Notice to Federal Program Agencies Paying Recurring Benefits

Time Limit on Processing ACH "Reclaims"

The Financial Management Service has established a time limit for agencies to submit ACH "Reclaims" via the FMS-135, Request for Debit. An ACH "Reclaim" represents a debit against a financial institution for certain liability on payments disbursed after the death of a beneficiary.

Effective January 2, 2008, agencies will have three (3) years from the date the FMS-133, Notice of Reclamation, is dated to submit ACH "Reclaims" to our Austin and San Francisco Regional Financial Centers (RFCs). Items older than three years will be rejected by PACER and will not be processed.

Before any ACH "Reclaim" action is initiated against a financial institution, a federal agency must make every attempt to collect from anyone who withdrew funds from the decedent's account after his/her death.

Your support is appreciated. Should you have questions, please contact either our Austin RFC at (512) 342-7581, or San Francisco RFC at (510) 594-7179.