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When a Bank Pushes Back on a Reversal Attempt
Mistakes happen in the ACH world—payments can be sent for the wrong amount, to the wrong account, or duplicated. That’s where ACH reversals (like an R62, which flags an erroneous or reversing debit) come into play. But sometimes, the reversal itself doesn’t pass inspection—and the bank on the receiving end says, “No thanks.”
When that happens, you’ll encounter ACH Return Code R77.
Let’s break down what R77 – Non-Acceptance of R62 really means, why it shows up, and how you can deal with it if it comes your way.
What Exactly Does R77 Mean?
ACH Return Code R77 stands for:
“Non-Acceptance of R62.”
Here’s NACHA’s official definition:
R77 – Non-Acceptance of R62: The Receiving Depository Financial Institution (RDFI) is rejecting the reversal of a debit entry (flagged by R62) because the reversal was not appropriate under ACH rules.
Put simply:
The receiving bank reviewed the reversal attempt (the R62 entry) and decided it didn’t meet the criteria for a valid reversal. So, they’re refusing to accept it.
How and Why an R77 Happens
Here are a few scenarios that might trigger an R77 return:
The original debit wasn’t actually erroneous, so a reversal isn’t allowed
The reversal wasn’t properly matched to the original entry (wrong trace number, wrong amount, etc.)
The reversal request was submitted outside the allowable timeframe
The reversal process was not compliant with ACH rules (missing authorization, formatting problems, etc.)
In short: the receiving bank didn’t agree that the reversal was valid, and they’re officially rejecting it with an R77.
What to Do If You See an R77 ACH Return Code
1. Review the Original Debit and the R62 Reversal
Check whether the reversal matched ACH rules exactly—correct trace number, correct amount, properly authorized, and submitted within the allowed timeframe.
2. Reach Out to Your ACH Processor or Bank
Get help reviewing the reversal attempt to confirm whether it truly followed the rules. They can help you understand whether the RDFI’s rejection was valid.
3. Talk to the Customer (If Needed)
If the reversal affects a customer’s account or balance, communicate clearly with them about the next steps—whether that’s a new debit, a refund, or another form of correction.
4. Plan the Next Move
If the reversal is invalid, you may need to handle the situation manually—such as issuing a refund by a different method, or arranging a new authorized debit.
How to Minimize the Risk of R77 Returns
While you can’t control every rejection, you can reduce your chances of seeing R77s by:
Making sure reversals are used only when truly allowed under NACHA rules
Matching reversal entries precisely to the original transaction
Submitting reversals promptly within ACH timeframes
Training your team on when a reversal is appropriate versus when other correction methods are better
Working with an ACH provider that validates reversal entries before submission
When in doubt—double-check before hitting “send” on a reversal!
Get ACH Payment Processing with Durango merchant Services
ACH Return Code R77—“Non-Acceptance of R62”—is the system’s way of saying, “You tried to reverse a debit, but the receiving bank didn’t accept it because it didn’t qualify.”
It’s not necessarily a major problem—but it’s a sign that reversals must be handled carefully, by the book.
At Durango Merchant Services, we help businesses manage every part of the ACH process—from avoiding reversal mistakes to handling return codes like R77 quickly and professionally.
