A supplier was paid twice by ACH: document the recovery separately

Compare both bank references with the approved invoice and payment batch. Two similar amounts can represent separate invoices, a replacement after a failed attempt or a genuine duplicate. Check the bank status for each item and preserve the original payment-file confirmations. A duplicate row in an export is not proof that cash left twice.

Once confirmed, prevent another payment against the same bill while the recovery is handled. Contact the bank promptly with the original references and ask about the available correction route. Nacha permits reversals for certain sender errors, including duplicates, within specific conditions and time limits. The bank or service provider should confirm whether this payment qualifies and how it must be submitted.

The bank may process a permissible reversal, or the supplier may agree to return the overpayment or apply it to a future invoice. Record which route is active. If treasury requests a reversal while accounts payable separately asks for a refund, the company could recover the same excess twice and create a new obligation to the supplier.

A reversal request is not proof of recovery. Keep the expected return separate from available cash until the bank evidence supports it. If the supplier proposes a credit against future purchases, obtain a clear written agreement identifying the amount and invoices covered. Consider whether the business expects to make those purchases before accepting that arrangement.

Tell the relationship owner what happened and what the supplier has agreed. Give them a single contact for follow-up. Avoid blaming the supplier for a payment-file error while the finance team is still establishing the cause.

Review the ledger with the accountant. A genuine duplicate payment ordinarily needs to be distinguished from the underlying expense and tracked as an amount recoverable or another appropriate balance. Do not enter a second supplier bill merely to match the second bank debit. Preserve the approval and payment history for both movements.

When cash returns, match it against the recovery balance. Separate bank charges and any difference from the principal amount, and obtain review of unresolved amounts. If a future invoice absorbs the credit, show that application explicitly so the invoice is not paid in full again during the next payment run.

The reconciliation should tell the whole story: the legitimate settlement, the excess payment, the agreed recovery and the final resolution. Keep the evidence in the accounting file even if the bank portal later removes the detailed transaction view.

Trace whether the second instruction came from a repeated file upload, a manual payment outside the scheduled run, an invoice imported twice or a mistaken response to an uncertain status. Each cause needs a different correction. An invoice duplicate check will not prevent someone from resubmitting an otherwise valid payment file after losing the bank confirmation.

Record the control change with a named owner. Examples include retaining file acknowledgments, checking the last released batch before resubmission, requiring an exception approval for manual payments or confirming settlement before reissuing an uncertain payment. Test the revised process with a harmless walkthrough using historical records.

For the next close, ask an independent reviewer to check the recovery balance and the relevant payment batch. Leave the incident open if cash is still missing, the supplier has not accepted the credit arrangement or the process change has not been put into use.