AAP EXAM 2025 WITH 100% ACCURATE
SOLUTIONS
A company or individual that has been authorized by the
Receiver to initiate either a credit or debit ACH entry to their
account. - correct answers ✔✔Originator
A financial institution that receives payment instructions from
Originators and forwards the entries to the ACH Operator. -
correct answers ✔✔Originating Depository Financial Institution
(ODFI)
ACH Payment Transaction are accumulated throughout the day,
sent to the ACH Operator, sorted by destination, and
transmitted in groups at specified times. - correct answers
✔✔Batch Process, store-and-forward system
An individual or a company that has authorized the Originator
to initiate an ACH entry to their account with the RDFI. - correct
answers ✔✔Receiver
,Financial institution identified by the routing number encoded
on the MICR lineof a check. - correct answers ✔✔Paying Bank
(Payor's Depository Financial Institution)
A financial institution that receives ACH entries from the ACH
Operator and posts the entries to the accounts of its depositors.
- correct answers ✔✔Receiving Depository Financial Institution
(RDFI)
The central clearing facility for ACH transactions. - correct
answers ✔✔ACH Operator
A voluntary association of depository institutions that facilitate
the clearing of checks or electronic items through the direct
exchange of funds between memebers. - correct answers
✔✔Clearing House
An entity that issues a credit or debit card to the Cardholder. -
correct answers ✔✔Card Issuer
,The party to whom a check is made payable. - correct answers
✔✔Payee
A person or entity that is issued a credit or debit account that is
accessed through the use of a card. - correct answers
✔✔Cardholder
Legal framework for the ACH Network - correct answers ✔✔1.
ACH Rules
2. UCC 4A
3. Reg E
4. Reg CC
The national trade association for electronic payments, which
establishes the rules, industry standards and procedures
governings the exchange of commercial ACH payments by
depository finacial institutions. - correct answers ✔✔NACHA -
The Electronic Payments Network
An optional, variable format field of the MICR line of a check. -
correct answers ✔✔Auxiliary On-Us Field
, Payment system to which net settlement applies. - correct
answers ✔✔ACH Payment System
Payment system governed by the Expedited Funds Availability
Act, UCC 3, UCC 4, OFAC, Reg CC, and Reg J - correct answers
✔✔Check Payment System
Payment system to which real-time, gross settlement applies. -
correct answers ✔✔Wire Transfer Payment System
Name the clearing and settlement methods for checks. - correct
answers ✔✔1. Direct Presentment
2. Federal Reserve Bank
3. Clearing House
4. Correspondent
Payment system governed by the Electron Funds Transfer Act,
Reg Z, Visa, Mastercard, and Fair Credit Billing. - correct answers
✔✔Card Payment System
SOLUTIONS
A company or individual that has been authorized by the
Receiver to initiate either a credit or debit ACH entry to their
account. - correct answers ✔✔Originator
A financial institution that receives payment instructions from
Originators and forwards the entries to the ACH Operator. -
correct answers ✔✔Originating Depository Financial Institution
(ODFI)
ACH Payment Transaction are accumulated throughout the day,
sent to the ACH Operator, sorted by destination, and
transmitted in groups at specified times. - correct answers
✔✔Batch Process, store-and-forward system
An individual or a company that has authorized the Originator
to initiate an ACH entry to their account with the RDFI. - correct
answers ✔✔Receiver
,Financial institution identified by the routing number encoded
on the MICR lineof a check. - correct answers ✔✔Paying Bank
(Payor's Depository Financial Institution)
A financial institution that receives ACH entries from the ACH
Operator and posts the entries to the accounts of its depositors.
- correct answers ✔✔Receiving Depository Financial Institution
(RDFI)
The central clearing facility for ACH transactions. - correct
answers ✔✔ACH Operator
A voluntary association of depository institutions that facilitate
the clearing of checks or electronic items through the direct
exchange of funds between memebers. - correct answers
✔✔Clearing House
An entity that issues a credit or debit card to the Cardholder. -
correct answers ✔✔Card Issuer
,The party to whom a check is made payable. - correct answers
✔✔Payee
A person or entity that is issued a credit or debit account that is
accessed through the use of a card. - correct answers
✔✔Cardholder
Legal framework for the ACH Network - correct answers ✔✔1.
ACH Rules
2. UCC 4A
3. Reg E
4. Reg CC
The national trade association for electronic payments, which
establishes the rules, industry standards and procedures
governings the exchange of commercial ACH payments by
depository finacial institutions. - correct answers ✔✔NACHA -
The Electronic Payments Network
An optional, variable format field of the MICR line of a check. -
correct answers ✔✔Auxiliary On-Us Field
, Payment system to which net settlement applies. - correct
answers ✔✔ACH Payment System
Payment system governed by the Expedited Funds Availability
Act, UCC 3, UCC 4, OFAC, Reg CC, and Reg J - correct answers
✔✔Check Payment System
Payment system to which real-time, gross settlement applies. -
correct answers ✔✔Wire Transfer Payment System
Name the clearing and settlement methods for checks. - correct
answers ✔✔1. Direct Presentment
2. Federal Reserve Bank
3. Clearing House
4. Correspondent
Payment system governed by the Electron Funds Transfer Act,
Reg Z, Visa, Mastercard, and Fair Credit Billing. - correct answers
✔✔Card Payment System
