Terms and Conditions.

Mobile Check Deposit - Terms and Conditions

This is an excerpt from the Online and Mobile Financial Services Agreement that you agreed to when you enrolled in Online and Mobile Banking. The full version of the agreement is available by selecting “Statements and Docs” from the main menu, then “Terms and Conditions.”

Mobile Check Deposit

U.S. Bank Mobile Check Deposit is a service that allows you to remotely deposit paper checks into an eligible Consumer or Business Account by creating an Electronic Deposit through our Remote Deposit Capture System. We will process and collect the Electronic Deposit through the check collection system just as we would a paper check.

Definitions

“Check Image” means an electronic image of an original paper draft (check), payable on demand, and drawn on (or payable through) an office of a United States bank.

“Capture Device” means the computer hardware (scanner), mobile device (camera), software, or web-based applications used by you to prepare a Check Image, create an Electronic Deposit, and access the Remote Deposit Capture System.

“Electronic Deposit” means the package of information (including the Check Image, dollar amount information, deposit account information, etc.) that is transmitted to us allowing for the deposit, processing, and collection of the item.

“MICR Data” means information from the Magnetic Ink Character Recognition stylized printing on the bottom of checks comprising of routing, transit, account, and check serial numbers.

“Remote Deposit Capture System” means our computer systems and databases that you may access in order to use Mobile Check Deposit.

Your Responsibility

With respect to each Electronic Deposit that you transmit to us, you indemnify and hold us, our affiliates and other Service Providers and each of our and their respective officers, directors, employees and agents harmless from and against any and all claims, demands, damages, losses, liabilities, penalties and expenses (including, without limitation, reasonable attorney fees and court costs at trial or on appeal) arising directly or indirectly:

  • From your failure to follow the eligibility or endorsement standards outlined in this Agreement;
  • From your breach of any check presentment representation or warranty;
  • As a result of any of your acts or omissions in the capturing, creation, or transmission of the Electronic Deposit;
  • From any duplicate, fraudulent, or unauthorized presentment of an Electronic Deposit;
  • For any loss caused by our acceptance of the Electronic Deposit in lieu of the original paper check; or
  • From any other act or omission arising out of our action or inaction taken pursuant to any request by you or pursuant to this Agreement.

If you believe you may have deposited a check more than once, please call us immediately at a number listed at the end of this Agreement.

Security Procedures – You must comply with all security procedures for Mobile Check Deposit that are established by us or set forth in any written user requirements communicated to you. You are solely responsible for:

  • Maintaining your own internal security procedures for maintaining, marking, destroying paper items deposited using Mobile Check Deposit.
  • Safeguarding the security and confidentiality of any information obtained from your deposited checks that may be printed from, stored on, or transferred from, the Capture Device, the Remote Deposit Capture System, or your other computer/data systems or portable media; and
  • Preventing errors or unauthorized access to the Capture Device or the Remote Deposit Capture System.

Our Responsibility

Availability – We will take reasonable measures to ensure that Mobile Check Deposit is available, but we are not liable for system failures or temporary service disruptions that cause Mobile Check Deposit to be unavailable. If Mobile Check Deposit is unavailable; you are responsible for carrying out your business through alternative channels. Further, we are not liable for any inaccurate or incomplete information with respect to transactions which have not been completely processed or posted using Mobile Check Deposit.

We are not liable to you for a failure to process an Electronic Deposit, or any error that results in processing or collecting an Electronic Deposit:

  • For which you have not provided us with full and correct MICR Data and dollar amount from the original paper check;
  • For which you have not provided an accurate and legible image of the original paper check,
  • For which you have failed to comply with formatting standards or other guidelines required by us; or
  • That would violate this Agreement or any other agreement between you and us.

Determination of Items Eligible for Mobile Check Deposit

You may only create a Check Image of items made payable to you individually or to you alternatively with another person or persons (John Doe or Jane Doe); jointly payable items (John Doe and Jane Doe) may not be deposited using Mobile Check Deposit unless both parties have endorsed the item (see additional endorsement standards below). Without limiting the preceding sentence, we reserve the right to reject any deposit for any reason and the following items are specifically not eligible for deposit using Mobile Check Deposit:

  • U.S. Treasury Checks,
  • Checks, including travelers checks, that are drawn on banks located outside of the United States,
  • Checks payable in a medium other than U.S. dollars,
  • Non-cash items (as defined under Section 229.2(u) of Federal Reserve‚Äôs Regulation CC),
  • Promissory notes and similar obligations, such as savings bonds,
  • Third party checks,
  • Pre-existing substitute checks,
  • Checks that have been previously returned as unpaid or uncollected,
  • Checks drawn on your own U.S. Bank account,
  • Checks greater than 180 days old,
  • Checks that contain erasures or checks that have been altered; and
  • Any other class of checks or drafts as communicated to you from time to time.

Creating an Electronic Deposit

Endorsement – The check must be properly endorsed by the payee(s) of the check and the check must be deposited into an account of one of the payees. Each payee must sign his or her name along with the printed words “For Deposit Only” and the account number to which the check will be deposited.

Accuracy – You are responsible for creating an accurate Check Image and inputting the correct dollar amount of the check into the Capture Device.

In creating the Check Image, ensure that the MICR Data, check number, and name of the maker of the check are commercially printed on the check. Any defects such as tears or alterations may prevent the Capture Device from creating an accurate Check Image, causing the Electronic Deposit to be rejected. If you receive error messages indicating that the Electronic Deposit has been rejected, then the check must be physically deposited at your local bank branch or ATM.

Legibility – You are responsible for the inspection of all Check Images to ensure the legibility of the Check Image including without limitation the dollar amount, the signature of the person who made the check, and for ensuring that any and all information on the paper check is accurately captured and legible in the resulting Check Image.

If any information is not accurately captured and legible, you may cancel the scan/photograph and rescan/re-photograph the physical check. Any physical check that continues to yield an illegible Check Image after repeated scanning/photographing attempts must be physically deposited at your local branch.

Security Features – You acknowledge that the Capture Device may not capture all security features (e.g., watermarks) contained in or on the original paper checks, and you must manually examine the paper item to determine authenticity prior to creating a Check Image or submitting an Electronic Deposit. You agree to assume any and all losses resulting from claims based on security features that do not survive the image process.

Submitting an Electronic Deposit

Confirmation and Receipt – Within minutes of submitting an Electronic Deposit, you will receive a message from us confirming that we have accepted the Electronic Deposit. After we have confirmed receipt of your deposit, you will receive a second message from us indicating whether your deposit has been accepted for processing or rejected.

Performance of Mobile Check Deposit may be affected by external factors such as communication network latency. An Electronic Deposit is not considered “accepted” until the entire Electronic Deposit transmission is received by us and you receive a message confirming that the Electronic Deposit was accepted.

Deposit Limits

You are limited in the amount that you may deposit at any given time using Mobile Check Deposit. The following deposit limits apply to each account:

  • Per Item Limit – Limits the value of each item that you deposit and applies to each separate item that you deposit.
  • Daily Limit – Limits the total combined value of all items deposited in a single Business Day. Deposits made after the daily cutoff time or on a non-Business Day (as explained in the “Funds Availability” section below) will apply to the daily limit of the next Business Day.
  • Weekly Limit – Limits the total combined value of all items deposited in a single week. For the purposes of deposit limits a “week” is defined as the current Business Day plus the four previous Business Days.

The deposit limits vary depending on many factors including your deposit history and the length of your relationship with us. Deposit limits are subject to change as we continually evaluate these factors. Your current deposit limits will always be displayed within the user interface at the time of deposit.

Fees and Charges

There may be additional fees and charges for using Mobile Check Deposit these fees are described within the user interface and in the Online and Mobile Financial Services Fee Guide. You agree to pay all such fees and charges associated with Mobile Check Deposit and authorize us to deduct the calculated amount from your U.S. Bank account(s). Fees will only be assessed if the Electronic Deposit is accepted for processing and we reserve the right to waive or change fees as we deem appropriate.

Funds Availability

This policy only applies to deposits made using Mobile Check Deposit deposits made at a branch location or ATM remain subject to the Funds Availability Policy outlined in the most current version of Your Deposit Account Agreement.

We are not liable for transactions you initiate before the funds are available for your use. Until you receive confirmation that the funds are made available, you may not withdraw the funds in cash and we may not use the funds to pay items that you have written or honor other withdrawals you request. If we pay items that you have written or honor other withdrawals before funds are available to you, we may charge a fee for this.

Mobile Check Deposit is available 24/7/365, but the funds availability of the accepted deposit is subject to the following processing cut-off times:

  • Deposits submitted and accepted before 9:00 p.m. Central on a Business Day – generally, the first $200 of your total daily deposits will be available immediately and the balance of your total daily deposits will be available on the next available Business Day.
  • Deposits submitted and accepted after 9:00 p.m. Central on a Business Day (or items deposited on a non-Business Day) – these deposits will not be processed until the next available Business Day, which will be considered the recorded day of your deposit. Generally, we will make the first $200 of your total daily deposits available on the recorded day of deposit with the balance of your total daily deposits available on the next available Business Day.

In certain circumstances, and at U.S. Bank's discretion, the deposit may be delayed for a longer period under the following circumstances:

  • We believe a check you deposit will not be paid.
  • You deposit checks totaling more than $5,000 on any one day.
  • You have overdrawn your account repeatedly in the last six months.
  • There is an emergency, such as failure of computer or communications equipment.

We will 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. In general, funds delayed for the above reasons will be available no later than the seventh Business Day after the recorded day of your deposit.

Please remember that even after the item has “cleared,” we have made funds available to you, and you have withdrawn the funds, you are still responsible for items you deposit that are returned to us unpaid and for any other problems involving your deposit.

Returned or Rejected Items

Returns – If a check that is deposited using Mobile Check Deposit is returned to us for any reason (such as non-sufficient funds); you agree that we may charge your account for any and all fees associated with the returned item.

Rejections – We will notify you whether your deposit is accepted or rejected; you will not be charged the service fee for rejected items. Items that are rejected for deposit using Mobile Check Deposit may be re-presented for deposit at a physical branch of U.S. Bank.

Collection of an Electronic Deposit

Electronic Deposits are processed similarly to traditional deposits; Mobile Check Deposit does not process Electronic Deposits through ACH conversion. We will determine the manner in which we will seek to collect an Electronic Deposit and we reserve the right to process an Electronic Deposit by any of the following methods:

  1. Present or transfer the Check Image to the paying bank, a Federal Reserve Bank, image share/exchange network, or other collecting bank;
  2. Create a Substitute Check from the Check Image and collect the Substitute Check; or,
  3. Request that you provide to us the original paper check from which the Check Image was created and then collect the original paper check.

We may, in our sole discretion, reject, repair, alter, amend, re-format or convert the Check Image or MICR Data submitted in an Electronic Deposit in accordance with general check collection practices and industry presentment standards, but we have no obligation to do so. If we require that you comply with certain formatting standards or other guidelines when submitting Electronic Deposits and you decline to implement, or comply with, such standards or guidelines, you acknowledge that we are not liable for any error or loss that results from our processing of such Electronic Deposit or any delays caused from our re-formatting or conversion of the Electronic Deposit prior to processing. We will have no liability to you or any other person in the event that your deposited check is processed as, or converted by us to, a Check Image or Substitute Check.

Marking, Retaining, and Destroying Original Paper Checks

To mitigate the risk of potential fraud or the presentment of duplicate items, you agree to clearly mark on the original paper check that the item has been deposited electronically. Items should be marked after you receive confirmation that the deposit was received and accepted for processing by U.S. Bank.

Destruction – You must destroy the original paper check in accordance with this Agreement and employ commercially reasonable methods to securely store the original paper check until destruction. You agree to securely store all deposited checks in a location away from daily processing activities. To help ensure that checks are not electronically processed more than once or physically deposited at the bank after being electronically deposited, you will establish procedures to ensure that only authorized persons have access to these checks.

Retention – Retain all checks for at least seven Business Days after the deposit is made in case a check is returned and you need to collect on the check by re-depositing the original item. You agree to destroy all deposited checks as soon as reasonably possible thereafter and no later than 30 days after deposit. Cross-cut shredding is strongly recommended for check destruction. At our request, you must provide the original paper check to us if the original paper check has not been destroyed by you and we need the original paper check to process a payment or resolve a dispute arising from an Electronic Deposit.

Re-presentment – In the event we, in our sole discretion, determine that we require the original paper check for re-presentment in order to collect a returned Check Image or Substitute Check, you are responsible for providing to us the original paper check, or if the original paper check has been destroyed, for obtaining a replacement check.

Representations and Warranties

With respect to each Electronic Deposit that you transmit to us, you are deemed to make any representation or warranty that would have applied had you deposited the original paper check. In addition you are deemed to make to us any representation or warranty that we make, under applicable law, clearinghouse rule, Federal Reserve Operating Circular, bi-lateral agreement or otherwise, to any person (including without limitation a collecting United States bank, a Federal Reserve Bank, a Receiving Depository Financial Institution, a paying bank, a returning bank, the drawee, the drawer, any endorser, or any other transferee) when we transfer, present, or originate the Electronic Deposit, or a Substitute Check created from that Check Image. These representations and warranties include but are not limited to, that: (a) the transmissions contain accurate images of the front and back of the original checks; (b) the transmissions contain all necessary endorsements; and (c) no depository bank, drawee, drawer, or endorser will be asked to make a payment based on an item that it has already paid.

Limitations of Mobile Check Deposit

Mobile Check Deposit is only available for use within the United States.

You may use Mobile Check Deposit and the Remote Deposit Capture System for business or personal use for as long as we in our sole discretion provide these services to you.

Once a Check Image has been accepted for deposit, we are not able to delete or remove the item from the collection process and it becomes subject to the Funds Availability Policy described herein.

You may not use Mobile Check Deposit if:

  • The current balance of your deposit account is negative by $100 or more.
  • There are restrictions on your deposit account that prevent you from depositing or withdrawing funds.
  • You have more than two returned deposited items in the last three statement cycles.