Material Change in Credit and Risk Analysis Criteria. In the event Client either fails to maintain the minimum risk analysis criteria as required by the Bank, or if, in the opinion of the Bank, Client undergoes a material change in its operations that Bank believes increases the risk of Client’s ACH operations, then the Bank may, in its sole discretion, take any and all of the following actions: require Client to establish an ACH Reserve Account (as defined below); or terminate ACH Services to Client, generally upon prior written notice from Bank, or immediately if Bank deems immediate termination necessary, in Bank’s sole discretion, to comply with NACHA Rules. Events that constitute a material change in Client’s business operations include, but are not limited to: (i) levels of ACH returns that exceed generally acceptable return levels (as determined by Bank); (ii) a significant or sudden increase in Client’s ACH return levels as compared to Client’s historic ACH return levels; (iii) significant changes in the nature of Client’s business, including its product and services lines or transaction environments; or (iv) the occurrence of any other event that Bank believes represents a material change in Client’s financial performance or financial condition. Upon learning of any such material change, Bank will inform Client of the issue, and Bank may exercise its right to temporarily suspend Client’s ACH Services in order to investigate the issue. After investigation, Bank may invoke its rights to require Client to establish an ACH Reserve Account, require Client to prefund its ACH Entries, or Bank may, in its sole discretion, exercise its right to terminate ACH Services to Client generally upon prior written notice from Bank, or immediately if Bank deems immediate termination necessary, in Bank’s sole discretion, to comply with NACHA Rules.
Material Change in Credit and Risk Analysis Criteria. If Client is approved for ACH Services and either fails to maintain the minimum risk analysis criteria, or if, in the opinion of Bank, Client undergoes a material change in its operations that Bank believes increases the risk of Client’s ACH operations, then Bank may, in its sole discretion, take any and all of the following actions: require Client to establish a Reserve Account (as defined in Subsection d. below); or terminate ACH Services to Client, generally upon prior written notice from Bank, or immediately if Bank deems immediate termination necessary, to comply with NACHA rules (“NACHA Rules”). Events that constitute a material change in a Client’s business operations include, but are not limited to: (i) levels of ACH returns that exceed generally acceptable return levels (as determined by Bank); (ii) a significant or sudden increase in Client’s ACH return levels as compared to Client’s historic ACH return levels; (iii) significant changes in the nature of Client’s business, including its product and services lines or transaction environments; or
Material Change in Credit and Risk Analysis Criteria. In the event a Customer approved for ACH Services either fails to maintain the minimum risk analysis criteria as required by Bank, or if, in the opinion of Bank, Customer undergoes a material change in its operations that Bank believes increases the risk of Customer’s ACH operations, then Bank may, in its sole discretion, take any and all of the following actions: require Customer to pre-fund its ACH activities; require Customer to establish a Reserve Account; or terminate ACH Services to Customer, generally upon prior written notice from Bank, or immediately if Bank deems immediate termination necessary, in Bank’s sole discretion, to comply with the Rules. Events that constitute a material change in a Customer’s business operations include, but are not limited to: (i) levels of ACH returns that exceed generally acceptable return levels (as determined by Bank); (ii) a significant or sudden increase in Customer’s ACH return levels as compared to Customer’s historic ACH return levels; (iii) significant changes in the nature of Customer’s business, including its product and services lines or transaction environments; or (iv) the occurrence of any other event that Bank believes represents a material change in Customer’s performance or condition. Upon learning of any such material change, Bank will inform Customer of the issue, and Bank may exercise its right to temporarily suspend Customer’s ACH Services in order to investigate the issue.
Material Change in Credit and Risk Analysis Criteria. In the event a Customer approved for ACH Service either fails to maintain the minimum risk analysis criteria as required by Bank, or if, in the opinion of Bank, Customer undergoes a material change in its operations that Bank believes increases the risk of Customer’s ACH operations, then Bank may, in its sole discretion, take any and all of the following actions: require Customer to Prefund their ACH activities (as defined in Section 3 below); require Customer to establish a Reserve Account (as defined in Subsection (d) below); or suspend or terminate ACH Service to Customer, generally upon ten (10) days prior written notice from Bank, or suspend or terminate immediately upon notice to Customer, if Bank deems such immediate action necessary, in Bank’s sole discretion, to comply with NACHA Rules. Events that constitute a material change in a Customer’s business operations include, but are not limited to: (i) levels of ACH returns that exceed generally acceptable return levels (as determined by Bank); (ii) a significant or sudden increase in Customer’s ACH return levels as compared to Customer’s historic ACH return levels; (iii) significant changes in the nature of Customer’s business, including its product and services lines or transaction environments; or (iv) the occurrence of any other event that Bank believes represents a material change in Customer’s financial performance or financial condition. Upon learning of any such material change, Bank will inform Customer of the issue, and Bank may exercise its right to temporarily suspend Customer’s ACH Service in order to investigate the issue. After investigation, Bank may invoke its rights to require Customer to Prefund ACH Service or to establish a Reserve Account, or Bank may, in its sole discretion, exercise its right to terminate ACH Service to Customer generally upon ten (10) days prior written notice from Bank, or immediately if Bank deems immediate termination necessary, in Bank’s sole discretion, to comply with NACHA Rules.
