ACH & Bank Transfer Decoder Free

ACH debits and electronic bank transfers generate some of the most confusing entries on bank statements. Unlike a charge from Amazon or Netflix where the company name is at least recognizable, ACH transactions display a formatted block of coded fields — ORIG CO, DES, ENTRY, ID, TRACE — that mean nothing without context. The ACH & Bank Transfer Decoder translates every field of an ACH descriptor into plain English, identifies the originating company, explains what the SEC entry code means, and tells you exactly what your rights are if you don’t recognize the transaction.

What Is an ACH Transaction?

ACH stands for Automated Clearing House — the electronic network that processes the vast majority of direct bank-to-bank transfers in the United States. When your employer deposits your paycheck directly into your bank account, that’s an ACH credit. When your insurance company pulls your monthly premium from your checking account, that’s an ACH debit. When you pay a utility bill online using your bank account number, that’s an ACH debit. The ACH network processes over 30 billion transactions per year, making it the financial backbone of everyday banking for most Americans.

ACH Credits vs. ACH Debits

An ACH credit adds money to your account — payroll deposits, tax refunds, government benefits, and peer-to-peer payment receipts are all ACH credits. An ACH debit removes money from your account — bill payments, loan payments, insurance premiums, and subscription fees pulled by a company you’ve authorized are all ACH debits. Both appear on your bank statement with the same cryptic field structure, but the direction of the money is opposite. Credits increase your balance; debits decrease it.

Understanding ACH Entry Class Codes (SEC Codes)

The entry class code — also called the SEC code — is the single most important field in an ACH transaction. It identifies how the transaction was authorized and what rules govern it. PPD (Prearranged Payment and Deposit) is the most common code for consumer transactions and indicates a payment you pre-authorized, like autopay for a bill. WEB indicates a payment you authorized online. TEL means you authorized it over the phone. CCD is used for business-to-business payments. IAT indicates an international transaction. Each code carries different authorization requirements and consumer protection implications — TEL and IAT transactions, for example, warrant extra scrutiny if you don’t recognize them.

What Is the ORIG CO Field?

ORIG CO stands for Originating Company — the legal name of the business or organization that initiated the ACH transaction. This name is registered with the ACH network and may be different from the company’s public-facing brand name. ADP initiates payroll deposits on behalf of thousands of employers, so your paycheck may show ADP as the originating company rather than your actual employer’s name. Paychex and Gusto work similarly. Government deposits from the IRS or Social Security Administration appear under their official names. If the ORIG CO name doesn’t match any company you recognize, searching it alongside “ACH” or “bank transfer” often identifies the company behind the code.

Your Rights for Unauthorized ACH Debits

Regulation E is the federal law that protects consumers against unauthorized electronic fund transfers, including ACH debits. Under Regulation E, if you report an unauthorized ACH debit to your bank within 60 days of the statement date, your bank is required to investigate. The bank must provisionally credit your account within 10 business days of your report while the investigation is ongoing. If the bank determines the debit was unauthorized, you receive a permanent credit. If the bank fails to investigate properly, file a complaint with the Consumer Financial Protection Bureau at consumerfinance.gov/complaint.

How to Stop Unwanted ACH Debits

You have two ways to stop an unwanted ACH debit. The first is to contact the originating company directly and revoke your authorization in writing — send a letter or email stating that you are revoking authorization for them to debit your account, and keep a copy. The second is to contact your bank and request a stop payment on ACH debits from a specific originator — your bank can block future debits from that company’s ACH originator ID. Using both methods together provides the strongest protection. Note that stopping an ACH debit does not cancel any underlying debt or contractual obligation — it only prevents the company from pulling money from your account electronically.

Frequently Asked Questions

What does PPD mean on my bank statement?

PPD stands for Prearranged Payment and Deposit — the most common ACH entry class code for consumer transactions. A PPD entry means you pre-authorized this payment, typically by enrolling in autopay, signing a payment authorization form, or providing your bank account and routing numbers to a company for recurring billing. If you see PPD and don’t recognize the originating company, search for the ORIG CO name to identify who is debiting your account.

What does WEB mean on my bank statement?

WEB is an ACH entry class code indicating the transaction was authorized over the internet — through a website or mobile app. WEB entries are used when you enter your bank account information on a company’s website to make a payment or set up autopay. This is a standard and legitimate ACH code used by most online bill payment systems.

Can an ACH debit be reversed?

Yes — unauthorized ACH debits can be reversed through a process called an ACH return. Contact your bank and report the unauthorized debit as soon as you notice it. Your bank submits an ACH return request to the originating bank, which reverses the transaction. The window for initiating an ACH return is 60 days from the statement date for unauthorized consumer transactions under Regulation E. Your bank must investigate and provisionally credit your account within 10 business days of your report.

Why does my paycheck show ADP or Paychex instead of my employer’s name?

ADP, Paychex, Gusto, Ceridian, and other payroll processors initiate direct deposit ACH credits on behalf of employers. The ORIG CO field shows the payroll processor’s name — ADP, PAYCHEX INC, GUSTO — rather than your actual employer’s name because the processor is the registered ACH originator. The DES field typically shows PAYROLL or WAGES to indicate the nature of the deposit. This is completely normal and does not indicate any problem with your paycheck.

What is a TEL entry and should I be concerned?

TEL is an ACH entry class code indicating the payment was authorized over the telephone. TEL entries are only permitted for single-entry payments or transactions where you have an existing relationship with the company. If you see a TEL entry and don’t remember authorizing a payment by phone, treat it as potentially unauthorized and contact your bank. TEL entries are sometimes used by debt collectors and high-risk merchants — if you didn’t call the company and give them your bank account information, the authorization may be questionable.

Use our free Merchant Charge Decoder to identify any other unfamiliar charge on your statement, or try the ACH Debit Explained page for a general overview of how ACH transactions work.