Can I collect bank account information from participants in Missouri? What are the requirements?

Yes, you can collect bank account information from participants in Missouri, but there are requirements that you must follow.

Requirements for Collecting Bank Account Information in Missouri

According to [1.2]" >MORS 400.4-402, a payor bank may dishonor an item that would create an overdraft unless it has agreed to pay the overdraft. A payor bank is liable to its customer for damages proximately caused by the wrongful dishonor of an item. Liability is limited to actual damages proved and may include damages for an arrest or prosecution of the customer or other consequential damages.

Additionally, [3.1]" >MOCS 20 CSR 100-6.100 outlines the Privacy of Financial Information in Missouri. This rule is designed to effectuate, interpret, and carry out the provisions of section 362.422, RSMo, regarding the disclosure of nonpublic personal information in violation of Title V of the Gramm-Leach-Bliley Financial Modernization Act of 1999.

Therefore, to collect bank account information from participants in Missouri, you must ensure that you have agreed to pay any overdrafts and that you comply with the Privacy of Financial Information rule.

I hope this helps!

Source(s):

• [1.2] Bank’s liability to customer for wrongful dishonor — time of determining insufficiency of account.
• [3.1] Privacy of Financial Information

Jurisdiction

Missouri

• Privacy