set to be updated promptly upon the receipt of delayed deposits.