SEC Code Access Change: As mentioned in our Summer Newsletter, effective October 2, 2019, Forte implemented Phase I of our SEC Code Compliance Initiative which limits merchants ability to select SEC codes based off of their historical processing history. We have made systematic changes to reflect the approved SEC codes and merchants will no longer be able to modify these selections without Forte interaction.
Most merchants will not be impacted by this change, however, if you receive a transaction with decline code U78 "DISALLOWED ACH SEC CODE<SEC CODE>" contact our Support Team at 866-290-5400 (Option 1) or email firstname.lastname@example.org. for further assistance with processing the transaction. Our Product Support Analysts will provide guidance on the appropriate SEC code selection or enable the SEC code if it is found to be a valid use case.
Merchants who use the Virtual Terminal can continue to select SEC codes for their users, however, if the SEC code has not been used in the last year the transaction may decline and an authorized user will need to contact our Support Team at the number provided above. To learn more about Phase II of our SEC Compliance see below
Phase II - SEC Code Compliance
In the coming months, we will begin Phase II which will ensure that that the SEC code being used is applicable to the merchant's market type in accordance to NACHA standards. Some merchants may not have the capability to select SEC codes for transactions as it is may be pre-selected or hard-coded in their software. If it is found that the SEC code should be changed we will work the the impacted merchant's Partner to address any related development requirements to prevent potential processing disruption. Partner's will be provided ample time to address this issue before the final compliance requirements become effective.
Please note that our Risk department may contact you for a proof of authorization (POA) request as a part of our routine transaction audits. Please ensure that transactions are processed using the appropriate SEC code to assist in minimizing losses and/or fines to your company. Please contact our Support Team if you have any questions related to this change.