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Can you summarize 12A OKST 4-215?
Collection of Items - Depositary and Collecting Banks > Final Payment of Item by Payor Bank - When Provisional Debits and Credits Become Final - When Certain Credits Become Available for Withdrawal
Short Summary
This legal document governs the final payment of items by payor banks, provisional settlements, and the availability of funds for withdrawal. According to the document, an item is considered finally paid by a payor bank when it has paid the item in cash, settled for the item without the right to revoke the settlement, or made a provisional settlement for the item and failed to revoke it within the permitted time. If provisional settlement for an item does not become final, the item is not considered finally paid. Provisional debits or credits for an item entered in accounts between presenting and payor banks become final upon final payment of the items by the payor bank. If a collecting bank receives a settlement for an item that becomes final, it is accountable to its customer for the amount of the item. Credit given by a bank for an item in a customer’s account becomes available for withdrawal as of right under certain conditions. A deposit of money becomes available for withdrawal at the opening of the bank’s next banking day after receipt of the deposit. The document also provides historical data and references to related regulations.
Whom does it apply to?
Payor banks, presenting banks, collecting banks, customers
What does it govern?
Final payment of items by payor banks, provisional settlements, availability of funds for withdrawal
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Oklahoma