NCTracks has corrected the system issue and is regenerating the affected 835 files. If your practice received Medicaid payments earlier this year, it’s important to understand what happened, whether you are affected, and how to handle the corrected files when they become available.
What is an 835?
An 835 is an Electronic Remittance Advice (ERA) file. It explains how a Medicaid payment was calculated, including which claims were paid, denied, or adjusted; how much was paid; and why amounts may have been reduced, reversed, or recouped. In short, the 835 is what allows billing systems to post and reconcile Medicaid payments correctly.
What does “out‑of‑balance 835 remittance file” mean?
An 835 is considered out of balance when the total payment amount in the file does not match the sum of the individual claim‑level payments and adjustments listed inside the file. When this happens, it can be difficult or impossible to post payments accurately, reconcile deposits, or trust that the ERA truly reflects the payment received.
What is “negative claim activity”?
Negative claim activity usually includes recoupments, voids, reversals, or adjustments where money is taken back. These transactions are common in Medicaid billing, but they must be calculated precisely. In this case, negative claim activity contributed to the 835 files being out of balance.
The issue affects 835 remittance files with check or payment dates between January 6, 2026 and March 10, 2026. If your practice received NC Medicaid payments during this period, your 835 files may be incorrect even if the deposit amount itself appears right.
NCTracks has identified and corrected the underlying system problem. To fix the issue, NCTracks is regenerating all affected 835 remittance files.
The regeneration is scheduled to occur on March 12 and March 13, 2026, and the corrected 835 files will be available on or before March 15, 2026. These regenerated files are intended to fully replace the original, out‑of‑balance remittances.
Expect replacement 835 files.
The regenerated 835s will replace the original versions and should now balance correctly, including claims with negative adjustments.
Use caution if you already posted payments.
If your billing team already posted payments using the original 835 files, or noticed discrepancies that did not make sense, you may need to reconcile or re‑post those payments using the regenerated files. Practices should also watch carefully for duplicate postings in their practice management or EHR system.
To avoid compounding errors, practices should not rely on original 835 files with payment dates between January 6 and March 10, 2026. Once the regenerated files are available, download them and reconcile payments carefully, paying close attention to recoupments, takebacks, and adjusted claims.
If amounts still do not reconcile after using the regenerated 835s, contact the NCTracks Provider Call Center or flag the issue internally for audit tracking and follow‑up.
Taking time now to verify and correct posting will help prevent downstream reporting issues, audit concerns, and inaccurate patient or payer balances later.