The US District Court for the Eastern District of NY will be processing all payments...

Wednesday, September 26, 2012

Effective November 1st, 2012

The United States District Court of the Eastern District of New York, will be processing all payments received by Check or Money Order Electronically.

Federal government ACH entries are governed by 31 C.F.R. Part 210, which incorporates the 2007 ACH Rules published by The Electronic Payments Association (NACHA), with certain exceptions. Under Part 210, checks can only be converted to ACH debit entries if the agency customer submitting the check for payment (the "recipient" in ACH terms) has been provided the requisite notice. Proper notice ensures that the "recipient" has authorized the ACH transaction, as required. To ensure proper authorization, agencies participating in the OTCnet check capture process, must provide agency customers the following Notices:

Notice to Customers Making Payment by Check (whether in person, by mail or by proxy)

When you provide a check as payment, you authorize us either to use information from your check to make a one-time electronic fund transfer from your account or to process the payment as a check transaction.

Privacy Act – A Privacy Act Statement required by 5 U.S.C. § 552a(e)(3) stating our authority for soliciting and collecting the information from your check, and explaining the purposes and routine uses which will be made of your check information, is available from our internet site at (http://www.fms.treas.gov/otcnet/index.html), or call toll free at (1-866-945-7920) to obtain a copy by mail. Furnishing the check information is voluntary, but a decision not to do so may require you to make payment by some other method.