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Can you summarize MTCO 30-4-213?
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, part of the Montana Code under the Uniform Commercial Code Bank Deposits and Collections, governs the final payment of items by payor banks, the process by which provisional debits and credits become final, and the availability of credits for withdrawal. It applies to payor banks, presenting banks, successive prior collecting banks, collecting banks, and customers. The document specifies that an item is finally paid by a payor bank when it is paid in cash, settled without the right to revoke the settlement, or provisionally settled and not revoked within the permitted time. Provisional debits or credits for an item become final upon final payment of the item 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, and any provisional credit given becomes final. 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. The document does not mention any specific exemptions or penalties.
Whom does it apply to?
Payor banks, presenting banks, successive prior collecting banks, collecting banks, customers
What does it govern?
Final payment of items by payor banks, provisional debits and credits becoming final, availability of credits for withdrawal
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Montana