General
The terms and conditions in this Customer Account Agreement (the “Agreement”) apply to customers who open an account with ICICI Bank, New York Branch (referred to hereinafter as the “New York Branch,” the “Branch,” “ICICI,” or simply as “we” or “us.” References of a more general nature intended to include head office of ICICI Bank, a bank organized under the laws of India, will use the term “ICICI Bank.” Customers of the Branch may be also referred to in this Agreement as “customers” or as “you,” “your” and “yours.” By completing an application to open an account at the Branch you acknowledge and accept the terms of this Agreement.
This agreement describes certain deposit accounts and some related services of ICICI’s New York Branch, located at 500 Fifth Avenue, New York, NY, whether through ICICI’s website, by telephone, in person or otherwise. The accounts and services described in this Agreement are available only to qualified customers (“Qualified Customers”). “Qualified Customers” include individuals who have made initial deposits of more than $100,000 with the Branch and business entities and individuals from whom the Branch is allowed to accept deposits of less than $100,000 in accordance with federal regulations for a non-FDIC insured branch.
There may be specific conditions applicable to particular accounts and those special conditions may be described herein or in special documents or schedules relating to particular products. In case any special conditions set forth in relation to any particular account differ from these general conditions then those special conditions will apply. Subject to any applicable legal or regulatory requirements, the Branch may discontinue any account or service at any time without notice.
The New York Branch is entitled in its sole discretion to accept or reject applications to open an account in accordance with the terms of this Agreement. This Agreement and any related schedules and documents containing terms and conditions relating to fees or to particular products that may be offered from time to time by the New York Branch are referred to herein as the “Account Documents.” Such Account Documents form the contract between you and the New York Branch and will apply to all accounts and transactions and other activities provided in connection with the banking services of the New York Branch.
If you make use of any of the banking services provided by the New York Branch from time to time, such use will constitute your acknowledgement that you have received and read the Account Documents applicable to you and your account. It will also mean that you have agreed to the terms and conditions set forth herein and therein. You further acknowledge that the Account Documents are applicable to all accounts that you might have with the New York Branch from time to time. Further, you understand that you must make all payments referenced in the Account Documents in money which is legal tender at the time of payment.
A. Binding Contract
When you open or keep open a deposit account with the New York Branch, you agree to the terms and conditions described in this Agreement. Our deposit relationship with you is that of debtor and creditor. This Agreement and the deposit relationship do not create a fiduciary or special relationship between us.
This Agreement and the related account opening documents and disclosures provided to you are part of the binding contract setting forth the terms and conditions of your deposit account relationship with ICICI. A current copy of this Agreement is provided to you when you open an account. Thereafter, you may consult the Branch website, which will post a current copy of the Agreement.
B. Amendments to Agreement
Subject to applicable law, this Agreement and any related documents may be amended by ICICI from time to time. In the event that a change requires that notice be provided to you, it will be provided in accordance with the “Notices” section of this Agreement.
C. Fees and Charges
Subject to applicable law, the Branch may deduct fees, overdrafts and other amounts you owe us under this Agreement from your account or accounts with us. We may make these deductions at any time without prior notice to you. If there are not enough funds in your account to cover the amounts you owe us, we may overdraw your account. You agree to pay immediately all amounts you owe us.
A schedule of fees that may be applicable to deposit accounts and other products made available to you will be separately provided to you or posted on our website. Such fees are subject to change and are part of the binding contract between you and ICICI. We will provide notice to you of any changes in fees as required by applicable law. Further, you agree to pay all service charges that apply to any account or transaction maintained or requested by you, in accordance with the applicable schedule of fees. The New York Branch may charge such fees to your account at the time you incur them or in case such fees are not paid when due.
D. Closing an Account
You or we may close your account at any time without advance notice, except that we may require you to give us seven days advance notice when you intend to close your interest-bearing checking account by withdrawing your funds. You or we may close your time deposit account at maturity without advance notice. If your account reaches a zero balance, we may consider your account closed. This Agreement continues to govern matters related to your account even after your account closes.
If we decide to close your account, we may “freeze” it. If we “freeze” your account, we may return deposits, checks and other items that we receive after it is “frozen”. If your account is blocked or “frozen” at government request or in accordance with requirements imposed by our correspondent bank (Bank of New York or “BONY”), we may follow the instructions of the applicable government agency or Bank of New York, as the case may be. After we close your account, we may mail a check to you at the address we currently show for your statement. If you or we close your account, we may either return deposits, checks and other items that we receive after your account is closed or we may reopen the account and accept the deposit or debit for you, even if doing so overdraws your account, without being liable to you. You agree to pay immediately all amounts you owe us.
E. Access to Accounts
The Account Documents relate only to accounts and transactions with the New York Branch. You acknowledge and agree that the New York Branch may restrict your access to your account or accounts and to any other banking service provided through the New York Branch at any time subject to your compliance with such procedures and/or requirements as may be stipulated by the New York Branch for such services (including, without limitation, a requirement to furnish additional information and/or documentation). You may obtain further information about any such requirements and procedures by contacting the New York Branch.
You may appoint an attorney or other representative or committee to act for you in respect of an account with the New York Branch. However, the New York Branch may refuse to honor any transaction requested by such attorney, representative or committee if their appointment has not been made according to the established procedures of the New York Branch. The New York Branch will describe these procedures to you upon your written request.
At its discretion, and at the present time or in the future, the New York Branch may provide additional means or facilities for access to accounts, products and services offered by the New York Branch. You acknowledge that you will only have access to those accounts and services of the New York Branch for which you have met the requirements of the respective terms and conditions. If you wish to have access to additional services provided by the New York Branch, you agree to provide such additional information or documentation as may be requested by the New York Branch. Details of such requirements and procedures may be obtained by contacting the New York Branch for additional information.
Customer Information
A. Information Provided to the Branch
When you open a deposit account with us, we will treat any information that we receive from you as part of your account record. We will verify the information in accordance with the Branch’s know-your-customer and customer identification program requirements. If you notify us of a change in your information it may take us a reasonable time to reflect the new information on applicable Branch records.
All U.S. financial institutions are required by applicable laws, to obtain, verify and record information that identifies each customer who opens an account with that financial institution.
The Branch is required by law to adopt and follow a privacy policy with respect to certain information that it may receive about you. As described more fully in the statement on our privacy policy, you agree that we may share information that we have about you and your accounts with our affiliates, unless you tell us not to share certain information with our affiliates. We will provide a copy of our privacy policy to you when you open an account. For our current privacy practices and a statement of our privacy policy, please see the information on our website at [www.icicibankusa.com]. The Branch’s policy on handling customer information is described in the privacy policy.
B. Updated or New Information about Customers
The Branch reserves the right to put a hold on your account in order to verify any updated or new personal or business information, as the case may be, that you may provide with respect to your account or accounts with the New York Branch. The Branch also has the right to request such supporting documentation or information as it deems necessary or appropriate to confirm such updated or new personal or business information. The Branch reserves the right to maintain the hold on my account or accounts until such updated or new personal or business information can be confirmed.
C. Use of Credit Reports
Copies of customer credit reports may be requested by the Branch under certain circumstances. We may make any inquiries that we consider appropriate to help us determine if we should open, maintain or close your account. This may include verification of employment and credit reports or other reports from account information services and credit reporting agencies.
If you ask, we will tell you whether we have requested a credit report and, if we did request a report, we will tell you the name, address and telephone number of the reporting agency.
D. Telephone Calls
We may from time to time subject to applicable laws, record or monitor telephone calls between you and us.
E. Information Security
We have adopted reasonable security measures for each method by which you can obtain information about your account, but we cannot ensure against unauthorized inquiries. We do not accept responsibility for the release of information to anyone who has learned your identifying characteristics such as personal identification number (pin), account number or social security number, even if you have not authorized them to obtain the information.
Certain Types of Accounts
A. Joint Accounts
A joint account is an account where more than one person has title to an account. All persons whose names appear on a joint account are co-owners of the account, regardless of whose money is deposited or who makes the deposits. We may rely on the instructions of any co-owner without liability to any other co-owner.
Each co-owner is jointly and severally liable to us for: all fees and charges assessed against the account; all amounts owed to us on the account, such as overdrafts; and all costs, losses or liabilities related to this Agreement or the account.
All funds received by the Branch from or for any co-owner may be credited to the joint account. The Branch may also endorse any bills of exchange or other instruments received from any co-owner of an account.
If the signature card for a joint account designates a joint account as “either to sign,” then the Branch may honor a check or other withdrawal from the joint account that has been signed by any co-owner. If the signature card designates a joint account as “both to sign,” then the Branch may honor a check or other withdrawal from the joint account only if the check or other withdrawal has been signed by both co-owners.
The Branch may stop payment on a check, instrument or other item drawn on a joint account when either co-owner issues a stop payment order.
Notwithstanding the above, stop payment order take effect provided that the Customer giving such instruction provides check number, amount, date of issue, and beneficiary name. In absence of any of the required information the stop payment shall not take effect.
With respect to survivorship, each owner of a joint account is deemed to assign and transfer to both co-owners jointly, and the survivor or survivors of the co-owners jointly, all funds now or in the future on deposit in the joint account. All funds will continue to be the joint property of both co-owners, with the right of survivorship. The death of either one of the co-owners will not affect the right of the survivor to withdraw any funds on deposit in the joint account.
B. Accounts for the Benefit of Others
The New York Branch is not required to recognize anyone other than you as having any interest in your account, except joint account owners when an account is designated as a “joint account.” For example, if by your request, the New York Branch opens an account in your name, but uses “in trust” or “as nominee” or some similar designation, whether or not it is for a specified third party, the New York Branch will only accept instructions for that account from you. The New York Branch is not obligated to obtain permission from any other person.
C. Business Accounts
A “business account” is an account where the owner is a corporation, limited liability company, limited liability partnership, partnership, sole proprietorship or other business entity holding an account in any capacity other than an individual capacity. We have the right to require that any person signing account opening or other account documents is duly authorized to so.
D. Checking Accounts
We offer a variety of personal and business checking accounts including interest-bearing checking accounts (NOW accounts) and non-interest bearing accounts.
E. Interest Bearing Checking Accounts (NOW Accounts)
The interest bearing checking accounts proposed to be offered by the Branch are classified as NOW accounts (Negotiable Order of Withdrawal) and are transaction accounts allowing the bank to pay interest on balances. As per federal law interest bearing checking accounts are available only to sole proprietorships, non profits and government entities. The Branch reserves the right to require a specified minimum notice period before withdrawal of funds is permitted. The New York Branch proposes to offer NOW Accounts and reserves the right to require at least seven days’ written notice prior to withdrawal or transfer of any funds in the account at its discretion. During the notice period, the Branch will not be liable for any dishonored checks and may, in its discretion, restrict other debits from an account.
Interest rates paid on NOW Accounts may be either fixed or linked to an underlying benchmark in accordance with Regulation DD. Currently, with respect to fixed rate interest-bearing checking accounts, the Branch compounds interest daily. The Branch uses the daily-balance method to calculate interest, with the daily rate being 1/365 (or 1/366 in a leap year) of the interest rate.
F. Demand Deposit Accounts
The Branch will offer non-interest bearing demand deposit accounts which may be used as checking accounts.
G. Time Deposit Accounts
Time deposit accounts (certificates of deposit) may be offered by the Branch on such terms and conditions as the Branch may determine from time to time.
H. Terms of Time Deposits
Different interest rates (which may be fixed or variable) may apply to different amounts of funds on deposit and rates are subject to change at any time. Early withdrawal penalties may be applicable. Time deposits will renew automatically unless otherwise stated by the Branch, a grace period may be allowed by the Branch for making any contractual changes. During the grace period, the Branch may choose not to pay interest if funds are withdrawn or the account is not renewed. Customers will be notified prior to the maturity of their time deposits. All certificates of deposit are non-negotiable and non-transferable. Interest rates on variable rate time deposits are subject to change and customers will be notified of applicable changes 30 days in advance or in accordance with such other notice period as may be required by law. The Branch will credit interest on time deposits at maturity or at other intervals depending on the type of time deposit held by the customer.
I. Tax Issues
In accordance with federal regulations, the Branch is required to obtain taxpayer identification numbers and appropriate tax payment undertakings from customers. If you do not provide the Branch with your taxpayer identification number, the Branch will be required to withhold a portion of the amount of interest to be paid on a time deposit each time the interest is credited. In accordance with Internal Revenue Service regulations, interest earned on a deposit account may be reported in a combined year-end statement.
J. Correspondent Account Services
ICICI has entered into an agreement (the “Correspondent Services Agreement”) with BONY to provide clearing, wire transfer and other services with respect to the customer accounts and banking services referenced herein. By signing this Agreement, you acknowledge and agree to be bound by such terms of the Correspondent Services Agreement as may directly or indirectly affect the provision of banking services to you.
You further agree that the New York Branch may present and deliver instruments for payment, clearing, collection, acceptance or otherwise through BONY or otherwise through any bank or other party as the Branch deems appropriate. BONY or such other bank or party shall be deemed to be your agent and the New York Branch will not, in any circumstance, be responsible or liable to you by reason of such service or by reason of the loss, theft, destruction or delayed delivery of any instrument while in transit to or from, or in the possession of BONY or such other bank or party. If the New York Branch or its agent presents an instrument to BONY or another financial institution for payment on your behalf and the other financial institution refuses to recognize or provide payment on that instrument for whatever reason, you will remain responsible for the amount of that instrument deposited with the New York Branch.
K. Electronic Services
Some or all of the banking services referenced herein may, at the discretion of the Branch, be provided through (a) access to a website owned, established and maintained by ICICI Bank, acting through the Branch; (b) telephonic communication systems, including at the discretion of the Branch, key pay initiated communications and/or interactive voice response systems; (c) electronic communications by automated teller machines (“ATMs”) and direct payment point-of-sale terminals; or (d) other devices or equipment which ICICI may designate from time to time for direct banking access. The Branch’s website is the website owned, established and maintained by ICICI Bank located at the URL http://www.icicibankusa.com or such other website as may be designated from time to time as the Branch’s website. You agree to follow such instructions as may be given by the Branch with respect to such electronic services and agree that your use thereof shall be governed by the terms and conditions set forth in this Agreement.
L. Foreign Currency Transactions
You agree to obtain all necessary approvals for any foreign currency transaction and agree that the Branch's performance of its obligations is at all times subject to compliance in such manner as the Branch may think fit with any exchange control or other restrictions or rules in force at the time of, or otherwise affecting, such transaction.
Other Account Features
A. Overdraft and Insufficient Funds
At its discretion, the Branch may offer overdraft protection for a fee.
B. Check Cards, Codes and other Access Services
If the Branch provides a check card, code or other device to provide access to an account, it is the customer’s obligation to use such card, code or device only in the manner and for the purpose it has been provided.
Funds Transfer Services
The Branch has entered into a correspondent banking relationship with BONY to provide wire transfer services to Branch customers. All wire transfers initiated at the Branch will be subject to the terms of the Branch’s correspondent services agreement with BONY and to applicable funds availability provisions of Regulation CC.
We may charge fees for sending or receiving a wire transfer. We may deduct our fees from your account or from the amount of the transfer. For current fees, please see the appropriate schedule of fees posted on the Branch’s website.
A. Fedwire
Fedwire is the electronic funds transfer system of the U.S. Federal Reserve Banks. When you send a payment order or receive a funds transfer, certain banks involved in the funds transfer (including BONY) may use Fedwire. If any part of a funds transfer is carried out by Fedwire, certain rights and obligations of parties to the transfer are governed by Regulation J of the U.S. Federal Reserve Board.
B. Sending Payment Orders
We may select any intermediary bank, funds transfer system or means of transmittal to send your payment orders. Our selection may differ from that indicated in your instructions.
C. Cutoff Times for Payment Orders
The Branch has established certain cutoff times for processing payment orders. We may treat payment orders we receive after a cutoff time as if received the next business day. We tell you our cutoff times upon request.
D. Amending or Canceling Payment Orders
If you decide to cancel a payment order after it is received by the Branch, Branch personnel will make a reasonable effort to follow your instructions. However, the Branch cannot accept any responsibility or liability if a payment order is not canceled. The customer is responsible for any costs, losses or damages incurred by the Branch in connection with a request to cancel a payment or order.
E. Notice of Rejection
We may reject payment orders. We notify you of any rejection orally, electronically or in writing. If we send written notices by mail, we do so by the end of the next business day.
We are not liable to you for the rejection or obligated to pay you interest for the period before you receive timely notice of rejection.
F. Payment Order Questions or Errors
Your account statement will contain information about payment orders made at your request. In some cases, we also may notify you electronically or in writing.
You must notify us at once if you think a funds transfer shown on your statement or notice is incorrect.
G. Receipt of Funds Transfers
When the Branch receives instructions to pay funds to your account, the Branch will notify you by listing the item or items on your account statement.
H. ACH Debits and Credits
From time to time, you may receive Automated Clearing House (“ACH”) credits or debits for your account. For each ACH transaction, you agree that the transaction is subject to the National Automated Clearing House Association (“NACHA”) Operating Rules and any local ach operating rules then in effect.
Statements and Notices
A. Statements
We provide you with a statement when there is activity on your checking or time deposit account. When there is no activity on your account, we may choose not to provide a statement. You must promptly review all statements we provide to you and any accompanying items and notify us immediately of any dispute, error or other problem. We mail your statement to you at the address we have in our records for your account unless or we may provide statements to you electronically. You agree to notify us if you change your address. If one or more statements we mail to you are returned to us, we may stop sending statements until a new address is provided to us. We may destroy statements that are sent to you and returned to us as being undeliverable, along with any accompanying checks and other items. We are not responsible for checks or statements lost while not in our possession.
B. Notices
The Branch will inform you of changes affecting your rights and obligations by providing a notice to you or by posting an appropriate general notice on the Branch’s website. We may include a notice with or on your account statement. For accounts with more than one owner, we may send notices to any one co-owner. A notice sent to any one owner is effective for all.
The New York Branch may provide any notice or other communication required or permitted to be given under this Agreement by mail, telephone, email, fax, website posting or any other physical or electronic means, or by means of any press release, advertisement or other media notices.
Unless otherwise specified in this Agreement, you may provide the New York Branch with notice by mail, email, fax or telephone, at the following address:
ICICI Bank Limited
New York Branch
500 Fifth Avenue
Suite 2830
New York, NY 10110
Telephone: 1866-ICICI-4U or 1866 424 2448
Unless specified otherwise in this Agreement, if notice is provided by ordinary mail, the intended recipient will be deemed to have received the notice on the date that is five (5) business days following the date on which the notice was mailed. In all other cases, the intended recipient will be deemed to have received the notice on the date the notice was sent.
Withdrawal of Funds
A. Your Ability To Withdraw Funds
As more fully described in the Funds Availability Disclosure Statement set forth at Appendix A hereto, the Bank’s policy is to make the funds from your deposits available to you according to a schedule which is based on where the check is drawn and where the deposit is made. For determining the availability of your deposits, every day is a business day, except Saturdays, Sundays and federal holidays. If you make a deposit before 3:00 p.m. local time, or such later time as may be posted on a business day that the Branch is open, we consider that day to be the day of your deposit. However, if you make a deposit after such time, or on a day when the Branch is not open, we consider that the deposit was made on the next business day the Branch is open. For specific information on funds availability, you should refer to Appendix A.
B. Limits on Cash Withdrawals
As more fully described in Appendix A, it is the Branch’s policy to limit certain cash withdrawals. In general, $100 of a deposit is available for withdrawal in cash or by similar means no later than the first business day after the day of deposit.
C. Other Limits on Withdrawals and Fund Transfers
Subject to any applicable notice requirements referenced below and in Appendix A, the Branch reserves the right to limit the scope of withdrawals and funds transfers. Transactions and/or withdrawals may be limited in dollar amounts or otherwise as may be determined by the Branch with or without notice to you in accordance with applicable law and the provisions of Section XII.(O) (Amendments and Changes) of this Agreement.
D. No Waiver of Rights
When we make funds available to you, we are not waiving any rights that we may have under this Agreement or under applicable laws.
E. Insufficient Funds
You are required to ensure that there are sufficient funds for transactions in any account held at the New York Branch. You agree that the Branch will not be responsible for any consequences arising out of the Branch’s failure to carry out transactions due to insufficient funds in your account; provided, however, that the Branch is entitled, in its sole discretion, to carry out transactions, notwithstanding such insufficient funds and without seeking your prior approval or providing notice to you, and you will be responsible for repayment with interest any resulting overdraft, credit or advance thereby created, together with all related costs and charges.
Further, the New York Branch reserves the right at any time to withdraw its provision of any overdraft, credit or advance service with respect to any account, if at any time the amount of deposit falls short of the required minimum balance and/or if any service charges remain unpaid, without giving any notice to you and without incurring any liability or responsibility whatsoever by reason of such withdrawal.
F. Other Delays, Restrictions and Adjustments
Subject to the requirements of applicable law, the New York Branch reserves the right to hold the proceeds of any check, electronic or other transfer of funds to your account and to defer your right to withdraw funds. The New York Branch also reserves the right to refuse to accept a deposit to an account. You acknowledge that the New York Branch my restrict access to your account or refuse to release funds if the New York Branch determines that it is required to do so or if it determines that there is unusual or suspicious activity in any account. The New York Branch may adjust a deposit to an account at any time if a check, instrument or other item is dishonored or not paid for any reason whatsoever. You agree to waive presentment for payment, notice of dishonor, protest and notice of protest on all checks, instruments and other items requiring such action.
Check 21 Issues
A new federal law commonly referred to as “Check 21” applies to deposit accounts that are held by persons identified in the applicable law as “consumers”. The law relates to substitute checks that may be used by banks to replace original checks under certain circumstances. Further information with respect to Check 21 is set forth in Appendix A hereto.
Notices to New York Branch
The Branch understands that its customers have an important responsibility to prevent wrongful use of accounts. If you should find a discrepancy between your records and your account statement, you should contact us immediately, particularly if you suspect any unauthorized activity in your account. If you fail to notify the Branch in a timely manner as described below of a problem, your rights may be limited.
You agree that 60 days after the Branch sends a statement or notice of a particular item (or otherwise makes them available) is the maximum reasonable amount of time for you to review your statement or items and report any problem or unauthorized transaction related to a matter shown on the statement or items. You therefore acknowledge your responsibility to notify the New York Branch, in writing, of any omissions, errors or objections to any account statement or transaction record within 60 days from the date of such statement or transaction. If you do not notify the Branch as required herein, the Branch is entitled to treat account statements and transaction records as complete, current and binding on you and the Branch shall be released from all claims by you in respect of such account statements and transaction records. If any dispute regarding any account or transaction should arise, you agree that the Branch’s records will be admissible records in any legal proceeding for the purpose of evidencing your liability with respect to such account statement or transaction record.
You should also notify us promptly of any change in your address. If we receive notice from the United States Post Office or one of its agents that your address has changed, we may change your address on our records to the address specified by the Post Office and we may send statements and notices regarding your account to that new address.
Certain Other Terms and Conditions of Deposits
A. Accepting Items for Deposit
The Branch may refuse, accept for collection only, or return all or any part of a deposit. When it receives checks or other items for deposit or collection, the Branch is acting as your collection agent and assumes no responsibility beyond the exercise of reasonable care; the Branch is not responsible for errors made by others.
B. Provisional Credit of Deposits
When the Branch receives your deposits, it may provisionally credit an account for the amount declared on the deposit slip, subject to verification. If the Branch determines later that amounts declared on the deposit slip are incorrect, it may make the appropriate debt or credit adjustments.
C. Endorsements
The Branch expects its customers to endorse checks properly. Checks must be endorsed in the area that extends 1½ inches from the bottom edge of the back of the check. If a customer’s endorsement obscures the endorsement of the Branch, the customer will be liable for any checks that are returned late and unpaid.
D. Non-U.S. Checks or Drafts
The Branch may refuse to accept for deposit or collection a check, draft or other item that is payable in a foreign currency or that is drawn on a bank or a branch outside the United States. If the Branch accepts such a foreign instrument for deposit or collection, the customer agrees to bear all the risks associated with the collection process and exchange rate risk.
E. Reversals and Mistakes
If funds to which a customer is not entitled are deposited to a customer’s account by mistake, the Branch may deduct those funds from the account.
F. Use of Account as Collateral
You agree that for so long as you have any outstanding debt or loan owed to the New York Branch, you may not give anyone (other than the New York Branch) a security interest in any funds in an account, whether by assignment, hypothecation, transfer or otherwise.
Processing Transactions
Transactions that you request are not effective until they have been processed by the Branch and, to the extent applicable, by BONY.
A. Check Legends and Endorsements
We are not liable to you for any claims, costs, losses or damages that result from the placement of restrictive endorsements or notations on your checks, or from our disregarding them.
B. Order of Check or Item Processing
We may accept, pay, certify, or charge to the appropriate account checks and other items in any order we choose.
C. Authentication of Signatures
The Branch may use the signature card or a check or other document upon which your signature appears in order to determine whether a signature is authentic.
Miscellaneous Provisions
A. Business Days
Our business days are Monday through Friday, excluding bank holidays. We may switch from one business day to the next business day before the end of the calendar day. Hours of the business day of the Branch are available at the Branch and may be posted on the Branch website.
B. Check and Deposit Slip Forms
The Branch expects its customers to be responsible for verifying the accuracy of all information on your checks and other forms. Our liability, if any, for any printing errors on checks or other forms obtained through us is limited to the cost of replacing the forms. The Branch will not accept liability of any kind with respect to fraudulent activity in your account related to blank checks that you order or obtain from anyone other than the Branch’s approved vendor.
C. Recordkeeping
We will keep copies or electronic records of each check that we post to your account in accordance with recordkeeping requirements applicable to the Branch.
D. Death or Incompetence
You agree to notify us promptly if any owner or authorized signer on your account dies or is declared incompetent by a court. We may place a hold on your account and refuse to accept deposits or permit withdrawals when an owner dies or is declared incompetent. We may hold any funds in your account until we know the identity of the successor.
E. Limitation of Liability
ICICI will be under no obligation to confirm the actual identity of any user of any electronic identification in connection with access to any account or with respect to any transaction requested from or initiated or executed by the Branch. ICICI will not be liable for any unauthorized transactions occurring in a customer’s account and you agree to hold ICICI harmless in accordance with the indemnification section set forth below.
ICICI may cancel or restrict your access to banking services without notice. Under no circumstances will ICICI be liable if banking services are not available to you for reasons including, but not limited to, natural calamities, legal restraints, faults in telecommunications systems or any other reason beyond the control of the Branch. Illegal or improper use of banking services will make you liable for payment of financial claims and charges as determined by the Branch and may result in suspension of your access to banking services.
Neither the New York Branch nor its affiliates (including ICICI Bank and any entity under the control of, or under common control with ICICI Bank) will be liable for any unauthorized transactions occurring on your account and you hereby fully indemnify and hold the New York Branch and its affiliates harmless against any action, suit or proceeding initiated against any of them or any loss, cost or damage incurred by any of them as a result thereof. Illegal or improper use of your account will render you liable for payment of financial charges as decided by the New York Branch and may result in the suspension of your account.
You agree that under no circumstance will the New York Branch be liable for any special, indirect, incidental, punitive or consequential damages, even if the New York Branch had been advised of the same, and under no circumstances will the Branch’s aggregate liability for claims relating to your account, whether for negligence or otherwise, exceed the transaction charges/fees or consideration paid by you to the New York Branch within the preceding twelve (12) months, such amount excluding any sums deposited and/or transferred into or out of your account.
F. Indemnity
In consideration of ICICI providing you with banking services, you will, at your own expense, fully indemnify and hold ICICI harmless against all losses and expenditures that ICICI or its officers, directors, employees, representatives, agents or affiliates, as the case may be, incur, sustain, suffer or are likely to suffer in connection with ICICI’s execution of your instructions and against all actions, claims, demands, proceedings, losses, damages, costs, charges and expenses as a consequence or by reason of providing a banking service or for any action taken or omitted to be taken by ICICI or its officers, directors, employees, representatives or agents at your request. You agree to pay ICICI such amount as may be determined by ICICI to be sufficient to indemnify it against any such loss or expense even though they may not have arisen or are contingent in nature.
Further, you agree, at your own expense, to indemnify, defend and hold harmless ICICI, its directors, officers, employees, representatives or agents to the extent that such claim, suit, action or other proceeding brought against ICICI, its directors, officers, employees, representatives or agents is based on or arises in connection with the use of banking services with reference to: (i) your violation of the terms of any documents relating to banking services; (ii) your unauthorized use of any banking service provided by ICICI; (iii) any misrepresentation or breach of representation or warranty made by you relating to banking services; and (iv) any breach of any covenant or obligation to be performed by you. You agree to pay any and all costs, damages and expenses, including but not limited to, reasonable attorneys’ fees and costs awarded against you or otherwise incurred by or in connection with or arising from any such claim, suit, action or proceeding attributable to any such claim.
You undertake and agree to indemnify fully the Branch against all present and future stamp duties, taxes (but excluding taxation on the Branch 's profits), levies, losses (direct or consequential), costs, charges, interest (both before and after judgment) expenses (including all reasonable attorneys’ fees) and other liabilities incurred by the Branch as a result of or in connection with the execution, delivery, registration, performance or enforcement of the terms of this Agreement or losses and/or damages which the Branch may incur in giving effect to your instructions, including but not limited to losses, damages, costs, expenses and/or charges arising from:
a. the operation of your account(s) or the provision of services hereunder;
b. any breach of trust or other fiduciary obligation binding on you;
c. acting on instructions or orders purportedly given by you or by a person or persons who purport to have been authorized by you;
d. acting or not acting on the basis of any information or instructions given by you where, in either case, the Branch believes in good faith the information or instructions to be given in breach of any duty imposed on you or in excess of powers vested in you; and
e. exercising the Branch 's rights of set-off, consolidation, lien or any other right.
Under no circumstances will ICICI be liable for any damages whatsoever, whether such damages are direct, indirect, incidental or consequential and irrespective of whether any claim is based on loss of revenue, interruption of business or any loss of any character or nature whatsoever and whether sustained by the customer or by any other person.
G. Legal Process
We may accept and act on any legal process that we believe to be valid without any liability by us to you, whether served in person, by mail, by facsimile transmission, or by other means. “Legal process” includes a subpoena, restraining order, injunction, writ of attachment or execution, levy, garnishment, tax withholding order, search warrant, forfeiture or other similar order relating to your account. By signing this Agreement, you acknowledge that you are directing us not to contest the legal process.
H. Right of Setoff
We may generally take funds in your accounts with us that you or others deposit and apply those funds to amounts you owe us. This is commonly referred to as a “setoff.” Our setoff rights are different than, and in addition to, other rights we have under this Agreement to deduct from your account, or charge your account for, amounts you owe us. The New York Branch will have the right of setoff and lien, irrespective of any other lien or charge, present as well as future, on the amounts held in your account or accounts, whether in single name or joint name(s), to the extent of all outstanding claims whatsoever, arising as a result of the services extended by the New York Branch to you and/or used by you, without notice to you.
I. Privacy Policy
You acknowledge that you have received, read and understood the Branch’s privacy policy (the “Privacy Policy”). By using the banking services provided to you by the Branch, whether in relation to a personal or business purpose, you agree to be bound by the terms and conditions of the Privacy Policy.
J. Unclaimed Property
The New York abandoned property law requires us to turn over unclaimed property to the State of New York after a specified period of time. Your account is usually considered abandoned if you have not performed at least one of the following activities for the period of time specified in the relevant provisions of the New York abandoned property law: made a deposit or withdrawal or written to us asking us to keep the account active.
Before we turn over an abandoned account, we may send a notice to the address we currently show for the account statement. If mail we previously sent to this address was returned, we may not send this notice.
K. Delays, Waivers and Severability of Provisions
We may delay enforcing our rights under this Agreement without losing them. No delay in enforcing our rights will affect your obligation to pay us fees and other amounts you owe us under this Agreement. If we waive a provision of this Agreement, the waiver applies only in the specific instance in which we decide to waive the provision and not to future situations or other provisions.
L. Entire Agreement
This Agreement and the documents and schedules to which it refers constitute your and our entire agreement and understanding and supersede all prior agreements and understandings. This Agreement may not be changed orally.
M. Invalidity of Contract Provisions
In the event any one or more of the provisions of this Agreement shall for any reason be held to be invalid, illegal or unenforceable, the remaining provisions of this Agreement shall remain in full force and effect.
N. Applicable Law and Consent to Jurisdiction
The relationship of the Branch with its customers is governed primarily by this Agreement. However, the terms and conditions of this Agreement are also subject to provisions of federal laws of the United States of America that are applicable to federally, licensed branches, applicable rules and regulations of the Board of Governors of the Federal Reserve System and the rules and regulations of the Office of the Comptroller of the Currency. To the extent state law applies to your relationship with the Branch, the applicable law is the law of New York.
You agree that any suit, action or proceeding arising out of or relating to this Agreement may be brought in any federal or state court in New York having jurisdiction over the subject matter of any such suit, action or proceeding and you hereby irrevocably and unconditionally submit to the jurisdiction of such courts. You irrevocably waive and agree not to raise any objection you might now or hereafter have to the bringing of any such suit, action or proceeding in any such court, including, without limitation, any objection that the place were such court is located is an inconvenient forum or that there is any other suit, action or proceeding in any other place relating in whole or in part to the same subject matter. You agree that any judgment or order in any such suit, action or proceeding brought in such a court shall be conclusive and binding upon you and consent to any such judgment or order being recognized and enforced in any court, by a suit, action or proceeding upon such judgment or order, or any other means available for enforcement of judgments or orders, at the option of the New York Branch, provided that service of any required process is effected upon you as permitted by law.
O. Amendments and Changes
Subject to applicable law, the New York Branch may amend this Agreement. If notice of such amendment is required to be provided to you, the effective date for changes contained in such notice will be the date stated in the notice and, if no date is stated, the changes will take effect 30 days from the date of the notice. If you use an account or have funds on deposit in an account or use any other banking service provided by the Branch after the effective date, it will mean that you have agreed to the change.
P. Dispute Resolution
Customer complaints will be handled in accordance with the dispute resolution procedure of the New York Branch. A copy of these procedures may be obtained from the Branch upon written request.
Q. Assignment
You agree that this Agreement is binding on and shall inure to the benefit of my respective successors. You agree not to assign this Agreement.
R. Evidence Regarding Electronic Communication
You understand and agree that a copy of any electronic communication will be admissible in any legal, administrative or other proceedings as conclusive evidence as to the contents of such communication in the same manner as an original document in writing and you hereby waive any right to object to the introduction of any such copy of electronic communication in evidence.
Terms that Apply to Business Customers
If you are a business customer of the New York Branch, you agree to appoint up to three individuals, referred to herein as “Authorized Individuals” who will be the only individuals permitted to transact on the account. If and when access is provided to your account using passwords and PINs, you agree to abide by such requirements and instructions as may be provided by the New York Branch at that time. You agree that any such passwords or PINs belonging to Authorized Individuals must be kept confidential between the Authorized Individual and the New York Branch. The Authorized Individual will be solely responsible for his or her password and PIN security. The New York Branch cannot ensure confidentiality when cellular phones, email or other non-secure methods of conveying instructions are used, as these may be intercepted by third parties. If an Authorized Individual’s password or PIN becomes known for any reason, by any other person, the Authorized Individual must immediately notify the New York Branch. The business customer and/or the Authorized Individual will remain liable for all transactions occurring before the New York Branch is notified.
All business customers are required to comply with such security procedures as may be prescribed for electronic communications with the Branch and must take any other steps reasonably necessary to prevent unauthorized access to and use of means of electronic communication with the New York Branch, including, without limitation, preventing unauthorized access to the PIN and password. All business customers are required to, at all times, have in place and maintain commercially reasonable procedures designed to prevent, detect or avoid losses due to forged or unauthorized signatures, fraud or theft in relation to the operation of any account, including, without limitation, instructions and instruments relating to any account.
Funds Availability Disclosure Statement
When Funds are Available for Withdrawal
A. Your Ability To Withdraw Funds
The Bank’s policy is to make the funds from your deposits available to you according to a schedule which is based on where the check is drawn and where the deposit is made. For determining the availability of your deposits, every day is a business day, except Saturdays, Sundays, and federal holidays. If you make a deposit before 3:00 p.m. local time, or such later time as may be posted on a business day that the Branch is open, we consider that day to be the day of your deposit. However, if you make a deposit after such time, or on a day when we are not open, we consider that the deposit was made on the next business day we are open.
The following chart shows the availability schedule of check deposits, depending on whether they are local, non-local or Govt/Treasury checks and other deposits like cash, Electronic Direct Deposits and Fund Transfers:
| Deposit Type |
Bank Routing Number |
When Funds are Available |
When Funds are available if the day of deposit is Monday and assuming no intervening Federal Holidays. |
| 1. Cash and checks payable to you drawn on ICICI Bank NY Branch. |
-------- |
Same Day as the date of Deposit |
Monday |
| 2. Funds from electronic direct deposits and funds transfers (wires). |
-------- |
The day the Bank receives the final credit of the deposit. |
-------- |
3.
* U.S. Treasury checks that are payable to you.
* State and local government checks that are payable to you and are deposited in an account in the same jurisdiction that issued the check.
* Cashier’s, certified and teller’s checks that are payable to you.
* Federal Reserve Bank checks, Federal Home Loan Bank checks and postal money orders that are payable to you. |
Any Routing number (applicable to checks only) |
First Business day: (a) after the day of the deposit of checks. |
Tuesday |
| 4. Other Local checks |
0210, 0212, 0214-0216, 0219, 0260, 0280, 2212, 2214-2216, 2219, 2260, 0213, 0220, 0223, 2213, 2220, 2223, 0310, 0311, 0312, 0313, 0319, 0360, 2310, 2311, 2312, 2313, 2319, 2360. |
1) Lesser of $100 or the aggregate amount of the checks deposited, on the first business day after the date of deposit.
2) Balance on the second business day after the date of deposit. |
1. Tuesday
2. Wednesday |
| 5. All other non-local checks, i.e., other than those in item no.2 |
Routing Numbers other than those in item no.3 |
1) Lesser of $100 or the aggregate amount of the checks deposited, on the first business day after the date of deposit.
2) Balance on the fifth business day after the date of deposit. |
1. Tuesday
2. Wednesday
|
Until funds are available according to the chart you may not withdraw the funds in cash, and the Bank may choose not to use the funds to pay checks you have written or other withdrawals or transfers you have authorized.
B. Special Rules For New Accounts
If you have been banking with us for 30 days or less, you are considered a new customer and special rules apply to you regarding funds availability. For the first 30 calendar days after your account has been opened, any check covered by items 4 & 5 as of the above chart will be available to you on the 7th business day after the date of deposit.
C. Longer Delays May Apply
In some other cases we will not make all of the funds that you deposit by check available to you by the above chart. Funds availability in respect of items 4 and 5 of the chart may be delayed beyond the specified time periods for their normal availability for any of the following reasons:
• We believe a check you deposit will not be paid.
• You deposit checks totaling more than $5,000 on any one business day. This exception can also be invoked for deposits covered under item 3 of the chart.
• You redeposit a check that has been returned unpaid.
• You have overdrawn your account repeatedly in the last six months.
• There is an emergency, such as failure of communications or computer equipment.
We should normally be able to make funds available to you for your deposits as per the timeframes given in the chart. If we are not able to do so due to some reason, we shall advise you:
• Immediately on your placing the deposit, if you placed the deposit in person at our branch counters.
• By mail, one day later, if the same was not done at the time of deposit or if we made the decision soon after you left the premises; or
• If we came to know of handicaps/defects subsequently, by mail, one day after our coming to know of such handicaps.
We shall notify you if we delay your ability to withdraw funds for any of these reasons, and we will tell you when the funds will be available.
D. Other Provisions of This Agreement
The fact that we make funds available to you does not waive any of our rights under the law or this Agreement. For example, although we made funds from a deposited check available to you and you withdrew the funds, you are still responsible for problems with the deposit. If the check is returned to us unpaid for any reason, we may charge your account for the amount of the check.
Substitute Checks and Your Rights
The following provisions help explain some of your rights under a new federal law commonly referred to as Check 21. This disclosure applies only to accounts held by consumers.
A. What is a 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 law with respect to those transactions.
B. What are my rights regarding substitute checks?
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 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 under 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, bounced check fees).
The amount of your refund under this procedure is limited to the amount of your loss or the amount of the substitute check, whichever is less. You also are 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 received your claim and the remainder of your refund (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.
C. How do I make a claim for a refund?
If you believe that you have suffered a loss relating to a substitute check that you received and that was posted to your account, please contact us at the phone number listed on your bank statement, or write to us at:
ICICI Bank Limited, New York Branch
500 Fifth Avenue
Suite 2830
New York, NY 10110
You must contact us within 40 calendar days of the date that we mailed (or otherwise delivered by a means to which you agreed) the substitute check in question or the account statement showing that the substitute check was posted to your account, whichever is later. We will extend this time period if you were not able to make a timely claim because of extraordinary circumstances.
D. Items that must be included in a claim:
• A description of why you have suffered a loss (for example, you think the amount withdrawn was incorrect);
• An estimate of the amount of your loss;
• An explanation of why the substitute check you received is insufficient to confirm that you suffered a loss; and
• A copy of the substitute check or the following information to help us identify the substitute checks: the check number, the name of the person to whom you wrote the check, the amount of the check and the date of the check.
• Funds Transfer Services
The following provisions apply to funds transfers you send or receive through us, but do not apply to electronic fund transfers governed by Regulation E of the U.S. Federal Reserve Board.
The Uniform Commercial Code includes provisions relating to funds transfers. These provisions define the following terms: funds transfer, payment order and beneficiary. These terms are used here as they are defined in Article 4A of the Uniform Commercial Code – Funds Transfers as adopted by the state whose law applies to the account for which the funds transfer service is provided. In general: A funds transfer is the process of carrying out payment orders that lead to paying a beneficiary. The payment order is the set of instructions given to us to transfer funds. The beneficiary is the person or business who receives the payment.
We may charge fees for sending or receiving a funds transfer. We may deduct our fees from your account or from the amount of the transfer. For current fees, call us at the number for Customer Service on your statement or ask a banking center representative.
E. Fedwire
Fedwire is the electronic funds transfer system of the U.S. Federal Reserve Banks. When you send a payment order or receive a funds transfer, we or other banks involved in the funds transfer may use Fedwire. If any part of a funds transfer is carried out by Fedwire, your rights and obligations are governed by Regulation J of the U.S. Federal Reserve Board.
F. Cutoff Times for Payment Orders
We have cutoff times for processing payment orders. Cutoff times vary depending on the particular office of our bank and the type of payment order. We may treat payment orders we receive after a cutoff time as if received the next business day. We tell you our cutoff times upon request.
G. Amending or Canceling Payment Orders
You may not amend or cancel a payment order after we receive it. If you ask us to do this, we may make a reasonable effort to act on your request. But we are not liable to you if, for any reason, a payment order is not amended or canceled. You agree to reimburse us for any costs, losses or damages that we incur in connection with your request to amend or cancel a payment order.
H. Inconsistency of Name or Number
The beneficiary’s bank may make payment to the beneficiary based solely on the account or other identifying number, even if the name on the payment order differs from the name on the account. We or an intermediary bank may send a payment order to an intermediary bank or beneficiary’s bank based solely on the bank identifying number, even if the payment order indicates a different bank name.
I. Sending Payment Orders
We may select any intermediary bank, funds transfer system or means of transmittal to send your payment orders. Our selection may differ from that indicated in your instructions.
J. Notice of Rejection
We may reject payment orders. We notify you of any rejection orally, electronically or in writing. If we send written notices by mail, we do so by the end of the next business day.
We are not liable to you for the rejection or obligated to pay you interest for the period before you receive timely notice of rejection.
K. Errors or Questions About Your Payment Orders
We notify you about funds transfers by listing them on your account statement. In some cases, we also may notify you electronically or in writing.
You must notify us at once if you think a funds transfer shown on your statement or notice is incorrect. You must send us written notice, including a statement of relevant facts, no later than 14 days after the date you receive the first notice or statement on which the problem or error appears.
If you fail to notify us within this 14-day period, we are not liable for any loss of interest because of an unauthorized or erroneous debit or because your statement or notice is incorrect. We are not required to compensate you, and we are not required to credit or adjust your account for any loss of interest or interest equivalent.
L. Receiving Funds Transfers
We may receive instructions to pay funds to your account. We may receive funds transfers directly from the sender, through a funds transfer system or through some other communications system. This includes wire transfers, ach transfers that may be sent through an ach system or processed directly to an account with us.
M. Provisional Payment Rule
Under Automated Clearing House (ach) rules, funds transfers sent through ach are provisional and may be revoked prior to final settlement. You agree to these rules.
If the funds transfer is revoked before final settlement, we may charge your account for the amount credited. The person who sent the payment order is considered not to have paid you. If this happens, we do not send a separate notice; we report the information on your account statement.
N. Notice of Funds Transfer
We notify you that we have received funds transfers by listing them on your account statement. We send statements by mail or electronically. We are not obligated to send you a separate notice of each incoming funds transfer. While we generally do not provide such separate notices, we may do so on occasion, in which case we send the notice within two business days after we credit your account. If you are expecting a funds transfer and want to find out if it has been credited to your account, call us at the number for Customer Service on your statement.
O. Certain Debits and Credits
From time to time, originators that you authorize may send ach credits or debits for your account. For each ach transaction, you agree that the transaction is subject to the National Automated Clearing House Association (nacha) Operating Rules and any local ach operating rules then in effect. You agree that we may rely on the representations and warranties contained in these operating rules and either credit or debit your account, as instructed by the originator of the ach transaction.
Processing Transactions – Deposits and Cashed Items
Transactions that you perform are not effective until we process them.
A. Cashing Items or Accepting Items for Deposit
We may accept a check or other item for deposit to your account from anyone. We do not have to question the authority of the person making the deposit. If your account is overdrawn, we may use the deposit to pay the overdraft and any fees you owe us.
We may refuse, accept for collection only, or return all or part of any deposit. We may refuse to accept for deposit to your account items payable to another person. In receiving checks or other items for deposit or collection, we act only as your collecting agent and assume no responsibility beyond the exercise of due care, including care in selecting collecting banks. We are not responsible for errors and delays made by others in the collection process. If we have given you credit for an item and it is not paid for any reason, we may revoke the credit and charge the amount of the item back to your account, even if this causes your account to be overdrawn. When you send us deposits by mail, we may treat them as received at the time we receive actual delivery of deposits sent by mail.
If we cash, or accept for deposit, a money order, cashier’s check or similar item and we later learn that the item is fraudulent, counterfeit or invalid for some other reason, we may charge your account for the amount of the item. This may occur even if we previously made the funds available to you.
B. Deposit Error Correction
When we receive your deposits, we may provisionally credit your account for the amount declared on the deposit slip, subject to later verification by us. You must ensure that the amount declared on the deposit slip is correct even if you did not prepare the deposit slip. If later we determine that the amounts declared on the deposit slip are incorrect, we may adjust (debit or credit) your account. We report adjustments on your account statement. However, if the error in completing the deposit slip was inadvertent and is less than our standard adjustment amount, we will not adjust the deposit unless you notify us of the error within one year of the date of your periodic statement that shows the deposit. After this notice period has passed without your bringing an error to our attention, the deposit amount indicated on the statement will be considered finally settled. That is, if the actual amount deposited was less than the amount declared on the deposit slip, the difference will become your property and if the actual amount deposited was more than the amount declared on the deposit slip, the difference will become our property. We may change our standard adjustment amount from time to time without notice to you.
C. Endorsing Checks
We may accept for deposit checks payable to any signer on your account when endorsed by any other signer. We may endorse checks for you that we receive for deposit.
We restrict both how you endorse checks that you ask us to cash or deposit and what you may place or have preprinted on the back of checks. If you place or imprint information on the back of the check, it may overlap into the area reserved for the banks’ endorsements. If it becomes necessary for us to return one of your checks, the material placed on the back of the check may interfere with the bank endorsements and cause delays in returning the item. You agree to reimburse us for all claims, costs, losses and damages that result from late return of a check due to material entered on the back of the check that obscured or interfered with our or another bank’s endorsement.
You must endorse checks in the area that extends 11/2 inches from the trailing edge of the back of the check. The trailing edge is the left side of the check when you look at it from the front. If your endorsement obscures our bank’s endorsement, you are liable for checks that are returned late and unpaid.
D. Foreign Instruments
The processing and collection of foreign instruments are not subject to United States laws or regulations. We may refuse to accept for deposit or collection a check, draft or other item that is payable in a currency other than U.S. dollars or that is drawn on a bank or a branch of a bank located outside of the United States (a “foreign instrument”). If we accept a foreign instrument for deposit or collection, you bear all the risks associated with the collection process and foreign currency fluctuation (exchange rate risk).
E. Identifying the Account
You must correctly identify the account to which you want funds deposited. You are responsible for any claim, cost, loss or damage caused by your failure to properly identify the account to which a deposit is made or intended to be made. We may credit an account based solely on the account number listed on the deposit slip or other instruction to credit an account, even if the name on the deposit slip or other instruction differs from the name on the account.
F. Lost Checks
When we cash a check for you or accept a check for deposit to your account, we are acting as your agent in collecting the check. We are not responsible if the check is lost or delayed in the collection process. If a check is lost during the collection process, we may charge your account for the amount of the check. If the financial institution on which the check is drawn gives us a photocopy of the check or a debit slip representing the check, we may charge your account for the amount of the check.
A lost check may not be returned to us for some time. Despite any delay, we may charge your account when we receive either the returned check, a copy of the check, or a notice of return.
G. Overpayments and Reversals
If funds to which you are not entitled are deposited to your account by mistake or otherwise, we may deduct these funds from your account. If there are not enough funds in your account, we may overdraw your account and charge an overdraft fee. If the funds were transferred from your account, we may reverse the transfer. We can do this without giving you any prior notice or demand.
H. Returned Items
If a cashed or deposited item is returned to us at any time for any reason, including for any breach of warranty claim, or according to any law, regulation or rule (including a clearinghouse rule), by the bank on which it is drawn or any collecting bank, we may accept that return and charge the item back against your account without regard to whether the other bank finally paid the item or returned the item in accordance with any applicable midnight deadline or clearinghouse rule. We may debit your account for any interest you may have provisionally earned on the item. We may charge you a fee for each returned item. Different fees may apply to domestic and foreign items.
Processing Transactions – Withdrawals
Transactions that you perform are not effective until we process them.
A. Check Legends
Some customers order checks printed with legends, or notations, such as “not valid after 60 days” or “not valid over $1,000.” We may also receive checks on which conditions or other notations are written. We may disregard these instructions and pay the item even if the condition or other notation has not been met. We are not liable to you for any claims, costs, losses or damages that result from the placement of these restrictions or other notations on your checks, or from our disregarding them.
B. Check and Item Processing Orders
We may accept, pay, certify, or charge to the appropriate account checks and other items in any order we choose.
When you do not have enough available funds in your account to cover all of the checks and other items presented that day, some processing orders may result in more insufficient funds items and more fees than others. We may choose our processing orders in our sole discretion and without notice to you, regardless of whether additional fees may result.
C. Collection Items
When another financial institution submits to us for collection an item drawn on your account, we may charge the other financial institution a fee. When you do not have enough funds in your account for us to process a collection item drawn on your account, we may charge you an overdraft or returned item fee.
D. Examining Checks
You agree that automated processing of your checks is reasonable and that you accept responsibility for preventing and reporting forgeries, alterations, and other unauthorized uses of your checks or accounts. You agree that the exercise of ordinary care will not require us to detect forgeries or alterations that could not be detected by a person observing reasonable commercial standards.
Since some types of check fraud have become more difficult to detect, we may elect in some cases to make further inquiries about certain checks or other paper items which are presented for payment against your account. If we are unable to contact you, or take other steps, to determine with reasonable certainty that these payments are authorized by you, we may return the checks or other paper items unpaid without any liability by us to you.
E. Foreign Currency
You may not write checks or other withdrawal orders on your account, which order payment in a foreign currency.
F. Paying Checks and Other Items
We may debit your account for a check or other item drawn on your account either on the day it is presented to us for payment, by electronic or other means, or on the day we receive notice that the item has been deposited for collection at another financial institution – whichever is earlier. If you do not have sufficient available funds to cover the item, we decide whether to return it or to pay it and overdraw your account.
G. Sample Signature
To determine the authenticity of your signature, we may refer to the signature card or to a check or other document upon which your signature appears. We may use an automated process to reproduce and retain your signature from a check upon which your signature appears. If you create your own checks, or obtain them from someone else, and we cannot accurately verify your signature on a check by comparing it with a check that posted to your account, you are responsible for any losses that may result from our inability to use that check to verify your signature.
H. Stale-Dated and Postdated Checks
If a stale-dated check – that is, a check dated more than six months in the past – is presented for payment against your account, we may pay the check and charge it to your account. If a postdated check – a check dated in the future – is presented for payment, we may pay the check and charge it to your account even if it is presented for payment before the date stated on the check. If you do not want us to pay a stale-dated or postdated check, you must place a stop payment order on it.
I. Substitute Checks
In some cases, we may be sent a substitute check or an image of your check, instead of the original item. We may act upon presentment of a substitute check, or image of your check and pay these items against your account, just as if the original item had been presented.
J. Unpaid Items
If we decide not to pay a check or other item drawn on your account, we may return the original or a copy of the item or we may send an electronic notice of return and keep either the original or a copy of the item in our records. If we send an electronic notice of return, you agree that any person who receives that electronic notice may use it to make a claim against you to the same extent and with the same effect as if we had returned the original item.
