12 C.F.R. § 229.36 Presentment and issuance of checks.
Title 12 - Banks and Banking
(a) Payable through and payable at checks. A check payable at or through a paying bank is considered to be drawn on that bank for purposes of the expeditious return and notice of nonpayment requirements of this subpart. (b) Receipt at bank office or processing center. A check is considered received by the paying bank when it is received: (1) At a location to which delivery is requested by the paying bank; (2) At an address of the bank associated with the routing number on the check, whether in magnetic ink or in fractional form; (3) At any branch or head office, if the bank is identified on the check by name without address; or (4) At a branch, head office, or other location consistent with the name and address of the bank on the check if the bank is identified on the check by name and address. (c) [Reserved] (d) Liability of bank during forward collection. Settlements between banks for the forward collection of a check are final when made; however, a collecting bank handling a check for forward collection may be liable to a prior collecting bank, including the depositary bank, and the depositary bank's customer. (e) Issuance of payable-through checks. (1) A bank that arranges for checks payable by it to be payable through another bank shall require that the following information be printed conspicuously on the face of each check: (i) The name, location, and first four digits of the nine-digit routing number of the bank by which the check is payable; and (ii) The words “payable through” followed by the name of the payable-through bank. (2) A bank is responsible for damages under §229.38 to the extent that a check payable by it and not payable through another bank is labelled as provided in this section. (f) Same-day settlement. (1) A check is considered presented, and a paying bank must settle for or return the check pursuant to paragraph (f)(2) of this section, if a presenting bank delivers the check in accordance with reasonable delivery requirements established by the paying bank and demands payment under this paragraph (f)— (i) At a location designated by the paying bank for receipt of checks under this paragraph (f) that is in the check processing region consistent with the routing number encoded in magnetic ink on the check and at which the paying bank would be considered to have received the check under paragraph (b) of this section or, if no location is designated, at any location described in paragraph (b) of this section; and (ii) By 8 a.m. on a business day (local time of the location described in paragraph (f)(1)(i) of this section). A paying bank may require that checks presented for settlement pursuant to this paragraph (f)(1) be separated from other forward-collection checks or returned checks. (2) If presentment of a check meets the requirements of paragraph (f)(1) of this section, the paying bank is accountable to the presenting bank for the amount of the check unless, by the close of Fedwire on the business day it receives the check, it either: (i) Settles with the presenting bank for the amount of the check by credit to an account at a Federal Reserve Bank designated by the presenting bank; or (ii) Returns the check. (3) Notwithstanding paragraph (f)(2) of this section, if a paying bank closes on a business day and receives presentment of a check on that day in accordance with paragraph (f)(1) of this section, the paying bank is accountable to the presenting bank for the amount of the check unless, by the close of Fedwire on its next banking day, it either: (i) Settles with the presenting bank for the amount of the check by credit to an account at a Federal Reserve Bank designated by the presenting bank; or (ii) Returns the check. If the closing is voluntary, unless the paying bank settles for or returns the check in accordance with paragraph (f)(2) of this section, it shall pay interest compensation to the presenting bank for each day after the business day on which the check was presented until the paying bank settles for the check, including the day of settlement. [Reg. CC, 53 FR 19433, May 27, 1988, as amended by 54 FR 32047, Aug. 4, 1989; 55 FR 21855, May 30, 1990; 57 FR 46972, Oct. 14, 1992; 60 FR 51671, Oct. 3, 1995; 62 FR 13810, Mar. 24, 1997; 64 FR 59613, Nov. 3, 1999]
Title 12: Banks and Banking
PART 229—AVAILABILITY OF FUNDS AND COLLECTION OF CHECKS (REGULATION CC)
Subpart C—Collection of Checks
§ 229.36 Presentment and issuance of checks.
