R37

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High-Priority Return Code

This ACH return code serves as a critical safeguard against duplicate payments in check conversion transactions. R37 occurs specifically with ARC (Accounts Receivable Conversion), BOC (Back Office Conversion), and POP (Point of Purchase) entries when the original paper check has been presented for payment while an electronic ACH entry based on that same check is also being processed. This prevents customers from being charged twice for the same transaction.

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Error message: "The source document to which an ARC, BOC, or POP entry relates has been presented for payment."

What Causes ACH Return Code R37?

The R37 ACH return code means "Source Document Presented for Payment" and indicates that both the original paper check and its electronic ACH conversion have been processed for payment. This return code applies specifically to check conversion transactions using ARC, BOC, or POP Standard Entry Class codes, where businesses convert paper checks into electronic ACH transactions.

R37 returns occur when timing issues or communication gaps result in dual processing - the physical check gets deposited or cashed while the electronic version is also being processed through the ACH network. This return code acts as an essential safeguard to prevent customers from being debited twice for the same payment, maintaining the integrity of the payment system.

Can You Retry R37 Payments?

You cannot retry R37 payments because the customer has already paid via the original paper check. The return indicates that payment has been received through the physical check, so no additional payment is needed. You should verify that the original check payment was processed successfully and update your records accordingly.

Common Causes

Original paper check was deposited while ACH conversion was also processed

Timing delays between check conversion and physical check presentment

Communication breakdown between different payment processing channels

Customer deposited check after authorizing electronic conversion

Processing delays that allowed both payment methods to overlap

Key Information

Return timeframe: Up to 60 calendar days following settlement date

Specific to ARC, BOC, and POP check conversion entries only

Customer can request immediate credit for duplicate payment

No retry needed - payment already received via original check

Requires written customer statement under penalty of perjury

How to Respond to an R37 Code

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An R37 return indicates successful payment via the original check, requiring verification of payment receipt and updating records to reflect that the customer has already paid.

When Your Customer's Payment Fails

Verify Original Check Payment
Confirm that the physical check was successfully processed and the payment was received through traditional banking channels.
Update Payment Records
Mark the customer's account as paid since they have already provided payment via the original paper check.
Reconcile Duplicate Processing
Review your check conversion procedures to understand how both the physical and electronic versions were processed simultaneously.
Communicate with Customer
Inform them that their payment was received via the original check and no additional payment is required.

Email Template

Subject: Payment Processing Issue - New Payment Method Needed

Hi [Customer Name],

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We received notification that your recent payment was processed via your original paper check rather than the electronic conversion. This is completely normal and means your payment was successful.

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Your account has been updated to reflect the payment received from your original check. No additional payment is required, and there's no action needed on your part.

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This sometimes occurs when both the physical check and electronic processing happen simultaneously. Our systems prevented any duplicate charges, so you can be confident you were only charged once.

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Thank you for your payment!

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[Your Company Name]

When Your Payment to Vendors Fails

An R37 return on vendor payments means the vendor's original check was processed while you also attempted electronic conversion. This confirms the vendor has been paid via their original check, so no additional payment is needed.

Verify that the vendor's original check payment was successfully processed and received
Update your accounts payable records to reflect payment via the original check method
Review your check conversion procedures to prevent simultaneous processing in the future
Confirm with the vendor that they received payment and update their account status accordingly