R10 | Customer advises unauthorized
This code indicates the receiver advised their bank that the debit entry was unauthorized, prompting the RDFI to return it.
What This Code Means
R10 is an unauthorized return category indicating the receiver, through the RDFI, has reported the debit as unauthorized. It is commonly used in contexts where the receiver asserts they did not authorize the transaction or that it did not align with what they authorized. This code reflects a dispute-driven return outcome rather than a processing failure such as insufficient funds or invalid account information. It does not, by itself, confirm intent or wrongdoing by any party; it records the receiver’s unauthorized claim. The return signals that the debit is not accepted for settlement under the receiver’s reported authorization status.
Where Users Usually See This Code
- ACH return reports for consumer debits
- Subscription payment failures flagged as disputed/unauthorized
- Processor notifications identifying unauthorized return categories
Why This Code Appears
- Receiver states they did not authorize the debit
- Receiver does not recognize the originator or transaction context
- Authorization terms are disputed (amount, timing, or frequency mismatch)
- Receiver requests return under unauthorized debit provisions
What Typically Happens Next
- The debit is returned with R10 through normal ACH return flows
- The originator receives the return via the ODFI and updates status to returned/disputed
- Further debit attempts may result in additional unauthorized returns if the underlying dispute remains
What This Code Is Not
- It is not “authorization revoked” (see R07), which implies prior authorization existed and was withdrawn
- It is not a stop payment instruction (see R08)
- It is not a funds availability issue (see R01/R09)
Troubleshooting Checklist
- □ Review internal authorization records and transaction descriptors associated with the debit
- □ Document the return for reconciliation and compliance tracking
- □ Follow your established dispute-handling workflow for unauthorized returns
- □ Avoid assuming the underlying cause beyond what the return code communicates
Notes And Edge Cases
Unauthorized return mapping can differ by RDFI and by how the receiver describes the issue, which can lead to R05 versus R10 in similar situations. Some unauthorized claims relate to recognition and disclosure rather than the presence of a signed authorization, and the return code alone does not capture these details. Timing of dispute submission and processing windows can influence when the return appears in originator reporting. Repeated unauthorized returns can occur if recurring debits continue after a dispute is raised.