About Microbilt

MicroBilt is a leading provider of alternative credit data and risk management solutions for businesses, financial institutions, and consumers. The company offers a wide range of products and services designed to help organizations make informed decisions about creditworthiness, identity verification, fraud prevention, and debt recovery. Narmi uses Microbilt's Risk Verify Database product for manual account verification of ACH funding transactions in the Consumer Account Opening and Business Account Opening products. RVD is an advanced data system that can flag common potential return risks for ACH debits by analyzing 2.3B real-time consumer transactions and providing a rating. Microbilt is NACHA WEB debit rule compliant and a NACHA Preferred Partner for Bank Account Verification.

Microbilt Validation Process 

Every ACH funding transaction will go through one of two validation/verification options, and it varies by how the account information was provided during funding: Instant Account Verification (IAV) or manual account verification. With IAV, the applicant enters their banking credentials to get instantly verified using our partner MX. With manual account verification, the applicant manually enters their routing number and account number and only this data is sent to our partner Microbilt for verification. The Microbilt validation occurs after the applicant passes identity decisioning. During the validation process, Microbilt:

• Verifies the bank routing number is valid and active in the US 
• Ensures the structure of the account presented matches known structure(s) used by your institution
• Alerts if the account has been reported as closed or invalid

Microbilt stores the routing number and account number data indefinitely to help increase its network of validations/checks.

Microbilt Statuses

If the applicant manually enters their account information, we check the account details with our partner Microbilt and they will return one of the following statuses:

• Accept – Allows the transaction to continue; the transaction moves to “Pending” in the Admin Platform's AO ACH Manager
• Warning – Marked as a lower risk for review; the transaction moves to “Review” in the AO ACH Manager
• Decline – Either auto-rejected or marked as a higher risk for review, depending on your institution's settings. The transaction moves to “Review” or “Reject” in AO ACH Manager. Go to Narmi AO ACH Service Configuration for more information.

For transactions that return Warning and Decline, your staff users will have to decide whether to approve or reject them. If a transaction is rejected and the applicant has funding attempts remaining, they receive an email prompting them to re-enter their funding information. Doing so will trigger a new transaction. If a transaction is rejected and the applicant has no remaining funding attempts, their application is rejected and they receive an email notification. To configure funding attempts, go to Narmi AO ACH Service Configuration.

An account can return a Warning or Decline in situations such as:

• It has been reported closed in the past
• There is a history of returns
• The account does not look like other accounts for that routing number

The following are a few status examples:

• Accounts reported as Closed in the last 3 years: Decline 
• Accounts reported as invalid in the last 3 years: Decline 
• Invalid bank routing number: Decline 
• Account identified with a suspicious account format: Warning 
• Bank routing number and account structure are correct but there is no additional transaction history in RVD: Warning

For more information on Narmi AO ACH Service, go to About Narmi AO ACH Service or ACH Manager for Account Opening.