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Prenotification/Notice of Change Processing in SAP-CD

SAP –FSCD Prenotification is a process of transferring a debit or
credit request on a customer’s bank account. A company sends this notification file
to the respective financial bank or financial institution that will perform the
actual validation and later the validation on debits/credits. In the SAP system,
this whole process of validation of Bank information is called prenotification.
The intent of this Prenotification process is to reducing the return records by
actively updating the Bank information of customers by sending the
prenotification file. If there is any change in Bank information of customer it
will come in Return file as Notice of change (NOC).Subsequently this
information gets updated and customer account is debited or credited

In SAP, This functionality is controlled under FICA module. This
functionality is very important in insurance clients where bulk of records
processed via ACH for US customers as well non US Clients.

Prenotification functions are supported in FI-CA, which you
access from the SAP menu, under Periodic Processing → For Contract Accounts →

Key Features of Prenotification process.

(a) Creating Prenotification Files: (Program/TCode: RFKKPNFC00/ FPPNO)

The Bank information is maintained in FPP4, This program creates
a file that contains payment instructions and bank details for customers who
wish to pay by direct debit. It contains a test entry in the amount of zero
that is used for validation purposes. The bank validates the file details and
establishes the payment instructions

(b) Processing Return Files: (Program RFKKPNR00/FPPNR)

A return file sent by the respective bank or institution may include the following information and processed by SAP program  RFKKPNR00

  • Confirmation that all prenotification
    data sent was correct
  • Incorrect data, such as an invalid
    bank account number
  • Update on business partner like
    cancellation of direct debit agreement

You can read the file from interface
or can be manually loaded from system

The above program creates a prenotification lot, and triggers
subsequent processing as specified. To use the program, you must make the
following settings in the Implementation Guide for Contract Accounts Receivable
and Payable, under

Business Transactions → Payments →
Reporting of Incorrect Bank Data

  • Configure Bank Reasons
  • Assign Error Reasons to Institutions
  • Define Screen Variants
  • Enter Programs for changes to Bank Data

You can access ACH Lot for incorrect bank data in FP70 Transaction code. You
can also configured the Layout for Incorrect correct data lot to display the

(c) Displaying Prenotification History: (Transaction code: FPPNH)

This transaction code enables enables you to display all changes
made to data that is relevant for creating prenotifications. This includes data
that was already included in a prenotification file, as well as data for which
no prenotification has been created like :

  • Business partner: bank key, bank
    account key, bank control, reference specifications for bank details, and
    account holder name
  • Master record type bank details ID,
    incoming payment method, payment reference, and own bank details

Whenever you make any change to any of this data, it is stored
and made available in the file creation program.

(d) Update the Processing Status (Transaction FPPNU)

In this Feature, you can additionally select prenotification
records and manually change their processing status as well as specify payment
block information. You can select active prenotification records and specify
any of the following:

  • To be sent
  • Not to be sent
  • No payment block

The file creation program will include selected records in the
prenotification file. You can also select this option if you wish to re-send
prenotifications. The file creation program will exclude selected records from
the prenotification file.

Hope this helps to understand the High level process of Pre note and NOC.



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