Missouri Revised Statutes













Chapter 400

Uniform Commercial Code

←400.04-214

Section 400.4-215.1

400.04-216→

August 28, 2015

Final payment of item by payor bank--when provisional debits and credits become final--when certain credits become available for withdrawal.

400.4-215. (a) An item is finally paid by a payor bank when the bank

has first done any of the following:



(1) paid the item in cash;



(2) settled for the item without having a right to revoke the settlement

under statute, clearing-house rule, or agreement; or



(3) made a provisional settlement for the item and failed to revoke the

settlement in the time and manner permitted by statute, clearing-house rule,

or agreement.



(b) If provisional settlement for an item does not become final, the item

is not finally paid.



(c) If provisional settlement for an item between the presenting and

payor banks is made through a clearing house or by debits or credits in an

account between them, then to the extent that provisional debits or credits

for the item are entered in accounts between the presenting and payor banks or

between the presenting and successive prior collecting banks seriatim, they

become final upon final payment of the item by the payor bank.



(d) If a collecting bank receives a settlement for an item which is or

becomes final, the bank is accountable to its customer for the amount of the

item and any provisional credit given for the item in an account with its

customer becomes final.



(e) Subject to (i) applicable law stating a time for availability of

funds and (ii) any right of the bank to apply the credit to an obligation of

the customer, credit given by a bank for an item in a customer's account

becomes available for withdrawal as of right:



(1) if the bank has received a provisional settlement for the item, when

the settlement becomes final and the bank has had a reasonable time to

receive return of the item and the item has not been received within that

time;



(2) if the bank is both the depositary bank and the payor bank, and the

item is finally paid, at the opening of the bank's second banking day

following receipt of the item.



(f) Subject to applicable law stating a time for availability of funds

and any right of a bank to apply a deposit to an obligation of the depositor,

a deposit of money becomes available for withdrawal as of right at the

opening of the bank's next banking day after receipt of the deposit.



(L. 1992 S.B. 448)







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