Revised (10/17) ACH Direct User Guide

Revised (10/17) ACH Direct User Guide

Table of Contents Page 1. Introduction to ACH Direct 4 1.1 Overview of ACH Direct 4 1.2 Getting Started on ACH Direct 9 2. Corporate Administration 12 2.1 Viewing and Modifying All Corporate Users 13 2.2 Password Resets 15 2.3 Disabling Users 17 2.4 Assigning Groups 18 2.5 Notifications 18 2.6 Reports 19 3. ACH Control Totals 22 3.1 File Collection Alerts 21 3.2 Control Totals 22 3.3 Using Control Totals 23 3.4 Control Total Modification 26 3.5 Control Total Deletion 28 4. ACH Electronic Payment Authorization (EPA) 30 4.1 Overview of EPA 30 4.2 ACH Direct Email Notifications 30 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 2

4.3 Reject Decisioning 33 4.4 Adding an Authorization 35 4.5 Changing an Authorization 38 4.6 Deleting an Authorization 40 5. File and Transaction Inquiry 42 5.1 Overview of Service 42 5.2 Using ACH Transaction and File Inquiry 42 6. Dual Authorization 53 6.1 Overview of EPA Dual Authorization 53 6.2 ACH Direct Dual Authorization Email Notifications 53 6.3 How ACH Direct Dual Authorization Works 54 6.4 How to Navigate Through All Sections Under EPA 55 This document is designed to provide general information only and is not legal advice. If legal advice or other expert assistance is required, the services of a competent professional should be sought. KeyBank (Key) does not make any warranties regarding the results obtained from the use of this information. Your Payments Advisor has requested that one or more of the following ACH Direct modules be activated for you. Please review this introduction to ACH Direct and refer to the individual module guides for information on the service(s) you will be using. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 3

1. Introduction to ACH Direct 1.1 Overview of ACH Direct ACH Direct is comprised of four functional modules allowing real-time interaction with Key s ACH system. The modules include: 1. Online Control Totals ACH Originators may manage file control totals online, allowing clients the capability to add, view, modify or delete totals for originated files, thus replacing phone initiation. 2. File Collection Alerts Email notifications provide ACH Originators updates during file arrival and collection. 3. ACH Transaction and File Inquiry Through the Warehouse feature, you may view the detail of your ACH Origination files or query details of your received ACH transactions. 4. ACH Debit Protection through Electronic Payment Authorization (EPA) Protect your account against electronic debit fraud by using our EPA service. EPA allows you to exercise more control over which entries are allowed to post to your accounts by limiting the transactions to only those that have been authorized. Choose to block all debit activity or establish and maintain authorization records to allow certain trading partners to debit your account. Dual verification is available to ensure both parties are in full agreement with the disposition of an item before it can be approved and released from the dual verification queue. ACH Direct Email Notifications With the exception of the ACH File/Transaction Inquiry module, you may elect to receive event based email notifications. Each notification type is assigned a number making it easy for you to identify the type of notification and any action required. NOTE: Any user who does not log into ACH Direct for more than 6 months will become inactive and no longer receive email notifications. ACH Debit Protection through EPA EPA emails are generated anytime a debit transaction is received by Key. The emails serve as a notice that a particular transaction may have been authorized by an existing authorization record or, in the absence of proper authorization, action may be required on your part for it to be paid. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 4

Notification Types Collection Notifications: Notification Type E100 A transaction was authorized during the last collection cycle and will be posted to the intended account. Notification Type E101 A transaction was rejected during the last collection cycle due to no authorization record being on file and will be returned if no action is taken by 7:00 p.m. ET on the return date indicated on the notice. Notification Type E102 A transaction was rejected during the last collection cycle for a non-qualifying authorization record and will be returned if no action is taken by 7:00 p.m. ET on the indicated return date. Dual Verification Notifications: Notification Type E111 A transaction was rejected during the last collection cycle for a missing or unqualified authorization record and was subsequently ACCEPTED OR REJECTED via the reject decisioning feature. Dual verification action is REQUIRED in order to complete final decisioning. If no action is taken by 7:00 p.m. ET on the indicated return date, the transaction will be returned. Notification Type E112 The following EPA reject decisioning action has been APPROVED via EPA Reject Dual Verification. Specific transaction details will be included in the email generated. Notification Type E113 The following EPA reject decisioning action has been DECLINED via EPA Reject Dual Verification. Specific transaction details will be included in the email generated. Notification Type E114 The following EPA reject decisioning action has expired. The transaction will be returned to the originating company during nightly processing. Notification Type E121 An EPA maintenance request is awaiting decisioning via EPA Dual Verification. Specific transaction details will be included in the email generated. Notification Type E122 The following EPA maintenance request has been approved via EPA Dual Verification. Specific transaction details will be included in the email generated. Notification Type E123 The following EPA maintenance request has been declined via EPA Dual Verification. Specific transaction details will be included in the email generated. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 5

Notification Type E124 The following EPA maintenance request has expired. Specific transaction details will be included in the email generated. Recollection Notifications: Notification Type E201 A transaction was rejected during the last collection cycle for a missing or unqualified authorization record and was subsequently APPROVED via the reject decisioning feature. The transaction will be posted to the intended account during nightly processing. Notification Type E202 A transaction was rejected during the last collection cycle for a missing or unqualified authorization record and was subsequently REFUSED via the reject decisioning feature. The transaction will be returned to the originating company during nightly processing. Notification Type E203 A transaction was rejected for a missing or unqualified authorization record. No decisioning action was taken on the transaction. However, prior to returning an authorization was located that authorized the transaction. The transaction will be posted to the intended account during nightly processing. Notification Type E204 A transaction was rejected for missing or unqualified authorization record. No decisioning action was taken on the transaction. The transaction will be returned to the originating company during nightly processing. Reject Decisioning Performed During Key Processing: Notification Type E302 A PENDING reject decisioning action has been declined for a rejected transaction. The transaction was processed during this collection cycle and therefore the pending action could not be applied. Specific transaction details will be included in the email generated. Actions Taken by Key Personnel: Notification Type E303 An electronic authorization record was added by Key personnel. Specific authorization detail will be included in email generated. It may be desirable for you to review the authorization record to ensure it meets your requirements. Notification Type E304 An electronic authorization record was deleted by Key personnel. Specific authorization detail will be included in email generated. It may be desirable for you to review the authorization record to ensure it meets your requirements. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 6

Notification Type E305 Maintenance was performed on an electronic authorization record by Key personnel. Specific authorization detail will be included in email generated. It may be desirable for you to review the authorization record to ensure it meets your requirements. Authorization Changes Performed During Key Processing: Notification Type E502 A PENDING maintenance request has been processed successfully. The maintenance performed has impacted the Number of Authorizations parameter and affects the number of times the specific authorization may be used. Specific authorization details will be included in email generated. Online Control Totals Control Total related emails are only generated in the event a delete or modification of a control total is not accepted. Notification Type C612 A control total delete request received during a processing window was declined, as the status of the control total has changed since the deletion request was submitted. Notification Type C613 A control total maintenance request received during a processing window was declined, as the status of the control total has changed since the modify request was submitted. Notification Type C631 A file has been matched to the total that was reported. File Collection Alerts Arrival Notifications: Notification Type F800 An ACH file has been received for processing by Key and will be processed in the next available collection window. Notification Type F801 An ACH file has been received for processing by Key. The file has been designated with a LATE status and may not be processed until the next banking day. File Level Collection Notifications: Notification Type F810 An ACH file has been processed; however, it has an exception status due to missing or improper file control totals. Notification Type F812 An ACH file has been processed and was given an exception status due to errors during processing, other than control totals. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 7

Examples of such errors are, duplicate file detected or incorrectly calculated file control totals. Notification Type F815 An ACH file has been processed successfully. Collection Application Notifications: Notification Type F822 An ACH batch has been processed and had an exception other than Control Totals. *Only for clients who process at the B ATCH level or have more than one Collection Application set up. Notification Type F825 An ACH batch has been processed successfully. *Only for clients who process at the B ATCH level or have more than one Collection Application set up. ACH Transaction and File Inquiry ACH Transaction and File Inquiry does not offer event generated emails. Timing of Notifications and System Availability ACH Direct Availability Schedule Available 8:00 a.m. 11:00 p.m. ET All days referenced below are banking days, Monday Friday, excluding holidays. ACH Direct Notification Timing Control Totals Notification Timing Notifications are sent daily upon arrival and collection of file. Deadlines Control Totals must be entered immediately before file transmission to avoid processing delays. File Collection Notifications are sent upon originated file arrival and/or collection. Not applicable, informational emails only. Electronic Payment Authorization Notifications are sent daily when an event occurs. Key collects and distributes ACH transactions throughout the day. Decisioning of items must be completed before 7:00 p.m. ET on the indicated return date. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 8

1.2 Getting Started on ACH Direct ACH Direct provides added security. Your KeyNavigator sign-on will not provide access to ACH Direct. Password and log-in information will be provided separately. Implementation Expectations Existing KeyNavigator Clients New Clients What you should expect What you should do What you should expect What you should do You will receive ACH Direct user ID, password and organization name. ACH Operations will contact you to set up a meeting to provide a personal walk-through of the ACH Direct system. On the day of the walkthrough, your ACH Direct access will be set up. In the event you have signed up for EPA through ACH Direct, you may receive emails regarding pending transactions. This is normal and to be expected. During the walkthrough, you will receive instructions on how to proceed when those emails are received. You will receive your KeyNavigator log-in information as well as ACH Direct user ID, password and organization name. ACH Operations will contact your company to set up a meeting to provide a personal walkthrough of the ACH Direct system. This will be in addition to any KeyNavigator training you may receive. On the day of the walkthrough, your ACH Direct access will be set up. In the event you have signed up for EPA through ACH Direct, you may receive emails regarding pending transactions. This is normal and to be expected. During the walkthrough, you will receive instructions on how to proceed when those emails are received. It is important to ensure the appropriate resource is identified and available for the training. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 9

Signing on to ACH Direct via KeyNavigator for the First Time ACH Direct User Guide Once you have received your log-in information, it is recommended you complete the following steps the first time you log into ACH Direct via KeyNavigator. Entering ACH Direct 1. From the Corporate tab of www.key.com, log into KeyNavigator. 2. Choose the Payables section of KeyNavigator and select ACH Direct. 3. Select Enter ACH Direct. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 10

4. Within the ACH Direct Log-in box, enter your user ID, password and organization name, paying special attention to the password and organization name which are case/space sensitive. 5. ACH Direct requires new users to change their password upon the first successful log in. Passwords expire every 365 days. However, passwords may be changed by the user as often as desired. The following password criteria are in place: a. Have 8 to 24 alpha/numeric characters b. Have at least one alpha character (A-Z) c. Have at least one numeric character (0-9) d. Have at least four unique characters, with the exception of < and > e. Not be the same as any of the previous 12 passwords f. Be case-sensitive g. Cannot contain the user ID 6. From the ACH Direct main menu please be aware of the Alerts and Information box which will provide you with important information on upcoming events, scheduled outages, holidays and ACH processing details. Choose your desired action from the available menu. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 11

Tips for ACH Direct ACH Direct is optimized for Internet Explorer (IE) 9 but IE8 and IE10 are allowed. IE6 and previous versions will be blocked from use. Additionally, Firefox 27 and Chrome 33 are allowed. Depending on browser type and version, scrolling on Warehouse Detail Inquiry screens is normal. Do not use the BACK button on your browser; instead navigate using the links contained within the ACH Direct pages. To reduce the potential for missing a required action, users should log into ACH Direct on a daily basis to ensure all needed actions are performed. 2. Overview of ACH Direct Corporate Administration An ACH Direct Corporate Administrator role can be designated to facilitate self service capabilities which previously required you to contact Key. This capability allows you, as the Corporate Administrator, to make immediate profile changes to your users to ensure up-to-date access is maintained in ACH Direct for the security of your organization. For example, if an associate s role in the organization has changed, an administrator can log into ACH Direct immediately and disable a user prior to notifying your Payment Advisor at Key to remove the user. In addition, if a user is locked out or requires a password reset, this can now be performed by the Corporate Administrator in the company. You can have more than one administrator role assigned. Key recommends that you have at least two Corporate Administrators assigned to ensure uninterrupted coverage when changes are needed. Additionally, the Corporate Administrator role can be established with dual control, whereby the changes to user profiles require a second administrator approval. Key will continue to provide this service as needed and changes to users can be requested through your Payments Advisor. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 12

2.1 Viewing and Modifying All Corporate Users 1. From the ACH Direct Main Menu, click Corporate Administration followed by Corporate User. 2. This will provide you a listing of all users within your organization. Users not listed, or users who are listed and need to be removed, will require your company contact to make the official request through your Payments Advisor. 3. Once users are displayed, locate the user to be modified. This can easily be done by using the magnifying search function located on the bottom of the user listings. 4. To view a user, select the radio button to the left and hit Modify on the top toolbar. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 13

5. This will open the User Information box, displaying data related to that particular user. Some data cannot be edited and will appear ghosted in that field. Any changes to these fields will need to be arranged through your Payments Advisor. Other fields can be edited. Changes will be made immediately. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 14

6. Once you have modified the fields, select Save to ensure user s information is updated. 2.2 Password Resets If you cannot log in, reach out to your Corporate Administrator for assistance. In addition, you can contact Key s Commercial Banking Services team for password resets in the event a Corporate Administrator is unavailable. 1. If you attempt an incorrect log-on more than 5 times, you will be locked out and receive the following message: 2. To rectify this, the Corporate Administrator will check the Reset Invalid Password Counter option, located under the Fax Number field in the User Information box. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 15

3. To reset a password, from your Corporate User List, click the radio button to select the appropriate user and hit Modify. 4. Once the user s information is displayed, scroll down to the User Password and Confirm Password section. Enter a temporary password in these fields. The following password criteria are in place: a. Have 8 to 24 alpha/numeric characters b. Have at least one alpha character (A-Z) c. Have at least one numeric character (0-9) d. Have at least four unique characters e. Not be the same as any of the previous 12 passwords f. Be case-sensitive g. Cannot contain the user ID 5. Once the temporary password has been entered, hit Save. 6. The user can then log in with the temporary password and should reset the password immediately. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 16

2.3 Disabling Users 1. As a Corporate Administrator, you have the ability to disable users due to changes in their employment or access. The status of an approved user will show as Active. To disable the user, click on the Status and check the box to disable. To permanently remove a user from ACH Direct, please contact your Payment Advisor. 2. The reverse can occur if a user has been disabled and now needs to be made Active. To enable the user, click on the status. Check the box next to Enable User and hit Save. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 17

2.4 Assigning Groups As a Corporate Administrator, you can View what groups a user is assigned to and request roles to be added or removed as needed through your Payments Advisor. 1. On the User Profile, click on Assign Groups. This will display the access currently in place for the selected user. 2.5 Notifications ACH Direct offers a variety of email notifications to users. As a Corporate Administrator, you can add or remove email notifications per user. 1. On the User Profile, click the Notifications and select Add or Remove. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 18

2. This will display a selection of notifications that can be added or removed as appropriate for that user. Once your selection has been made, select Save to update notifications for the selected user. 2.6 Reports As a Corporate Administrator, ACH Direct brings you the ability to view audit activity for users. 1. In the top, left section of the home page in ACH Direct, select the Reports dropdown and click on Audit Activity. 2. The screen will appear for you to select a specific user or all users. Enter the date or range of dates you are interested in viewing. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 19

3. Select the report type, sort fields and sort order. Once all selections have been made, select View Report. 4. This will display an audit report of the user s activity for the date range selected. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 20

3. ACH Direct Control Totals 3.1 File Collection Alerts Overview of Service For ACH Originators, you can elect to receive real time email alerts regarding your ACH Origination files. Events such as Key s receipt and processing of an ACH Origination file will trigger emails to those designated. NOTE: You can also inquire on the status of your file through the File/Transaction Inquiry module within ACH Direct. Please see the document ACH Direct Transaction and File Inquiry for instructions on how to view this information. If you are unsure of whether you have access to the File/Transaction Inquiry module, please contact your Payments Advisor. Notification Overview Number Notification Action Required 800 An ACH Origination file has been received by Key and will be processed in the next available processing window. Informational email with no action required. 801 810 812 815 An ACH Origination file has been received by Key after the daily processing cut-off and may not be processed until the next banking day. File has been processed however with an exception status due to missing file control totals. File has been processed however with an exception status other than Control Totals. File has been processed successfully with no errors. Informational email with no action required. File totals are required in order to complete the processing of your ACH Origination file. Please input the required file totals as quickly as possible to avoid any delay in the distribution of transactions. If you have not been contacted by Key ACH Operations, please contact them at 800-304-9856 with your point name (located within the email under Originator ID / Name) to determine the file exception and resolution. Informational email with no action required. Depending on your particular set-up within Key s ACH system, once a file is processed you will receive either notification 815 or 825. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 21

Number Notification Action Required 822 The ACH batch has been processed with an exception status due to errors during processing. If you have not been contacted by Key ACH Operations, please contact ACH Operations at 800-304-9856 with your point name (located within the email communication under Originator ID / Name) to determine the file exception and resolution. 825 Application has been processed successfully. Informational email with no action required. Depending on your particular set-up within Key s ACH system, once a file is processed you will receive either notification 815 or 825. 3.2 Control Totals Overview of Service If you are an ACH Originator and send files via Direct Transmission or KeyNavigator File Transfer, you may use ACH Direct to enter your control totals online. Instructions for Originators To ensure smooth processing, log into ACH Direct and input file totals for each ACH Origination file being sent, and then send the corresponding file(s) to Key via Direct Transmission or KeyNavigator File Transfer. Notification Overview Number Notification Action Required 612 613 631 632 The pending Control Total Deletion request has been declined The pending Control Total Modify request has been declined. Status of Control Totals has changed to Matched. The file did not match to the Control Total entered. Please see details for further information. Please enter your file Control Totals prior to sending your file to avoid processing delays. Informational email. The file already processed, control totals cannot be changed. Informational email. The file already processed, control totals cannot be modified. Informational email with no action required The Control Totals entered do not match the file that was processed by Key. Please verify the Control Totals entered. If a modification is required, log into ACH Direct and make required changes. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 22

3.3 Using Control Totals Entering Control Totals 1. From the ACH Direct Main Menu, click Control Totals under the Control Totals section. 2. From the Control Totals menu, click Add. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 23

3. Choose the appropriate Application Name from the drop down list. 4. You are required to complete the following fields: a. Credit Amount Credit amount of file being submitted (including decimal point). i. Enter amounts using a decimal point. For example, if $2,500.00 is the desired amount, enter 2500.00 in the field. b. Debit Amount Debit amount of file being submitted (including decimal point). i. Enter amounts using a decimal point. For example, if $2,500.00 is the desired amount, enter 2500.00 in the field. c. Entry/Addenda Count Number of detail records or number of detail and addenda records on the file being submitted. NOTE: The Entry/Addenda Count can be located within your NACHA formatted file that you send to Key. It is located in positions 14-21 of the File Control (9) Record in your ACH file. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 24

5. Once all fields are completed click the Save button. NOTE: It is recommended that you add Control Totals prior to sending your ACH Origination file. 6. After the Control Total Add request is processed, the Control Total Add Confirmation will confirm the successful add and provide a Control Total Reference Number. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 25

3.4 Control Total Modification 1. From the ACH Direct Main Menu, click Control Totals under the Control Totals section. 2. In order to modify an ACH Direct control total, select the radio button next to the total which requires changing and then click Modify. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 26

3. Make required changes to the Control Total and then click Save. ACH Direct User Guide 4. Once completed, confirmation of the modification will be provided. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 27

3.5 Control Total Deletion 1. From the ACH Direct Main Menu, click Control Totals under the Control Totals section. 2. In order to delete an ACH Direct Control Total, click the radio button next to the total which requires deleting. a. Click Delete. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 28

3. Click OK to confirm the deletion. 4. Once completed, confirmation of the deletion will be provided. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 29

4. Electronic Payment Authorization (EPA) 4.1 Overview of EPA ACH Direct User Guide Electronic Payment Authorization (EPA), provided via ACH Direct, is comprised of two components: 1. Event-based email notifications are sent to each designated individual for the account(s) which they are set up for. Some examples of email events are receipt of an authorized transaction, receipt of a transaction without authorization, and actions taken on rejected transactions. 2. ACH Direct (accessible through KeyNavigator) enables authorized individuals to decision pending transactions, search and manage existing authorization records, and create new authorization records. By default, you will be set up so that ACH debits attempting to post to your account are blocked. If there are trading partners who are authorized to debit your account, you may create an authorization online through ACH Direct. This will allow their debits to successfully post to your account without intervention. 4.2 ACH Direct Email Notifications Once the EPA service is activated, you will receive event triggered email notifications. Each notification type is assigned a number, making it easy for you to identify the type of notification and any action that may be required. Number Notification Action Required E100 The following ACH transaction was authorized during the last collection cycle and will be posted to the designated account. Informational email with no action required. E101 The following ACH transaction was rejected during the last collection cycle and will be returned if no action is taken by 7:00 p.m. ET on the indicated return date. Informational email with no action required. E102 The following ACH transaction was rejected during the last collection cycle and will be returned if no action is taken by 7:00 p.m. ET on the indicated return date. Log in to ACH Direct and decision transaction(s). 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 30

Number Notification Action Required E111 The following EPA REJECT DECISIONING action is awaiting approval. A transaction requires secondary approval. Log in to ACH Direct to approve/reject a transaction that another user has taken action on E112 The following EPA REJECT DECISIONING action has been approved. Informational email with no action required. E113 The following EPA REJECT DECISIONING action has been declined. Informational email with no action required. E114 The following EPA REJECT DECISIONING action has expired. Informational email with no action required. E121 The following EPA maintenance request is awaiting approval. An action requires secondary approval. Log in to ACH Direct to approve/reject an action taken by another user. E122 The following EPA maintenance request has been approved. Informational email with no action required. E123 The following EPA maintenance request has been declined. Informational email with no action required. E124 The following EPA maintenance request has expired. Informational email with no action required. E201 The following ACH transaction was rejected for a missing or unqualified authorization record and was subsequently APPROVED via the Reject Decisioning feature. Informational email with no action required. E202 The following ACH transaction was rejected for a missing or unqualified authorization record and was subsequently REFUSED via the Reject Decisioning feature. Informational email with no action required. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 31

Number Notification Action Required E203 The following ACH transaction was rejected for a missing or unqualified authorization record. No decisioning action was taken on this item. However, prior to returning the item, an authorization was located that authorized the transaction. Informational email with no action required. E204 The following ACH transaction was previously rejected for a missing or unqualified authorization record. No decisioning action was taken on this item. Informational email with no action required. E302 The PENDING Reject Decisioning action has been declined for the transaction detailed below. The transaction was processed during this collection cycle and therefore the pending action could not be applied. Informational email with no action required. E303 An electronic authorization record was added by Key personnel. Review the parameters to ensure accuracy. This notice is generated anytime an ADD is performed by Key personnel. E304 An electronic authorization record was deleted by Key personnel. Review the parameters to ensure accuracy. This notice is generated anytime an authorization is DELETED by Key personnel. E305 An electronic authorization record was maintenanced by Key personnel. Review the parameters to ensure accuracy. This notice is generated anytime an authorization is MAINTENANCED by Key personnel. E502 The pending maintenance request has been processed successfully for the following Authorization record. During this processing cycle, the Number of Authorizations parameter was impacted. This pending maintenance request has changed the Number of Authorizations. Review the parameters to ensure accuracy. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 32

4.3 Reject Decisioning Anytime an email is received advising of a pending entry, you will log into ACH Direct and make a decision to allow the particular transaction to be posted or returned. There are three options available: 1. Accept Allows entry to post to the intended account on the evening of the indicated return date. 2. Refuse Transaction will be returned to the Originator on the evening of the indicated return date. 3. Pending A final decision is not known at this time. Clients have until 7:00 p.m. ET on the indicated return date to make a decision regarding the transaction. If no decision is made by that time, the transaction will be returned. Some important tips regarding the decisioning of transactions: Decisioning may only be performed until 7:00 p.m. ET on the indicated return date. When selecting Accept a user is indicating that the transaction should be posted to the intended account and there will be no further review of authorization records. During the acceptance process, users will be given the option to update an existing authorization to ensure future transactions are authorized when received. If the detail item is rejected because no authorization record was located, users will be given the option to create an authorization for future transactions from the same Originator. Doing so will prevent future transactions from rejecting. If you determine the entry should be returned, select the Refuse option and the item will be returned on the evening of the indicated return date. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 33

Reject Decisioning 1. From the ACH Direct Main Menu, click EPA. 2. Click Reject Decisioning under the EPA menu. 3. The result will be a listing of the rejected transactions which require action. To refuse or accept a particular reject, click on the radio button next to the desired selection and choose Refuse Selected, or Accept Selected. 4. Once completed, confirmation of the chosen action will be provided. NOTE: When accepting a transaction, the message Would you like to add an authorization for future transactions? will appear. For instructions on adding an EPA authorization, please see Section 4: EPA Add (Adding an Authorization). 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 34

4.4 EPA Add (Adding an Authorization) 1. From the ACH Direct Main Menu, click EPA, and then click Authorizations. 2. Click Add. 3. Select the account number for which you will create an authorization. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 35

4. Enter the required data as described below, then click Save. ACH Direct User Guide a. Authorization Date Range i. Begin Date The date the authorization will become active. ii. Expiration Date The date the authorization record will expire or will be considered inactive. iii. No End Date If the authorization does not have an end date, check the box that states No Authorization End Date Specified. b. Maximum Amount The maximum amount of the transaction(s) that can be authorized using this authorization record. c. Specific Amount The specific amount of the transaction(s) that can be authorized using this authorization record. d. Transaction Type Checking Debit. e. How many transactions should be accepted with this Authorization? i. Single Use To authorize only a single transaction, this value should be set to 001. ii. iii. Specific Number of Transactions Enter the specific number of transactions that should be authorized. For example, if the user wants to authorize 10 transactions, this value should be set to 010. Unlimited To indicate that an unlimited number of transactions should be authorized, this value should be left blank. f. Company ID The Company ID of the transaction Originator g. Company Name The name of the company originating the transaction. NOTE: ACH Direct does not support the use of special characters such as &, @, #, etc. in the company name field. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 36

5. Confirmation of the EPA Authorization added successfully will be displayed. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 37

4.5 Changing an Authorization 1. From the ACH Direct Main Menu, click EPA. Click on Authorizations. 2. To change, select the radio button next to the desired authorization and click Modify from the Search Results screen. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 38

3. Change the fields which must be modified and click Save. ACH Direct User Guide 4. Once completed, confirmation of the modification will be provided. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 39

4.6 Deleting an Authorization 1. From the ACH Direct Main Menu, click EPA. Select Authorizations. 2. To remove, select the desired authorization and click Delete. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 40

3. Click OK to delete the authorization. 4. Once completed, confirmation of the delete will be provided. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 41

5. File and Transaction Inquiry 5.1 Overview of Service You are able to query ACH transactions via the File/Transaction Inquiry functionality in ACH Direct. The following information may be viewed: Originator Browse Available for Key ACH Originators to view the status of ACH Origination files by set up. Account Number Available for Key ACH Originators and Receivers to view ACH detail by transactional account numbers. 5.2 Using ACH File/Transaction Inquiry Entering Originator Browse 1. From the ACH Direct Main Menu, click File/Transaction Inquiry. Click Originator Browse. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 42

2. Select the Application Name desired, date range and/or file status, then click Search. 3. Search results with file detail will be displayed. In order to browse the batches of a particular file, select the desired file by clicking the radio button, then click the Batch Browse button. NOTE: The Status column displays the status of your ACH file submitted to Key. When the status of the file reads Normal, your ACH origination file has been processed successfully. If the status In Process is displayed, your file has been processed, but with an exception status. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 43

4. Search results with batch detail will be displayed. To view the specific batch details, select the radio button next to a batch. Click Detail Browse. 5. The result will be a listing of all transactions contained within the batch. To view individual transaction detail, select the radio button next to the desired transaction, and then click Show Item Details. 6. The result will be transaction specific details. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 44

a. In order to view any addenda information that may have accompanied the transaction, scroll to the bottom of the Warehouse Detail Inquiry view and click Show Addenda. b. The result will be any addenda information which was transmitted with the transaction. Entering Originator Search by Account Number 1. From the ACH Direct Main Menu, click File/Transaction Inquiry. Click Account Search. 2. The result will be the Account Search screen. a. The following fields are required: i. Account Search Originator must be displayed. ii. iii. Account Number Type in the relevant account number to be searched. From Date Select a desired beginning date for the search period. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 45

iv. To Date Select a desired end date for the search period. b. Enter any remaining desired search criteria, and then click Search. 3. The result will be the Warehouse Search Result screen, populated with each transaction meeting the search criteria. For additional detail on a particular transaction click the radio button next to the transaction, and then click Show Item Details. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 46

4. The result will be transaction specific details. a. In order to view any addenda information that may have accompanied the transaction, scroll to the bottom of the Warehouse Detail Inquiry view and click Show Addenda. b. The result will be any addenda information which was transmitted with the transaction. Originator Search Glossary Application Name: Application the user wishes to browse for data. By default, the ALL option will be highlighted. Date File Processed: Fields are used to enter the specific date (or range of dates) a file was processed. Only files on the warehouse that were collected on the date (or date range) entered will be displayed. File Status: Drop down box is used to select either all files, or all files with a particular status. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 47

The table below is a guide for use when searching as an ACH transaction Originator. File Batch Detail Immediate Destination: Batch Number: Number Transaction Type: Debit or Processing Bank Routing assigned by Originating credit Number company Transit Routing Number: Immediate Destination Name: Company Name: Originating Receivers routing number Processing Bank Name Company Name Account Number: Receivers Immediate Origin: ACH Company ID: Company ID account number Originator number, e.g. assigned to client Dollar Amount: Amount of company tax id number Entry Description: File entry individual item Immediate Origin Name: description, i.e. payroll $ Amount Relation: Anyw here Name of ACH Originator. SEC Code: Standard Entry or Exactly File Creation Date: Date of file creation Class Code for File, i.e. PPD, CCD, etc. Individual ID: Identification number entered by originator File Creation Time: Time of file Effective Date: Date batch is ID Relation: Anyw here or creation effective for settlement Exactly File ID Modifier: Alphanumeric Date Processed: Date batch Individual Name: Name of character used to uniquely processed through receiver identify multiple files created on Key s ACH System Discretionary Data: Optional the same day Time Processed: Time batch data input by originator Entry/Addenda Count: Count processed through Transaction Code: Standard of entries and addenda Key s ACH System ACH Transaction code for debits Total Credit Amount: Dollar Status: File status, including or credits amount of credits delete, normal, suspended, Original Account No: Account Total Debit Amount: Dollar rejected number of receiver amount of debits Credit amount: Total credit Original T/R Number: Routing Date Processed by PEP+: amount for batch number for receiver s account Date processed by Key s ACH Debit Amount: Total debit Date Collected: Date Key s System amount for batch ACH System collected the Time Processed by PEP+: Entry Addenda: Number of transaction Date processed by Key s ACH addenda records for this batch Time Collected: Time Key s System Count: Number of entries for ACH System collected the File Number: Unique identifier this batch transaction assigned by Key s ACH System. Hash Total: Used to validate Date Distributed: Date Key s Status: File status, including numbers; usually routing ACH System distributed the delete, normal, suspended, rejected number transaction into the ACH Netw ork Time Distributed: Time Key s ACH System distributed the transaction into the ACH Netw ork Scheduled Dist. Date: Date transaction is scheduled for distribution Scheduled Dist Time: Time transaction is scheduled for distribution PAR#: Assigned by Key s ACH System Addenda Record Detail: Additional information which accompanied a transaction 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 48

Entering Receiver Search by Account Number 1. From the ACH Direct Main Menu, click File/Transaction Inquiry. Click Account Search. 3. The result will be the Account Search screen. a. The following fields are required: i. Account Search Receiver must be displayed. ii. iii. iv. Account Number Select the relevant account number from the drop down box to be searched From Date Select a desired beginning date for the search period To Date Select a desired end date for the search period b. Enter any remaining desired search criteria then click Search. NOTE: The Search timeframe is limited to no more than ten (10) days. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 49

4. The result will be the Warehouse Search Result screen populated with each transaction meeting the search criteria. For additional detail on a particular transaction, click the radio button next to the transaction. Then click Show Item Details. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 50

5. The result will be the transaction specific detail. 6. In the event a received transaction contains addenda information, scroll to the bottom of the Warehouse Detail Inquiry view and click Show Addenda to view. 7. The result will be any addenda information which was received with the transaction. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 51

Receiver Search Glossary The table below is a guide for use when searching as an ACH transaction Receiver. Account Search Options Detail Company Name: Originating Company Name Company Name: Originating Company Name Company ID: Company ID assigned to client Company ID: Company ID assigned to client SEC Code: Standard Entry Class Code for File, SEC Code: Standard Entry Class Code for File, PPD, CCD, etc. i.e. PPD, CCD, etc. Entry Description: File entry description, i.e. Entry Description: File entry description, i.e. payroll payroll Effective Date: Date file is effective for Effective Date: Date file is effective for Transaction Type: Debit or credit Transaction Type: Debit or credit Transit Routing Number: Receivers routing Transit Routing Number: Receivers routing number number Discretionary Data: Account Number: Receivers account number Optional data input by originator Dollar Amount: Amount of individual item Dollar Amount: Amount of individual item Individual ID: Identification number entered by $ Amount Relation: Anywhere or Exactly originator Individual ID: Identification number Individual Name: Name of receiver entered by originator Discretionary Data: Optional data input by ID Relation: Anywhere or Exactly originator Original Account No: Account number of Individual Name: Name of receiver receiver Original T/R Number: Routing number for receiver s account Date Collected: Date Key s ACH System collected the transaction from the ACH Network Time Collected: Time Key s ACH System collected the transaction from the ACH Network Scheduled Dist. Date: Date transaction is scheduled for distribution Scheduled Dist Time: Time transaction is scheduled for distribution PAR#: Assigned by Key s ACH System Addenda Record Detail: Addenda string 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 52

6. EPA Dual Authorization In order to better understand EPA Dual Authorization, you must first understand ACH Direct EPA. Please refer to pre-requisite documentation (page 31) called ACH Direct Electronic Payment Authorization (EPA) 6.1 Overview of EPA Dual Authorization Segregation of duties and additional operational controls are becoming increasingly important due the changing security climate surrounding electronic transactions. This changing climate places pressure on organizations to ensure that effective controls are in place and are being utilized through sound business practices. ACH Direct offers Multiple-Level Authorizations for you to enhance your controls around preauthorization and approval of incoming debits presented against the corporate account. Automated solutions, such as dual verification, provide multi-level controls to enhance security and risk management for ACH Direct users. This solution offers the ability to mitigate fraud and tracking tools to document these controls. Required authorization is customizable. The need for secondary approvals can vary by transaction amount and/or individual user in accordance with internal Corporate Security and Risk requirements. 6.2 ACH Direct Email Notifications Once the EPA Dual Authorization service is activated, you will receive event triggered email notifications. Each notification type is assigned a number, making it easy for you to identify the type of notification and any action that may be required. Email notifications can be added or removed for a user by the Corporate Administrator for your organization, or you may contact your Payments Advisor to request adding or removing of email notifications. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 53

Number Notification Action Required/Taken E111 E112 E113 E114 EPA Reject Dual Verification Request Submitted EPA Reject Dual Verification Request Approved EPA Reject Dual Verification Request Declined EPA Reject Dual Verification Request Expired The follow ing EPA REJECT DECISIONING action is aw aiting approval: The follow ing EPA REJECT DECISIONING action has been approved: The follow ing EPA REJECT DECISIONING action has been declined: The follow ing EPA REJECT DECISIONING action has expired: E121 EPA Dual Verification Request Submitted The follow ing EPA maintenance request is aw aiting approval: E122 EPA Dual Verification Request Approved The follow ing EPA maintenance request has been approved: E123 EPA Dual Verification Request Declined The follow ing EPA maintenance request has been declined: E124 EPA Dual Verification Request Expired The follow ing EPA maintenance request has expired: 6.3 How ACH Direct Dual Authorization Works When authorizations are added, modified or deleted in ACH Direct and reject decisions are performed by one user, they are sent to a work queue to be approved by another user. ACH Direct Dual Authorizations offers two types of parameters that can be established for each associate: Associate Level Level 1 Can add, modify or delete authorizations and decision pending rejects; cannot approve those actions taken by others Level 2 Can perform the actions of Level 1 and also can approve the actions taken by others (either Level 1 or Level 2 associates). 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 54

EPA Maximum Dollar Limit The EPA Max Dollar Amount defined to an associate is the maximum transaction amount not requiring secondary approval for authorizations added, deleted or modified and for reject decisioning actions. Secondary approval action does not take into account the user s EPA Maximum Dollar Limit. 6.4 How to Navigate through all sections under EPA Under EPA, the following options are listed if you are an authorized user for EPA with Dual Authorization: Authorization View, modify, delete and add authorizations (also known as filters) for pre-authorized debits. The status of the authorization is displayed, such as active or revoked. If a new authorization is created or an existing one is modified and it exceed the user s maximum authorized amount; it will automatically move to the EPA verification queue for secondary approval. Reject Decisioning List of all rejected transactions which require action (pending, refuse or accept). No action will result in the debit being returned unpaid. Once an item is accepted, when dual authorization is enabled, it will move to reject verification for secondary approval if the item exceeds established limits. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 55

EPA Verification This tab will display all added, changed or deleted authorizations (filters) requiring secondary approval. A designated approver level 2 associate will take action here. User will select the item using the radio button and then either approve or deny the transaction. Reject Verification Decisioned pending rejects requiring dual approval will be displayed here for approval by a designated level 2 associate. User will select the item using the radio button and then either approve or deny the transaction. When enabling dual authorization, it is important to ensure the correct numbers of users are set-up to ensure coverage when other assigned users are out of the office. Consider critical holidays and times throughout the year where many users may not be available. Failure to appropriately plan in advance could result in an item being returned if dual approval did not occur timely. NOTE: On the initial set-up, all users will be set up as a Level 2 approver with $0.00 maximum authorization amount. These default settings will allow every user to perform secondary approvals, but will also require secondary approval for every action. 2017 KeyCorp. KeyBank is Member FDIC. All credit products are subject to approval. 170814-273755 56