Exam 29: Bank Deposits,collections,and Funds Transfers

Helen deposits a $50 check in her account at First Bank at 4:00 on Friday.The bank is closed on Saturday and Sunday,but opens again on Monday.The midnight deadline for First Bank would be:

Sylvia draws a check on ABC Bank payable "to the order of Willow Watson." Willow indorses it and deposits it in First Bank.First Bank is a:

In most cases,the collecting bank is the same as the payor bank.

Banks like electronic funds transfers because they eliminate the float time that a drawer enjoys on a checking account and the paperwork involved in processing checks.

If Ben Stewart has a checking account at First Bank:

Theresa has just started working as a teller for First Bank.A man comes into the bank with a $100 check that is eight months old.She goes to the manager to ask whether she should pay it.If you were the manager,what would you advise her? Explain.

A system for electronic funds transfers (EFT)in which machines are located in a merchant's store and are activated by the consumer's identification card and code is known as:

Under the Competitive Equality Banking Act,a nonlocal check must clear in no more than four intervening business days.

Which of the following is/are excluded from UCC Article 4A coverage?

Tania calls her bank to issue an oral stop payment order on a check on March 1.She then leaves town for two weeks to visit her mother.When she returns,she goes to the bank to sign a written stop payment order,but finds the bank has already paid the check.What recourse does she have? Explain,citing provisions in Article 4.