Substitute Check. A paper reproduction of a check that contains an image of the front and back of the check and meets the other technical requirements for a substitute check under Check 21 and Federal Reserve Board Regulation CC.
Substitute Check. The Check Clearing for the 21st Century Act (“Check 21”) enables financial institutions to send checks to each other electronically, and enables the Credit Union to receive a paper copy of the electronic check (called a “substitute check”). Financial Institutions receive substitute checks when a deposited check is deposited to an account and that check is returned unpaid, the check is returned to the depositing institution in the form of a substitute check. Substitute checks are the legal equivalent of a paper check for all purposes. The Credit Union is not required to create substitute checks, but must accept them. The substitute check will state, “This is a legal copy of your check. You can use it in the same way you would use the original check.” You will be provided with a disclosure that a substitute check is the legal equivalent of an original check, along with the member rights that apply when a member in good faith believes that a substitute check was not properly charged to his/her account.
Substitute Check. To make check processing faster, federal law permits banks to replace original checks with "substitute checks." These checks are similar in size to original checks with a slightly reduced image of the front and back of the original check. The front of a substitute check states: "This is a legal copy of your check. You can use it the same way you would use the original check." You may use a substitute check as proof of payment just like the original check. Some or all of the checks that you receive back from us may be substitute checks. This notice describes rights you have when you receive substitute checks from us. The rights in this notice do not apply to original checks or to electronic debits to your Account. However, you have rights under other law with respect to those transactions. So you will recognize substitute checks when you receive them, we have included an image of a sample substitute check. The numbers listed below the image correspond with the numbers on or near the substitute check image and the corresponding text explains the various components of a substitute check. These numbers correspond with the numbers on the Substitute Check Image: • An image of the original check appears in the upper right-hand corner of the substitute check. • A substitute check is the same size as a standard business check. • The information in asterisks relates to the “reconverting bank”—the financial institution that created the substitute check. • The information in brackets (appears sideways facing check image) relates to the “truncating bank”— the financial institution that took the original check out of the check processing system. • The Legal Legend states: This is a LEGAL COPY of your check. You can use it the same way you would use the original check. • The MICR lines at the bottom of the image of the original and at the bottom of the substitute check are the same except for the “4” at the beginning of the MICR line on the substitute check, which indicates that it is a substitute check being moved forward for collection purposes. It is also possible for the MICR line on the substitute check to begin with a “5” if the item is being returned. The rest of the MICR line is the same as the original check to ensure that it is processed as though it were the original.
Substitute Check. It is the legal equivalent of the original paper check. It is a picture of our original paper check, turned into an electronic image – similar in size with a slightly reduced image. The front of the check states, “This is a legal copy of your check. You can use it the same way you would use the original check.” A substitute check is the equivalent of the original paper check with all of the rights and obligations of the original check it replaces. Some or all of the checks that you receive back from us may be substitute checks. This notice describes the rights you have when you receive substitute checks from us. The rights in this notice do not apply to original checks or to electronic debits to your account. However, you have rights under other law with respect to those transactions. In certain cases, federal law provides a special procedure that allows you to request a refund for losses you suffer if a substitute check is posted to your account (for example, if you think that we withdrew the wrong amount of money from your account or that we withdrew money from your account more than once for the same check). The losses you may attempt to recover from this procedure may include the amount that was withdrawn from your account and fees that were charged as a result of the withdrawal (for example, overdraft fees). The amount of refund under this procedure is limited to the amount of your loss or the amount of the substitute check, whichever is less. You are also entitled to interest on the amount of your refund if your account is an interest bearing account. If your loss exceeds the amount of the substitute check, you may be able to recover additional amounts under other laws. If you use this procedure, you may receive up to $2,500 of your refund (plus interest if your account earns interest) within 10 business days after we receive your claim and the remainder (plus interest if your account earns interest) not later than 45 calendar days after we received your claim. We may reverse the refund (including any interest on the refund) if we later are able to demonstrate that the substitute check was correctly posted to your account.
Substitute Check. It is the legal equivalent of the original paper Check. It is a picture of our original paper Check, turned into an electronic image – similar in size with a slightly reduced image. The front of the Check states, “This is a legal copy of your Check. You can use it the same way you would use the original Check.”
Substitute Check. A paper reproduction of an Original Check that (1) contains an image of the front and back of the Original Check; (2) bears a MICR line that, except as provided under the applicable Standard, contains all the information appearing on the MICR line of the Original Check at the time that the Original Check was issued and any additional information that was encoded on the Original Check’s MICR line before an image of the Original Check was captured; (3) conforms in paper stock, dimension, and otherwise with ANS X9.100-140 (unless the FRB by rule or order determines that different standard applies); and (4) is suitable for automated processing in the same manner as the Original Check.
Substitute Check. A paper reproduction of an original check that:
(a) Contains an image of the front and back of the original check;
(b) Bears a MICR line that contains all the information appearing on the MICR line of the original check at the time that the original check was issued and any additional information that was encoded on the original check’s MICR line before an image of the original check was captured;
(c) Conforms in paper stock, dimension, and otherwise; and
(d) Is suitable for automated processing in the same manner as the original check.
Substitute Check a paper reproduction of an item that satisfies the requirements and definition of “substitute check” set forth in Regulation CC.
Substitute Check. To make check processing faster, federal law permits banks to replace original checks with “substitute checks.” These checks are similar in size to original checks with a slightly reduced image of the front and back of the original check. The front of a sub- stitute check states: “This is a legal copy of your check. You can use it the same way you would use the original check.” You may use a substitute check as proof of payment just like the original check. Some or all of the checks that you receive back from us may be substitute checks. This notice describes rights you have when you receive substitute checks from us. The rights in this notice do not apply to original checks or to electronic debits to your account. However, you have rights under other law with respect to those transactions.
Substitute Check. An exact electronic image of the front and back of a check or other negotiable item, which may be submitted electronically for processing. The item must meet the criteria of an Image Replacement Item.
