If an error in an employee's paycheck was discovered after the payroll cut-off time of 2:00PM PST (two banking days before the check date) and the Payroll Batch Status is already set to Committed, then a request for a direct deposit reversal needs to be initiated by the User.
1. User needs to contact Support to request for the direct deposit reversal and be ready to provide the following list of information:
a. Employee Name
b. Bank Account Number
c. Check Date
d. Net Pay Amount
e. Subsidiary (If Applicable)
Employees with multiple direct deposit transactions must be listed separately. User must notify employees of reversal prior to the date that funds will be reversed from their accounts.
2. User needs to confirm in writing agreement to the $25.00 fee per direct deposit transaction to reverse the direct deposit net pay amount from the paycheck. This is done by replying back to the email summary sent by Support.
3. The direct deposit reversal request will be processed and sent to Ceridian.
4. A confirmation that the direct deposit reversal has been processed will be sent by Support to the User once Ceridian receives the request.
5. The net pay amount being reversed is credited to the Payroll Funding Account within the next 3-5 banking days. This does not guarantee the reversal request is successful as the applied credit is called a provisional or temporary credit given in good faith presuming the employee's bank account is in good standing.
5.1 If the provisional credit is not withdrawn within 3-5 banking days this means that the reversal is successful and no confirmation is sent to User.
5.2 If the provisional credit is withdrawn from the Payroll Funding Account this means the direct deposit reversal fails and a confirmation is sent to the User. The User has to work directly with employee for the retrieval of funds.
a. User needs to advise the employee/s not to withdraw money from their bank account equal to the net pay amount being reversed. The whole direct deposit amount should remain intact to ensure success of the reversal request.
b. Request to reverse a direct deposit should be initiated as soon as the error is discovered. Per NACHA, direct deposit reversal can only be requested within 5 banking days from the check date. Contact Support if the direct deposit reversal request is beyond the said period
c. Direct deposit reversal request for partial amounts cannot be processed (all-or-nothing basis)