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October 2022

In this issue:
  • Note from Jim
  • Holiday Hours
  • Cybersecurity Awareness Month
  • Updating your Clients
  • Client Batch Limits
  • Get Paid Quicker
  • Fraudulent Bank Accts
  • New Partnership
  • Did You Know?
  • Nacha Rules Updates
  • Earn Extra Income
  • Employee Spotlight

Did you know?

Please be sure to use the most updated version of the Client Agreement (dated 7/22 at the bottom).

Customer Support Tips

To view if your client has been set up, simply go to Reports > Other > Active Company Report. On this report, the contract on file should be "Standard". If you notice "No Contract", please reach out to the Support Department.

ACH Rules

Stay up-to-date with the most current Nacha Rules. The Nacha Rules are available for FREE online by simply setting up a Basic User account. Click here.

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It’s Fall - the sun is sleeping longer each day, the leaves are turning their brilliant colors, birds are starting to head south and the kids are wearing their Halloween costumes. This last quarter of the year is always fun, but challenging, and most importantly, it means extra time with family. With the change of the seasons comes more Fed Holiday Closings, bonus runs, panic pays and longer days meeting customer needs.

Please remember to check our website for holidays, important dates, and file processing times. Keep in mind our $500,000 and $100,000 limits that trigger wire requests or longer windows, and know we are here to help however we can to relieve some of the stresses that come with meeting your customer’s needs.

Jim Haug
Director of Kotapay

 Jim Haug

Upcoming Holiday Hours and Non-Processing Days

Please plan ahead and allow an extra day for processing if the pay date falls on a federal holiday, which can be found here. ACH transactions cannot be dated for a federal holiday (no debits or credits to an account on that date).

DateHours of OperationProcessing Notes
Friday, November 11th
Veteran’s Day
8am - 5pm CTACH transactions cannot be dated for November 11th.
Thursday, November 24th
Thanksgiving Day
CLOSEDACH transactions cannot be dated for November 24th.
Monday, December 26th
Christmas Holiday (Observed)
Kotapay Operations is available 12 - 3pm CT.
ACH transactions cannot be dated for December 26th.

October is Cybersecurity Awareness Month

Cyber Security

First International Bank & Trust (FIBT) and Kotapay are proud to be a part of National Cybersecurity Awareness Month to help us all understand the latest ways to protect our friends and families online. Learn more about increasing your cybersecurity awareness by visiting our blog post for additional resources.

Updating Your Client’s Account Information

Please be sure to view which accounts Kotapay has on file for your clients. It is important to keep all accounts up to date to avoid any potential delays or errors when sending money back to your client. You can view this on the Company Accounts Report which can be found under Reports > Other > Company Accounts Report.

If you wish to add, remove, or replace an existing account be sure to fill out a Customer Information Revision Form on the Kotapay site under Documentation > Agreements.

As a reminder, make sure to verify (call using the number on file; not the number on the email) any payroll change requests with your client to ensure there isn’t fraud.

Client batch limits are now available online

During Kotapay’s underwriting process, each processor is approved for batch limits. These limits also apply to each of your clients. We use limits as an additional way to protect customers from becoming victims of fraud as well as measure exposure.

What happens if my batch is over the limit?
If your batch is over the limit, the transaction will pend for review.

How do I learn what my limits are?
Your limits are available by viewing your Company Applications Report on the Kotapay website. Simply navigate to Reports > Other > Company Applications Report.

Can I change these limits?
These limits may be lowered by request or decision of the Risk Department.

If you have any questions, please contact the Risk Department at risk@kotapay.com.

Red Payment button 

Get paid quicker!

Add the ability to accept payments on your website. Kotapay can build you a custom payment portal to allow your clients to pay their invoice by credit card and/or ACH from the convenience of your website. Learn more!

Have you verified a fraudulent bank account?

As a part of our fraud detection systems, one thing we check against is previously identified fraudulent account numbers. If you have verified an account number is fraudulent, please pass the routing and account information along to our fraud department so we can add it to our database. This information helps not only your company but also all the companies processing with Kotapay. We’re all in this fight against fraud together.

Fraudulent account information can be emailed securely to risk@kotapay.com

Kotapay is excited to announce a new partnership for payroll cards, Fintwist

Kotapay and Fintwist have partnered to provide you with the best in paycards. Fintwist’s products, customer support and commitment to provide payment solutions to all employees made them a perfect partner for Kotapay and our Processors. View our blog post to learn more about payroll cards.

Learn more about our partnership with Fintwist here.

 FinTwist logo

Did you know?

Kotapay offers another processing option that protects you from an unfunded payroll? Premium 4 Day uses same day ACH to ensure funds are collected prior to being released to the employee. For a Friday payday, send the file to Kotapay on Tuesday. We will debit on Wednesday and if we haven’t received a return by Friday morning, we will send credits via same day ACH to fund the employee’s accounts by 1:30 pm receiving bank local time on Friday. The Premium 4 Day costs an additional $.05 per transaction.

Utilizing the Premium 4 Day, a 5 day window or funding via wire are your best options to mitigate your risk and reduce liability.

Nacha Rules Updates

  • Micro-Entries: this rule defines and standardizes the practice and formatting of micro-entries. Micro-entries are defined as ACH credits of less than $1 and any offsetting ACH debits used to verify a Receiver’s account. More information to come in the coming months.
    • Phase 1 was effective September 16th, 2022. Originators will be required to use the standard Company Entry Description.
    • Phase 2 is effective March 17th, 2023. Originators will be required to use commercially reasonable fraud detection, including the monitoring of micro-entry forward and return volumes.

Earn Additional Income by Becoming Referral Partner

Kotapay and BASYS Processing have partnered for merchant processing services! Partnering with BASYS provides our customers industry-leading credit card payment processing solutions, accompanied by world-class customer support and a new referral partner program for you!

Our new Referral Partner Program allows you to earn 10% monthly residual income for each customer you refer to Kotapay for credit card processing services. As a trusted partner with your customers, it’s natural for you to share an opportunity for them to get the best in card processing and save on monthly processing fees. Once you have sent us the referral, your work is done! Basys Logo

Please contact our Sales Department on how to become a referral partner with Kotapay.

Employee Spotlight

Cindy Simon 

Cindy Simon has been with Kotapay for 21 years and currently serves as our Cash Management Supervisor. She oversees the Returns Department on collecting items returned. Cindy has held various roles in her time at Kotapay making her very knowledgeable and a vital piece to our success.

When she’s not working, Cindy enjoys relaxing at the lake, bowling and spending time with her granddaughter.