A customer informed us by email in Aug. '09, that some of his checks were fraudulently signed by someone else in 2007. The customer said he told us in 2007, but we have no record that he did so. Our signature cards say that someone has sixty days to inform us of fraud. What is our position? Are we liable?
We have a customer who sent a check for payment to a specific company. Company says they did not receive check, however, we found that check had been paid and endorsed by someone else not related to the payee company. Endorsement is not as drawn and not a forged endorsement. What course of action do we take for the customer?
Why is it that most banks that originate outgoing wire transfers require a physical address (no PO boxes) for the beneficiary? Is this a compliance requirement and if so, where is it established? I have looked at Reg J, the UCC, the BSA exam manual and the travel rule without much luck. The latter proved more helpful than the others, but still offered little justification for the requiring of the beneficiary's physical address. In this regard, the rule states that the originating bank is only required to retain "beneficiary information provided by the requestor" which may or may not include an address. Any help in determining how and/or why this no "PO box policy" was derived would be greatly appreciated.
I am trying to review all the rules and procedures associated with returning forged or fake checks to the BFD. How much time do we have and what are the important factors we must account for? Aside from UCC 4-207 and 4-208, is there anything else we should consider? I'm recreating procedures from scratch and would like it to be thorough.
What are the risks to financial institutions if the merchant doesn't obtain proper endorsement or follow appropriate endorsement standards?
How many days does a financial institution have to return an altered item? We have returned one after five business days and received a late claim return and would like to know our return rights.
How long does a commercial business have to claim a forged signature?
Loan A to John Doe is secured by a UCC filing for inventory and accounts. Loan B made to John Doe a year later is cross collateralized with the same collateral. Loan A has the original security agreement and Loan B does not get a new security agreement. We reference the original security agreement from Loan A in the Promissory Note of Loan B. Is this correct or should we prepare a new security agreement with Loan B even though the UCC was filed a year prior to Loan B being made? If Loan A pays off and we move the security agreement over to Loan B are we perfected?
I have a question regarding the reissue of a cashier's check. We closed a CD for a customer and mailed the monies via cashier's check. The check is lost in the mail. Since the bank is the purchaser, can I reissue the check with the customer signing an affidavit of lost check? What is our liability?
Is it necessary to have a chattel mortgage on a mobile home loan when you have filed the lien perfection?