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Can you summarize IACO 554.4215?
UNIFORM COMMERCIAL CODE > 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, part of the Iowa Code’s Uniform Commercial Code, governs the final payment of an item by a payor bank. It outlines the conditions under which an item is considered finally paid, including payment in cash, settlement without the right to revoke, or failure to revoke provisional settlement within the permitted time. The document also specifies that if provisional settlement does not become final, the item is not considered finally paid. It further explains that provisional debits or credits for the item become final upon final payment by the payor bank. Additionally, the document addresses the accountability of collecting banks for settled items, the availability of funds for withdrawal, and the availability of deposits for withdrawal. Overall, this document establishes the rules and procedures for the final payment and availability of funds in banking transactions.
Whom does it apply to?
Payor banks, presenting banks, successive prior collecting banks, and collecting banks' customers
What does it govern?
Final payment of item by payor bank
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Iowa