NPCI: NACH Certification Process

National Payments Corporation of India (NPCI) presented a hassle-free process to certify a bank with NACH related products

Steps to be followed during the process of certification using the tool provided by NPCI

Why certification?

NPCI onboard banks onto its products post successful certification. This will ensure to have a seamless transaction process in the life system.

Why certification tool?

This tool will help banks to get self-certified. This is developed to have 24/7 support on certification to banks without dependency.

How to get access to this tool?

The interested bank has to whitelist their IPs with NPCI to access this certification tool.

Banks which are already a member of NACH should use the CRM application for raising the request for getting the access. In case of a new bank, they have to mail the same to NACH@NPCI.org.in once that’s done bank can self certify online from the convenience of your office itself. The bank should approach to get a user name and password for using this application.

A bank can take up to a maximum of 2 users.

Banks should submit IFSC, MICR and IIN for the purpose of creating of participant master in the app.

The login page will ask for the username and password which will be provided by NPCI on request.

Enrollment Process:

• First Log in to the Certification Tool

• The home page will feature an icon top left corner of the screen
• On clicking the same the screen will display all the option available in the tool

• The first option in the list will be the user management wherein one can view the list of users for the certifying bank

• Next option is the start certification, here one can certify her bank in NACH products as a sponsor or a destination bank or for Aadhar Mapper file.
• If the bank needs to certify themselves as a sponsor bank then it will have to select the option as sponsor icon

• After selecting the option it can view the list of product available for certification which are ACH credit, ACH debit, APB credit, MMS

• If it has to get certified in product ACH CR, the page will provide the user to select input file prepared as per NACH format and upload for validation
• If a file is getting passed with the technical validation a pop-up message will display as the file has been accepted
• And if a file failed the technical validation then a pop-up message will display the file has been rejected
• The bank now has to select an option download acknowledgement from the left-hand side available options in the tool to know the status of the file

• User can view two options acknowledgement and error report
• If popup message received is accepted when the file is uploaded then the user has to select the acknowledgement option

• The page will have two options select product and file type
• Where the user provides appropriate product and file type as InP in the dropdown and clicks submit
• The bank can view the list of acknowledgement file displayed as a list
• It can now download and verify the status of a file as accepted or rejected

• If the pop-up message display is rejected while uploading a file it will have to select the error report option
• Here it can view the list of filenames that can be downloaded from the tool to view the error report of that file
• It has to select the download response on the right-hand side available options in the certification tool to view and download the response for the file uploaded as the sponsor bank
• If the file is accepted in the tool and if it received the positive response then here bank will be certified as a sponsored bank in that product

• Now let’s consider the situation where it wants to certify its bank as destination bank.
• If a bank has to certify in NACH products as a destination bank, it has to select the option as Destination after selecting the option it can view the list of products available for certification which are ACH credit, ACH debit, APB credit, MMS
• If it has to certify its bank in ACH credit or debit, details like beneficiary type, account holder name, account number, unique mandate reference number have to be provided
• And for APB file it has to provide Aadhar number in addition to above details
• The returned recent code will be auto-populated for ACH credit or APB credit or ACH debit against each record
• The same is to be used while preparing returned file otherwise, the file will be rejected
• Now select the submit button
• Message pop up will display Inward file generated

• Select the download inward file option where the page will display the product type
• Select the product type and click submit
• The list of INW file can be viewed and it can be downloaded by selecting the file

• A pop-up message will display inward has been generated

• Based on the inward file downloaded it has to prepare return file with same details along with the return reasons provided while generating the inward file
• Now upload file option where the tool will display the list of option to upload the return file

• After selecting the product on the list it will be routed to this page
• One can select the file and click the submit button to validate the RTN file
• Now a pop-up message will be received in the tool
• The file has been accepted or partially or fully rejected
• Select the option download acknowledgement in the tool to know the status of the file
• In this screen, two options can be viewed acknowledgement and error report
• If the pop-up message display is the file has been rejected with reject reason while uploading a file, select the error report option

• The next page will have two options: select product and file type
• The user has to provide appropriate ACH credit and file type as RTN in the drop-down and click submit
• Download the error report for the return file uploaded

• If the pop-up message display is partially or fully accepted while uploading a file, select the acknowledgement option
• The page will have two options select product and file type
• The user has to provide appropriate product ACH credit and file type as RTN in the dropdown and click submit

• One can view the list of acknowledgement file displayed as list as it can download and verify the status of a file as accepted or rejected
• It can download the acknowledgement for the return file uploaded and if accepted the bank will be certified as destination bank in certified NACH product

The entire process is so quick and simple within no time you can enrol your bank and enjoy the many benefits of NACH products

To read more: What is NACH?