The IT Law Wiki
Advertisement

Definition[]

A substitute check (also known as a substitute check (Check 21) or an Image Replacement Document (IRD)) is

a paper reproduction of the original check that —

(A) contains an image of the front and back of the original check;

(B) bears a MICR line containing all the information appearing on the MICR line of the original check, except as provided under generally applicable industry standards for substitute checks to facilitate the processing of substitute checks;

(C) conforms, in paper stock, dimension, and otherwise, with generally applicable industry standards for substitute checks; and

(D) is suitable for automated processing in the same manner as the original check.[1]

References[]

  1. 12 U.S.C. §5002(3)(16).
Advertisement