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CCD – Corporate Credit or Debit

CCD – Corporate Credit or Debit — Either a credit or debit application where funds are transferred between unrelated corporate entities or transmitted as intra-company concentrations and disbursement transactions. Serves as stand-alone funds transfer, or it can support a limited amount of payment related data with the funds transfer.

The CCD transaction type is used for permitting electronic debits between businesses. (Paper checks cannot be processed using the CCD code.) The major difference between CCD transactions and Business to Consumer transactions is the amount of time after the transaction in which it can be disputed. For the Business to Consumer codes (PPD, TEL, and WEB) the customer has 60 days to dispute. For CCD it is only 3 days. Thus, if you are billing another business, it is to your advantage to enter the transaction as CCD.

How to Authorize: To use the CCD code you must have a signed agreement in place with your business-to-business (B2B) customer stating that it agrees to allow you to debit its account. This can be a separate overriding agreement covering all transactions for one or more bank accounts, or it can be included in a one-time or recurring ACH authorization. It can also be included in terms and conditions of any contract you have with your B2B customer.

  1. Use Overriding Agreement

    1. Have your B2B customer sign the overriding ACH Authorization (template below) or include similar language in the terms and conditions of your contract.

    2. One-time transactions or recurring schedules can be authorized in writing, by phone, fax, or email.

    3. Keep a copy of the agreement and authorizations for 2 years after the last transaction is processed.

  2. One-time Written Authorization

    1. Have your B2B customer sign and date a transaction authorization (template below) or include similar language in the terms and conditions of your contract that indicates:

      • Payment amount and date.

      • Bank information for account to be debited.

      • Statement that bank account is enabled for ACH.

      • Agreement to be bound by NACHA operating rules.

    2. Keep a copy of the authorization for 2 years.

  3. Recurring Schedule Written Authorization

    1. Have your B2B customer sign and date a transaction authorization (template below) or include similar language in the terms and conditions of your contract that indicates:

      • Payment amount and frequency.

      • Bank information for account to be debited.

      • Statement that bank account is enabled for ACH.

      • Agreement to be bound by NACHA operating rules.

    2. Keep a copy of the authorization for 2 years after the last payment on the schedule.