M&T Bank Treasury Center® International ACH

For informational purposes only, not considered an advertisement.

M&T Bank Treasury Center® International ACH

USER GUIDE

Treasury Center International ACH USER GUIDE

Equal Housing Lender ©2021 M&T Bank. Member FDIC. —1—

TABLE OF CONTENTS

INTERNATIONAL ACH OVERVIEW ............................................................. 4

INTERNATIONAL ACH PROCESSING WINDOWS ................................... 5

WHAT CURRENCY DO I SEND MY FILE IN? ............................................. 6

HOW DO I DETERMINE THE EXCHANGE RATE?...................................... 7

WHERE CAN I SEND INTERNATIONAL ACH TRANSACTIONS? ........... 9

DO I NEED TO BE AWARE OF COMPLIANCE REQUIREMENTS? ....... 10

HOW DO THESE REQUIREMENTS AFFECT ME? .................................. 10

RULES DIFFERENCES ................................................................................. 11

HOLIDAY PROCESSING .............................................................................. 12

TRACE REQUESTS ....................................................................................... 12

SETTLEMENT DETAILS .............................................................................. 12

CANADA .........................................................................................................13

MEXICO ......................................................................................................... 15

EUROPE ........................................................................................................ 20

DUAL APPROVAL ........................................................................................ 23



CREATING APPROVAL STRUCTURES .................................................... 24

APPROVAL STRUCTURE EXAMPLE ........................................................ 25

CREATING INTERNATIONAL ACH TEMPLATES .................................... 26

CREATING AND MANAGING TEMPLATE GROUPS .............................. 30

MANAGING YOUR ACH TEMPLATES ...................................................... 32

INITIATING AN INTERNATIONAL ACH PAYMENT .................................. 33

INITIATING MULTIPLE (REPETITIVE) FILES AT ONCE ......................... 34

APPROVING ACH PAYMENTS .................................................................. 35

ACH PAYMENT STATUSES ....................................................................... 36

CREATING ACH PAYMENT REPORTS ..................................................... 37

CONTACT US ............................................................................................... 38



IMPORTANT SECURITY REMINDER TO

ADMINISTRATORS

Please be sure you carefully review the permissions assigned to your ACH user(s) to ensure you segregate create/modify ACH permissions from ACH approval permissions and segregate create/modify ACH template permissions from approval ACH template permissions. This will help increase your level of security against Internet payments fraud.



INTERNATIONAL ACH OVERVIEW

Welcome to M&T Bank's ACH origination services. As a part of your organization's ACH origination service, you will have the

capability to submit International ACH Transactions (IATs) for processing by M&T Bank. This service is optional and only

available to organizations that specifically request it. This User Guide is designed to help you through the IAT origination

process. Similar to all ACH transactions, all IAT transactions must adhere to the Nacha Operating Rules, as published by the

National Automated Clearing House Association (Nacha).

What constitutes an IAT transaction?

An international ACH transaction (IAT) is an ACH Standard Entry Class (SEC) code used to identify international ACH

payments. International ACH payments are those payments that have been funded internationally or are being sent to another

country and a part of the payment will be processed via the ACH network. When determining whether an ACH transaction

should be sent using the IAT SEC code, your organization must take the entire movement of funds into account, even if only

part of the payment flows through the domestic U.S. ACH network. Therefore, even payments that do not leave the country

could still be identified as IATs.

Why was the IAT developed?

The Office of Foreign Assets Control (OFAC) requested that Nacha modify the Nacha Operating Rules to adequately identify

international payments and have the banks review the international payments for OFAC compliance. OFAC payment screening

requires the identification of prohibited foreign countries, restricted political groups, and individuals that may be a party to the

payment.

When to use the IAT SEC Code:

1. When you send payroll, pension or benefit payments to individuals that have permanent resident addresses outside the

territorial jurisdiction of the United States.

2. When you need to send funds for an accounting entry or disbursement outside the United States.

Payment Transaction

(Instruction + Settlement)

Financial Agency

(Outside the territorial jurisdiction

of the United States)

U.S. ACH Network

Use of the IAT SEC code is required IF the transactions flow through the U.S. ACH

Network at some point

IAT

Location of the originator and beneficiary is not considered in the identification of an IAT transaction.

+ + =



M&T Bank Treasury Center’s International ACH service features include:

The ACH module is available daily, 24 hours per day. International ACH payments should be submitted at least three days prior to the effective date, and ACH payments can be future dated 20 days in advance. International ACH payments can be credits only. Note: International ACH files cannot be submitted as Same Day ACH payments. Identified below are the scheduled times that ACH payments are uploaded by Treasury Center for further processing and submission into the ACH network. Once a payment is in a submitted status, changes cannot be made and unlike standard ACH payments, an International ACH payment or file cannot be reversed.

INTERNATIONAL ACH PROCESSING WINDOWS

Treasury Center ACH Scheduled Upload Times (ET) M&T Processing Times (ET)

10:00am 11:30am

11:30am 1:45pm

12:30pm 1:45pm

2:30pm 4:00pm

3:30pm 4:00pm

5:00pm 7:00pm

6:00pm 7:00pm

Features Description

Payment List View Widget View, print, or export summary and detail information of ACHs submitted via Treasury Center. Approve, Modify, or Reject originated ACH payments from this Widget. Maintains 100 days of historical information

Add a New Payment Initiate a single of batch of ACH payments. Accessed from the Payment List View Widget

File Import Import a Nacha-formatted ACH file to be processed. Accessed from the Payment List View Widget

Quick Entry Initiate unlimited repetitive ACH payments at one time. Accessed from the Payment List View Widget

Template List View Widget Manually enter and save the payment instructions that will be used to create ACH payments. Create a File Map and import ACH instructions that can be used to create ACH payments. Create groups of ACH Templates for easy multi-entry submission

Report Management widget

The following Standard Reports are available and can be customized ACH Company Report Template Detail Report Payment Detail Report



WHAT CURRENCY DO I SEND MY FILE IN?

M&T allows for transactions to be originated in two types of currency value exchange: fixed-to-variable (FV) and fixed-to-fixed

(FF). This can be selected in the Destination Information section in the International ACH Transaction Template.

• Fixed-to-Variable: USD to foreign currency – U.S. dollars are converted to a variable amount of destination currency

based on a competitive foreign exchange rate provided as part of the payment flow

• Fixed-to-Fixed: USD to USD – U.S. dollars are both sent to and received from USD denominated accounts. This applies to

countries supported by M&T that allow USD accounts. Your organization should ensure that the receiving account is a

USD account prior to submitting Fixed-to-Fixed USD payments to that account



HOW DO I DETERMINE THE EXCHANGE RATE?

M&T has entered into a partnership with the Federal Reserve Bank, utilizing the FedGlobal service as our International

Gateway Operator. The exchange rate will be determined daily by the Federal Reserve and posted on their website.

The Federal Reserve’s FedGlobal website also provides a one-year archive of historical exchange rates. These rates can be

accessed using the following website: https://www.frbservices.org/app/fedachfx/home.html

SAMPLE



Once you access the website, enter your search criteria, and click the "Search Archive" button:

Depending on your search criteria, you will be provided the historical exchange rate that was applied to your transactions

processed on the applicable date:

SAMPLE



WHERE CAN I SEND INTERNATIONAL ACH

TRANSACTIONS?

M&T will support ACH credit transactions to the following preapproved countries:

North America

Canada CA CAD

Mexico MX MXN

Europe

Austria AT EUR

Belgium BE EUR

Denmark DK DKK

Finland FI EUR

France FR EUR

Germany DE EUR

Greece GR EUR

Ireland IE EUR

Italy IT EUR

Luxembourg LU EUR

Malta MT EUR

Netherlands NL EUR

Portugal PT EUR

Spain ES EUR

Sweden SE SEK

Switzerland CH CHF

United Kingdom GB GBP



DO I NEED TO BE AWARE OF COMPLIANCE

REQUIREMENTS?

Yes. All IAT transactions are required to comply with OFAC obligations. The Office of Foreign Assets Control of the U.S.

Department of the Treasury enforces economic and trade sanctions based on U.S. foreign policy and national security goals

against targeted foreign countries, terrorists, international narcotics traffickers, and those engaged in activities related to the

proliferation of weapons of mass destruction. OFAC works under Presidential, wartime, and national emergency powers, as

well as authority granted by specific legislation to impose controls on transactions and freeze foreign assets under U.S.

jurisdiction.

HOW DO THESE REQUIREMENTS AFFECT ME?

U.S. corporations are required to comply with OFAC obligations, and the penalties for ignoring those obligations can be both

criminal and civil and include both jail time and fines ranging from $10,000 to $10,000,000 per occurrence. If those fines are

levied against M&T Bank, then they may be passed back to your organization depending on the specifics of the case. The fines

are levied by the U.S. government and funds collected are property of the government, not M&T Bank. Additional information

on OFAC obligations and fines can be found at: http://www.treas.gov/offices/enforcement/ofac/.

All IAT transactions originated by your organization will be screened for compliance with OFAC obligations. This mandatory

screening may result in potential delays of several days if a payment needs to be scrutinized further. Please factor in extra

time for this mandatory screening when submitting IAT payments to M&T Bank for processing.

http://www.treas.gov/offices/enforcement/ofac/



RULES DIFFERENCES

ACH items originated in the United States are governed by U.S. laws and rules until they cross the border into other countries.

Once they arrive in a foreign country, that foreign country’s local laws and rules apply.

Examples of rule differences include but may not be limited to:

• Different return time frames by country

• Ability to hold local (destination) currency and/or U.S. dollar currency accounts

• Regulatory requirements in foreign countries vary. The IAT format enables M&T Bank to provide the necessary and

regulatory-compliant information in the appropriate fields to be delivered to receiving financial institutions in foreign

countries.

Returned Payments:

Important Note: In the event that a payment that your organization originates is returned for any reason, that returned item may be returned at a different exchange rate than what was applied when the original transaction was sent. This could cause a loss or gain when the transaction is returned.

Example: Your organization originates a fixed-to-variable payment to Canada for $1,000 USD on Monday. That payment was

converted to $1,300 CAD based on the FedGlobal posted rate (FX Rate of 1.3000 CAD per 1.000 USD) when it was sent to

Canada to post to the receiver’s Canadian bank account. However, the account information included in the transaction was

inaccurate, and the payment is returned on Thursday. Due to exchange rate fluctuations, the item is returned for $950 (FX

Rate of 1.368 CAD per 1.000 USD).

Therefore, in this example a transaction that was originated for $1,000 on Monday would be returned to your account on

Thursday for only $950. Your organization would incur a loss of $50 based on the exchange rate fluctuation. Conversely, if the

exchange rate changed favorably for your organization, you would recognize a gain based on the returned item posting to your

M&T account at a higher dollar amount than the original payment amount.

Prenotifications and Notifications of Change (NOC)

Prenotes are not supported for IAT transactions. Any prenotes will be rejected by FedACH. To verify account information for a

new receiver, a forward IAT credit for $1.00 may be sent. If the information is incorrect, the receiving financial institution will

return the item within the appropriate time frame for the receiving country. NOCs are supported by Canada. Any NOC sent to

any other country will be rejected by FedACH.

ODFI (Originating Depository Financial Institution) Recalls and Reversals

Unfortunately, reversals cannot be supported for IAT transactions. If an error is detected after a file has been submitted, you

will need to reach out to M&T as soon as possible. We will work with the Federal Reserve and the receiving bank (RDFI) on

your behalf to attempt to recover the funds. However, like ACH reversals, there is no guarantee that funds will be recovered.



HOLIDAY PROCESSING

Banking holidays in foreign countries are not identical to U.S. banking holidays. It is possible that an item can be transmitted for

settlement on a foreign country banking holiday. When this occurs, M&T will process the item and send it to the Federal

Gateway Operator and settle against your settlement account on the specified settlement date. The Gateway Operator will

process, deliver and settle the items to the foreign receiving financial institutions on the next banking day after the holiday. For

payments that require a foreign exchange rate conversion, the foreign exchange rate will be applied on the foreign settlement

date, which may be different than M&T’s settlement date. For a list of the foreign country’s holidays, please refer to the

following link for a list of bank holidays throughout the world: www.bank-holidays.com

TRACE REQUESTS

If you wish to request an item trace on an IAT originated transaction, please contact the Treasury Management Service Team

at 800-724-2240. These requests are subject to a fee. M&T will need to work with the Federal Reserve to trace any items that

have been released by M&T Bank. The turnaround time for a trace request response is usually within 5-7 business days. Please

note that some small dollar transactions (typically less than $20.00) may not be traced beyond the Gateway Operator.

SETTLEMENT DETAILS

Settlement for IAT transactions will take longer than it does for domestic transactions. Please allow extra time for any

potential delays that may arise during OFAC screening. Please note there are specific delivery and cutoff times for each

specific country. Typically, settlement will occur at least two business days after processing for transactions to Canada and

Mexico, and at least three business days after processing for transactions to European countries. Payments need to be

submitted at least three days prior to the desired effective date. Payments will be released for potential posting, as long as

they are not suspended for any mandatory OFAC review by M&T, the Federal Reserve, or any party associated with the

process flow.



CANADA

Scotiabank serves as the Gateway Operator for Canada. Payments sent as fixed-to-variable will have the exchange rate

applied on the date the items are processed by Scotiabank. Canadian laws and the rules of the Canadian Payments

Association (CPA), which is linked to the Bank of Canada, maintain the laws that payments must adhere to. The CPA, as the

rulemaking authority in Canada, imposes significant financial penalties for rule violations. The Canadian payment rules can be

obtained from this link: https://www.payments.ca/

Return timeframes are longer in Canada than in the U.S. Consumers can return credits up to 90 days after the settlement

date and businesses can use up to 10 days to return credits.

NOCs

NOC processing is supported in the Canada Service and NOCs may be initiated to notify ODFIs in the U.S. Scotiabank complies

with the NOC format specifications outlined in the NACHA Rules.

https://www.payments.ca/



Returns

Items will be returned with the original dollar amount adjusted as necessary based upon the prevailing exchange rate. The

original forward item amount will be referenced in the return addenda record (field eight, position 47 – 56). Items can be

returned using the return codes listed below:

Code Reason

R01 Insufficient Funds

R02 Account Closed

R03 No Account / Unable to Locate Account

R04 Invalid Account Number

R06 Returned per ODFI’s Request

R07 Receiver Dispute

R08 Payment Stopped

R09 Uncollected Funds

R10 Customer Advises Not Authorized

R12 Branch Sold to Another DFI

R14 Representative Payee Deceased

R15 Beneficiary or Account Holder Deceased

R16 Account Frozen

R17 File Record Edit Criteria

R20 Non-Transaction Account

R24 Duplicate Entry

R80 Cross-Border Coding Error

R81 Non-Participant in Cross-Border Program

R82 Invalid Foreign Receiving DFI Identification

R83 Foreign Receiving DFI Unable to Settle

R84 Entry no Processed by OGO

ODFI Item Trace

Any transaction of less than $20.00 to a Canadian receiver will not be traced beyond the Federal Reserve.



MEXICO

Banco de Mexico, known as Banxico, is the Gateway Operator for Mexico. The Mexico service supports ACH credits originated

in the U.S. and destined to any receiver’s account in Mexico. Payments to Mexico offer funds availability to the receiver on the

U.S. settlement day. Once cross-border items arrive in Mexico, they are governed by the Mexican laws and rules of the

Interbank Electronic Payment System, SPECI.

Rule Differences

Prenotes and NOCs are not supported in Mexico. Return times for Mexico for credit items are shorter than in the U.S.

Timeframes for returns are the same business day of receipt. If they are not returned the same business day, they need to be

handled individually and outside of the ACH-equivalent Mexican electronic payments network. Mexican financial institutions

do not distinguish between checking and savings accounts. The majority of the accounts in Mexico are denominated in

Mexican pesos. The FV foreign exchange method should be used to send IATs to Mexico.

In Mexico, banking associations are identified by a three-digit number assigned by the Mexican Bankers Association. This

number is called the “ABM Bank Number.” A full list of AMB bank numbers can be found here:

**Please note that “R” = participates and “RC” = does not provide banking services to individuals.

ABM Bank Numbers

ABM Number Institution Name Short Name

Participates As

001 Banco de Mexico BANXICO RC

006 Banco Nacional de Comercio Exterior, S.N.C. BANCOMEXT RC

009 Banco Nacional de Obras y Servicios Publicos, S.N.C. BANOBRAS RC

019 Banco Nacional del Ejercito, Fuerza Aerea y Armada, S.N.C. BANJERCITO R

135 Nacional Financiera, S.N.C. NAFIN RC

166 Banco del Ahorro Nacional y Servicios Financieros, S.N.C. BANSEFI R

168 Sociedad Hipotecaria Federal, S.N.C. HIPOTECARIA FED RC

002 Banco Nacional de Mexico, S.A. BANAMEX R

012 BBVA Bancomer, S.A. BBVA BANCOMER R

014 Banco Santander, S.A. SANTANADER R

21 HSBC Mexico, S.A. HSBC R

030 Banco del Bajio, S.A. BAJIO R

032 IXE Banco, S.A. IXE R

036 Banco Inbursa, S.A. INBURSA R

037 Banco Interacciones, S.A. INTERACCIONES R

042 Banca Mifel, S.A. MIFEL R

044 Scotiabank Inverlat, S.A. SCOTIABANK R



058 Banco Regional de Monterrey, S.A. BANREGIO R

059 Banco Invex, S.A. INVEX R

060 Bansi, S.A. BANSI R

062 Banca Afirme, S.A. AFIRME R

072 Banco Mercantil del Norte, S.A. BANORTE R

102 The Royal Bank, S.A. THE ROYAL BANK R

103 American Express Bank (MEXICO), S.A. AMERICAN EXPRESS R

106 Bank of America Mexico, S.A. BAMSA R

108 Bank of Tokyo-Mitsubishi UFJ (MEXICO), S.A. TOKYO R

110 Banco J.P. Morgan, S.A. JP MORGAN R

112 Banco Monex, S.A. BMONEX R

113 Banco Ve por Mas, S.A. VE POR MAS R

116 ING Bank (MEXICO), S.A. ING R

124 Deutsche Bank Mexico, S.A. DEUTSCHE R

126 Banco Credit Suisse (MEXICO), S.A. CREDIT SUISSE R

127 Banco Azteca, S.A. AZTECA R

615 Merrill Lynch Mexico, S.A. de C.V., Casa de Bolsa MERRILL LINCH RC

616 Casa de Bolsa Finamex, S.A. de C.V. FINAMEX RC

617 Valores Mesicanos Casa de Bolsa, S.A. de C.V. VALMEX RC

618 Unica Casa de Cambio, S.A. de C.V. UNICA RC

619 MAPFRE Tepeyac S.A. ASEGURADORA MAPFRE RC

620 Profuturo G.N.P., S.A. de C.V. AFORE PROFUTURO RC

621 Actinver Casa de Bolsa, S.A. de C.V. CB ACTINBER RC

622 Actinver S.A. de C.V. ACTINVE SI RC

623 Skandia Vida S.A. de C.V. SKANDIA RC

626 Deutsche Securities, S.A. de C.V. DEUTSCHE C.B. RC

627 Zurich Compania de Seguros, S.A. ZURICH RC

628 Zurich Vida, Compania de Seguros, S.A. ZURICH VIDA RC

629 Hipotecaria su Casita, S.A. de C.V. HIPOTECARIA SU CASITA R

630 Intercam Casa de Bolsa, S.A. de C.V. C.B. INTERCAM RC

631 Vanguardia Casa de Bolsa, S.A. de C.V. C.B. VANGUARDIA RC

632 Bulltick Casa de Bolsa, S.A. de C.V. BULLTICK C.B. RC

633 Sterling Casa de Cambio, S.A. de C.V. STERLING RC

634 Fincomun, Servicios Fancieros Comunitarios, S.A. de C.V., Sociedad Financiera Popular FINCOMUN RC

638 Akala, S.A. de C.V., Sociedad Financiera Popular AKALA RC

640 J.P. Morgan Casa de Bolsa, S.A. de C.V. JP MORGAN C.B. RC

646 Sistema de Transferencia y Pagos STP, S.A. de C.V., SOFOM E.N.R. STP RC

901 CLS Bank International CLS RC

902 SD. Indeval, S.A. de C.V. INDEVAL RC



128 Banco Autofin Mexico, S.A. AUTOFIN R

129 Barclays Bank Mexico, S.A. BARCLAYS R

130 Banco Compartamos, S.A. COMPARTAMOS R

131 Banco Ahorro Famsa, S.A. FAMSA R

132 Banco Multiva, S.A. BMULTIVA R

133 Prudential Bank S.A. PRUDENTIAL R

134 Banco Wal Mart de Mexico Adelanta, S.A. WAL-MART R

136 Banco Regional, S.A. REGIONAL R

137 BanCoppel, S.A. BANCOPPEL R

138 Banco Amigo, S.A. AMIGO R

139 UBS Banco, S.A. UBS BANK R

140 Banco Facil, S.A. FACIL R

141 Volkswagen Bank, S.A. VOLKSWAGEN R

143 Consultoria Internacional Banco, S.A. CONSULTORIA R

600 Monex Casa de Bolsa, S.A. de C.V. MONEXCB RC

601 GBM Grupo Bursatil Mexicano, S.A. de C.V. GBM RC

602 Masari Casa de Bolsa, S.A. MASARI RC

605 Value, S.A. de C.V., Casa de Bolsa VALUE RC

606 Base Internacional Casa de Bolsa, S.A. de C.V. BASE INTERNACIONAL RC

607 Casa de Cambio Tiber, S.A. de C.V. TIBER RC

608 Vector Casa de Bolsa, S.A. de C.V. VECTOR RC

610 B y B Casa de Cambio, S.A. de C.V. B&B RC

614 Acciones y Valores Banamex, S.A. de C.V., Casa de Bolsa ACCIVAL RC



MEXICO, CONTINUED

Mexican Receiver Account Numbers

There are two types of account numbers that a cross-border item can be originated to in Mexico: a checking account number,

also known as a CLABE, or a debit card account number.

The CLABE is a standardized bank code that was established for checking account numbers. It consists of an 18-digit number

that uniquely identifies account holders and guarantees the posting of an electronic funds transfer throughout the SPEI

processing platform. Debit card numbers consist of 16 digits. Debit card account numbers can change if the card is deemed

lost or stolen, so it is recommended that the originator asks for the CLABE account number instead.

CLABE numbers have a check digit that is a calculated number. To verify the validity of a CLABE check digit number, please

use the calculator tool found at this link:

https://www.frbservices.org/resources/financial-services/ach/fedglobal-processing.html

https://www.frbservices.org/resources/financial-services/ach/fedglobal-processing.html



Submitting a File

Cross border items need to be batched separately within an ACH file. The deposit deadline for cross border payments is

2:15pm ET. Files are then transmitted to Banxico by 6pm ET for further processing. Once received by Banxico, Banxico will

translate the payment items into the Mexican domestic format and convert the U.S. dollar amounts into Mexican pesos. Funds

are made available to the receiver no later than 3:30pm ET, at least two days after file submission.

Return Items

There are times when it may be necessary for the Mexican RDFI to return an item. The items will be returned using one of the

following return codes:

Code Reason

R02 Account Closed




R16 Account Frozen









EUROPE

Deutsche Zentral-Genossenschaftsbank (DZ Bank) and Equens are the conduits for payments into Europe. DZ Bank acts as

the foreign Gateway Operator. Equens acts as the processing service provider and agent for all incoming transactions. Please

note that IAT ACH transactions can be processed from your M&T account to the following European countries (supported

currencies are also provided):

Europe

Austria Euro USD

Belgium Euro USD

Denmark Euro USD

Finland Euro USD

France Euro USD

Germany Euro USD

Greece Euro USD

Ireland Euro USD

Italy Euro USD

Luxembourg Euro USD

Malta Euro USD

Netherlands Euro USD

Portugal Euro USD

Spain Euro USD

Sweden Euro USD

Switzerland Euro, Franc

USD

United Kingdom Euro, Pound USD

European Payments System

Each payment sent to a foreign country will need to adhere to the local laws and rules of that country. DZ Bank and Equens

have established multiple connections into a variety of payments systems that provide greater efficiency for the FedGlobal

Europe Service. These include, but are not limited to, leveraging local payments systems, as well as the European Automated

Clearing House Association (EACHA), TARGET2, and SWIFT.

Payments from the U.S. to Europe are not treated as Single Europe Payments Area (SEPA) payments because they originate

outside the Euro area. Therefore, SEPA rules do not apply.



Identifying European banks and receiver account numbers

Receiving financial institutions in Europe are identified by the bank identifier code (BIC). The first three components are

mandatory, while the fourth component is optional. Note: When creating ACH files, the alphabetical characters in the BIC must

be in capital letters. The format is listed below:

Components of the BIC

1 Bank Code

2 Country Code

3 Location Code

4 Branch Code

Description Identifies the financial institution

Identifies the country where the financial institution is located

Identifies the location of the institution within the country

Identifies the branch of the institution

Format Four letters All Caps

Two letters All Caps

Two alphanumeric characters Alpha All Caps

Three alphanumeric characters Alpha All Caps

Example BBBB CC LL AA

The international bank account number (IBAN) is used to identify the foreign receiver’s account number. In Europe, the IBAN is

required by the European Committee for Banking Standards (ECBS) and the International Organization for Standardization

(ISO) as the common structure to identify a customer’s bank and account number.

An IBAN consists of a header placed in front of a country’s normal domestic account number format. This header consists of a

two-character country code followed by a pair of check digits. Payments must contain both the BIC and IBAN when issued.

Additional information on the structure of each country’s IBAN can be found at the following link:

http://www.ecbs.org/iban.htm

Cross border payments must be batched separately. From there, payments must be batched separately by FF or FV items.

The foreign exchange rate is applied after rates are set on Day Two, at which point the payments are forwarded to the

appropriate European RDFIs. For FF items, settlement and receipt of payments will occur on Day One. This method is faster

since there is no exchange rate being applied. Prenotes and NOCs are not supported in Europe.

http://www.ecbs.org/iban.htm



Return Entries

Items may be returned by either the European RDFI or by Equens. They will be returned using one of the following return

codes:

Code Reason

R02 Account Closed




R16 Account Frozen









DUAL APPROVAL

Dual Approval security controls can be made mandatory for ACH Payments and or Templates. This extra level of security

requires that a separate user other than the originator review and approve submitted ACH payments or newly created or

modified templates before they are processed.

Once an ACH payment has been submitted, users with the necessary entitlements can review and act on the pending

requests from the Payment List View Widget summary grid. Users can Approve or Delete pending items one at time, multiple

items or all items at one time.



CREATING APPROVAL STRUCTURES

Treasury Center offers customers Dual Approval for ACH payments including International ACH, which means at least one

Treasury Center user initiate the payment and a different Treasury Center user approve the payment. For customers that

want additional control and approval workflows, Treasury Center offers the ability to create, save and manage Approval

Structures.

From the Approval Structure Maintenance widget:

Step 1 of 2 – Payment Methods and Accounts

1. Click Add Approval Workflow.

2. Enter a Panel Workflow Code (the name of the workflow) and a Description

3. You can choose to create this Approval Structure to apply to one, multiple, all Payment Methods (including ACH –

International Transaction), or a specific payment Template(s).

4. Select the desired Entry Method(s).

5. Select the desired Account(s).

6. Click Continue.

Step 2 of 2 – Threshold Amounts and Approvers

1. Enter a Threshold Amount.

2. Select an Approval Sequence.

• Fixed All – Payments must be approved in the exact order of Approver Names

• Fixed First – Any user(s) designated as Approve Name 1 must always be the first to approve a payment

• Fixed Last – Any user(s) designated as the last Approver Name must be the last to approve a payment

• Not Fixed – Payments can be approved in any order of Approver Names

3. Select as many Approver Names as desired. Note: Users are designated an Approver Names in Step 1 of 4 in User

Administration.

4. Click Save.

Note: You can add additional Approvers to a Threshold, additional Approver Sequences to a Threshold and/or additional

Thresholds.

An example of Step 2 of 2 Threshold Amounts and Approvers is shown on the next page (page 25).



APPROVAL STRUCTURE EXAMPLE

• The Threshold Amount is set at $50,000

• If an ACH payment is submitted for under $50,000 with this Approval Structure, it requires one user designated as Supervisor and one user designated Manager to first approve the wire – order of Approver name does not matter for Approver Name 1 and 2

• Once the payment has received approval by both a user designated as Supervisor and a user designated as a Manager, the last approver must be made by a user designated as SVP



CREATING INTERNATIONAL ACH TEMPLATES

Template creation is accessed from the Template List View Widget. This widget is located on the Payments Management

workspace. To add a new template:

1. Click Add New Template.

2. Select ACH – International Transaction from the ACH Template Type dropdown. You can also type in the Template Type as

well.

3. Click Continue.

4. Templates are organized into sections. Complete each section according to the template type selected.

• Mandatory fields will be identified by a red asterisk (“*”)

• Some fields show a lock icon. To lock or unlock the field click on the lock icon. When the lock is locked the field cannot be

modified when submitting an ACH payment

• At any point you can save your progress and finish the template later by clicking the Save for Later button

5. Template Information. In this section you fill out information to help identify the template and security controls:

• Template Name

• Template Description

• Approval Workflow – the Approval Structure is setup separately from payment templates and dictates the approval

workflow that needs to be followed for the ACH payment to be processed.

• Max Trans Amount – set a max dollar amount for the template. If a dollar amount is input that is greater that the Max

Trans Amount the ACH will fail

• Restrict – if this checkbox is clicked only users that are given access to this template via User Maintenance can access

and use the template

6. Originator Information: In this section you select your sending account:

• Originator ID - Select the desired sending Originator ID by clicking the dropdown. You can search for your account by

scrolling down or typing in your account name or account number

• Originator Full Name –Prefills name per selection of Originator ID field

• Address – The physical street address of the originator

• Country – The country of the originator

• City – The city of the originator



• Province or State – The province or state of the originator

• Postal Code – The postal code of the originator

• DFI Bank Code Type – Preset to US-ACH

• DFI Bank Code – Originating Bank’s routing number

• Batch Description – this shows up on the recipients account statement

• Company Discretionary Data

• Descriptive Date - This is the date displayed to the receiver for descriptive purposes. For same day payments, this field

may be protected

• Internal Comments – this is does not travel with the ACH payment, but is captured and retained in the Summary Grid

7. Destination Information: In this section you will indicate the receiver’s country and the currency:

• Destination Country – The receiver’s country

• Destination Currency – The currency you would like to send the payments in

8. Beneficiary Information: This section is where you fill out information pertaining to receiver of the ACH:

• Name – Receiver’s name

• ID – Additional piece of information to identify the receiver

• Address – The physical street address of the receiver

• Country – The country of the receiver

• City – The city of the receiver

• Province – The province of the receiver

• Postal Code – The postal code of the receiver

• Bank + Account – Defaults to Bank + Account (IBAN is still needed to be the account number for any payment being

sent to Europe)

• Account Number – The account number of the receiver

• Bank Code Type – The code used to identify the receiving country. CA for Canada, MX for Mexico and SWIFT for Europe

• Bank Code – The receiver’s routing number

• Account Type – Indicates whether the receiver’s account is checking or savings

• Transaction Type – Field used to identify the type of transaction

• Debit/Credit – Only credits can be sent via IAT at this time

• Amount – The dollar amount to be posted to the receiver’s account

• Create Prenote – Do not check. Prenotes are not supported for IAT transactions.

• Hold – Check this box to put this transaction on Hold

9. Additional Information: This section is where you will add any additional information:

• Remittance – Enter in any additional addenda information you would like to send to the receiver

• Internal Comments – this is does not travel with the ACH payment, but is captured and retained in the Summary Grid



International ACH Beneficiary Information Example:

Note: If your ACH is recurring, meaning it should be sent out for the same amount on a defined schedule you can turn on a

schedule within any template by clicking the Make Recurring checkbox, located at the bottom of the template.





CREATING AND MANAGING TEMPLATE GROUPS

With Treasury Center you can create groups of templates. This allows you to access and originate ACH payments from

multiple repetitive templates at one time when you use Quick Entry.

To create a Template Group:

1. Click the Manage Template Groups.

2. Enter a Group Name.

3. Enter a Group Description.

4. To add templates to your group

• Click and hold on the desired template and drag it from the left side to the right side

• Click the checkbox of the desired template(s) and then click Move selected items below the list of templates

5. Click Save.



To Manage a Template Group:

1. Click the Manage Template Groups.

2. Locate your desired Template Group.

2. Click the dropdown next to View in the Actions column.

• You can select Modify and make changes

• You can select to Delete the Template Group



MANAGING YOUR ACH TEMPLATES

The Template List View Widget lists allows you to efficiently view and manage all your ACH templates. From this widget you

can create and save List Views for future use based on criteria such sending account, template status, etc. and determine

what columns and column order you want displayed. Template Summary and Detail views can be exported or printed as a PDF

report as well.

1

2

5 4

3

1. Filter

2. View or Take Action on individual templates

3. Approve, Unapprove, Reject or Delete one, multiple or all templates 4. Choose which columns you want displayed or hidden

5. Access or create new List Views



INITIATING AN INTERNATIONAL ACH PAYMENT

You can initiate a payment from the Payment List View Widget. This guide will focus on initiating a payment from a template

with multiple beneficiaries.

1. Click Add New Payment. You will have two options

• Select a Payment Type – used for one off ACH payments. No originator or beneficiary information is prefilled

• Select a Payment Template – access a pre-established active ACH template

3. Click Select a Payment Template.

4. Use the dropdown or type in your template name and select the desired template. Click Continue.

5. Enter the Value Date.

6. Adjust any beneficiary Dollar Amounts and/or Holds as necessary.

7. Click Submit.

1. Filter on specific beneficiaries

2. Turn on edit amount – ability to tab from beneficiary amount to beneficiary amount a. Edit amounts individual or adjust all amounts by a specific dollar amount or percentage. You can also clear all

beneficiary dollar amounts 3. Choose which columns you want displayed or hidden

4. Choose how many beneficiaries you want to see at one time

1 2 3

4



INITIATING MULTIPLE (REPETITIVE) FILES AT ONCE

You have the option to enter multiple repetitive ACH payments at one time.

1. Click the Quick Entry.

2. Use the dropdown or type in your template name or template group.

3. Enter the Value Date.

4. Enter the Dollar Amount.

6. Click Add Quick Entry to add additional payment.

5. Click Submit.



APPROVING ACH PAYMENTS

To help ensure the accuracy of payments and control of funds, Treasury Center allows a second user to view payments

pending approval, review and decision them. To make this easy we have a loaded a predefined List View named “Payments

Requiring My Approval”. When this List View is selected it will load all payments where you are an approver.

1

1. Predefined List View

2a. Ability to select one, multiple or all payments pending approval

2b. Action buttons to Approve, Unapprove, Reject or Delete payment 3. Click View to review the ACH details and approve from the detail view or click the dropdown next to View and access

the same payment options mentioned above in 2b.

2a

2b

3 ACH - Payroll

ACH – Tax Payment

ACH - Payroll



ACH PAYMENT STATUSES

In the Payment List View widget, the following status might appear to indicate where your payment is in its lifecycle:

Status Description

Approved Approval workflow complete. Not available for modification or deletion. Ready to be picked up by M&T Bank.

Released* Received by M&T Bank. Not available for deletion or modification.

Incomplete Saved in an incomplete status, for later completion. Not available for workflow. Can be modified or deleted.

Needs Repair Needs repair, usually due to an error in a file import validation.

Entered Entered without errors, ready for approval workflow. Can be modified or deleted.

Incomplete Approval Currently in approval workflow. Not available for modification or deletion.

Approver Rejected Rejected by approver. Not available for workflow. Can be modified or deleted.

Deleted Deleted. Not available for workflow or modification.

Approval Window Passed Payment did not get sent out, it was not approved before the cutoff time.

Rejected Rejected by M&T Bank. Not available for workflow, deletion, or modification.

Bank Confirmed Confirmed by M&T Bank. Not available for deletion or modification.

*Released is that last status you see for a successful ACH Payment



CREATING ACH PAYMENT REPORTS

The Payment List View Widget lists allows you to efficiently view, manage and create reports of all your ACH payments. From

this widget you can create and save List Views for future use based on criteria such date, date range, sending account,

payment status, etc. and determine what columns and column order you want displayed. Payment Summary and Detail views

can be exported or printed as a PDF report as well.

1

2

4

1. Filter – by date, date range, sending account, status, etc.

2. View individual ACH payment details – from the detail view you can print or export the payment details

3. Choose which columns are displayed or hidden

4. Print or export ACH payment summary

3



CONTACT US

WE ARE HERE TO ASSIST YOU.

For Treasury Center questions or other Treasury Management services, please contact your Treasury Management

Consultant or call M&T’s Treasury Management Service at:

1 (800) 724-2240

MONDAY – FRIDAY 8AM TO 6PM ET

Documents

M&T Bank Treasury Center® International ACH