ACH Return Code R37

ACH Return Code R37 indicates that a source document (such as a paper check) has been presented for payment, even though an ACH entry based on that document has already been processed. 

This return code is used to prevent duplicate payments and ensure proper transaction handling.

What Is an ACH Return Code

An ACH return code is a standardized code used within the Automated Clearing House (ACH) network to indicate why a specific ACH transaction could not be processed or was rejected by a financial institution. 

These codes help the Originating Depository Financial Institution (ODFI) and the Receiving Depository Financial Institution (RDFI) talk clearly during electronic transfers. Each return code is designated by an "R" followed by a two-digit number, and each one corresponds to a unique reason for the return. These codes are managed by NACHA.

What Is ACH Return Code R37

In ACH payments, ACH Return Code R37 indicates that the source document used to create an ACH entry, such as a check, has been presented for payment in its original form after the electronic transaction has already been processed. This situation can result in a duplicate payment, which is why the transaction is returned. 

The code helps prevent double withdrawals from the same account and ensures that only one form of the payment is completed, either the electronic ACH entry or the original paper document—not both.

How to Fix ACH Return Code R37

To fix ACH Return Code R37, you’ll need to identify and address the duplicate payment issue. Confirm whether the original source document, such as a paper check, was inadvertently presented for payment after the ACH transaction had already been processed. 

Once confirmed, work with your bank or payment processor to ensure the duplicate entry is voided or reversed. Also, review and update your internal processes to prevent the same document from being submitted in multiple formats. Implementing stronger controls around payment handling can help avoid similar errors in the future.