Accredited ACH Professional (AAP) Practice Exam 2025 - Free AAP Practice Questions and Study Guide

The ACH Network is primarily governed by NACHA, which stands for the National Automated Clearing House Association. NACHA establishes the rules and guidelines that govern ACH transactions, ensuring that the network operates smoothly and securely. It plays a critical role in the development and implementation of standards and practices for organizations involved in electronic payments, including banks and other financial institutions.

NACHA's authority helps foster consistency and reliability across the ACH Network, which is essential for maintaining trust among users of electronic payment systems. This governance role includes overseeing the creation of rules that enhance the efficiency and security of ACH operations, and it also includes addressing compliance matters related to the network's structure and functionality.

Other institutions like the Federal Reserve also play a role in the ACH environment, particularly as a processing facilitator that offers ACH services to depository institutions. However, the Federal Reserve operates under the oversight of NACHA's established rules when processing transactions. The Office of the Comptroller of the Currency (OCC) and the FDIC regulate and supervise the banking sector and ensure compliance with banking laws, but they do not govern the ACH Network itself in the way NACHA does.