Check 21 Act

Check 21 Act
The Check Clearing for the 21st Century Act ( Pub. L. No. 108-100 - signed by President Bush on October 28, 2003). The law facilitates check truncation by creating a new negotiable instrument called a substitute check, which permits banks to truncate original checks, to process check information electronically, and to deliver substitute checks to banks that want to continue receiving paper checks. A substitute check is the legal equivalent of the original check and includes all the information contained on the original check. The law does not require banks to accept checks in electronic form nor does it require banks to use the new authority granted by the Act to create substitute checks. Check 21 is designed to foster innovation in the payments system and to enhance its efficiency by reducing some of the legal impediments to check truncation. American Banker Glossary

Financial and business terms. 2012.

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  • Check 21 Act — The Check Clearing for the 21st Century Act (or Check 21 Act) is a United States federal law, Pub.L. 108 100, that was enacted on October 28, 2003 by the 108th Congress. The Check 21 Act took effect one year later on October 28, 2004. The law… …   Wikipedia

  • check — Ⅰ. check [1] ► VERB 1) examine the accuracy, quality, or condition of. 2) stop or slow the progress of. 3) Chess move a piece or pawn to a square where it directly attacks (the opposing king). ► NOUN 1) an examination to check accuracy, quality,… …   English terms dictionary

  • Check kiting — is the illegal act of taking advantage of the float to make use of non existent funds in a checking or other bank account; it is a form of check fraud. It is commonly defined as intentionally writing a check for a value greater than the account… …   Wikipedia

  • Check — may refer to A small crack in the glass, also known as a check, in the glass container industry Cheque ( Check in U.S. English), an order for transfer of money Check box, a type of widget in computing Check (fabric), a woven fabric having a… …   Wikipedia

  • check-in — (ch[e^]k [i^]n), n. The act of registering as a guest at a hotel, inn, motel. etc; the act of checking in. Used also attributively, as the check in counter at a hotel. [PJC] …   The Collaborative International Dictionary of English

  • check kiting — ˈcheck ˌkiting noun [uncountable] LAW BANKING when someone illegally obtains credit from one of their bank accounts by paying in a cheque from another account, taking money out against this cheque and using it for a few days before having to… …   Financial and business terms

  • Check — (ch[e^]k), v. i. To make a stop; to pause; with at. [1913 Webster] The mind, once jaded by an attempt above its power, either is disabled for the future, or else checks at any vigorous undertaking ever after. Locke. [1913 Webster] 2. To clash or… …   The Collaborative International Dictionary of English

  • check|mate — «CHEHK MAYT», verb, mat|ed, mat|ing, noun, interjection. –v.t. 1. Chess. to put (an opponent s king) in check from which his next move cannot free him, and so win the game. 2. Figurative. a) to defeat completely. b) to stop, frustrate, or defeat… …   Useful english dictionary

  • check-off — Under Section 68 of the Trade Union and Labour Relations (Consolidation) Act 1992, deductions may be made from wages by the employer in the event of a payment to a third party to which the employee consented, e.g. under a union check off… …   Law dictionary

  • check-in — check′ in n. the act or fact of checking in • Etymology: 1915–20 …   From formal English to slang

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