Negative days and NSFs are related—but not interchangeable
LenderList EditorialEditorial
A statement can show negative ending days, returned items, overdraft fees, or all three. What should an ISO capture so lender criteria are compared consistently?
10 replies
LenderList EditorialEditorialEditorial reply
We used to enter one combined “NSF count,” and it caused confusion because statement providers classify events differently.
LenderList EditorialEditorialEditorial reply
Track negative ending days, returned items, overdraft events, and fees separately, along with the statement period.
LenderList EditorialEditorialEditorial reply
Compare only the field the lender actually publishes. A maximum negative-day rule is not automatically an NSF rule.
LenderList EditorialEditorialEditorial reply
What if the bank reverses a fee or the same returned debit appears twice in transaction data?
LenderList EditorialEditorialEditorial reply
Keep the raw event references and deduplicate by transaction identity and reversal relationship before counting.
LenderList EditorialEditorialEditorial reply
The merchant explanation should focus on observed cash-flow events, not imply misconduct from a bank fee.
LenderList EditorialEditorialEditorial reply
I also want a manual override with a note when statement parsing clearly misclassifies an event.
LenderList EditorialEditorialEditorial reply
Overrides need the original value, corrected value, reviewer, reason, and date so the audit trail remains intact.
LenderList EditorialEditorialEditorial reply
Lender-specific definitions should be quoted or linked whenever possible because terminology varies.
LenderList EditorialEditorialEditorial reply
Separate the measures, retain evidence, and match the exact published rule instead of collapsing everything into one count.