Common use of REMOTELY CREATED CHECKS OR DRAFTS Clause in Contracts

REMOTELY CREATED CHECKS OR DRAFTS. A remotely created check or draft is generally created by a third-party payee as authorized by the owner of the account on which the check or draft is drawn. Authorization is normally made over the telephone or through on-line communication. A remotely created check or draft is not signed by the owner on the account. The remotely created check or draft usually bears a statement that the owner authorized the check or draft or bears the owner’s printed or typed name. If you authorize a third party to draw a remotely created check or draft against your account, you may not later revoke or change your authorization. It is your responsibility to resolve any authorization issues directly with the third party. We are not required to credit your account and may charge against your account any remotely created check or draft for which the third party has proof of your authorization.