8.4-204 - Methods of sending and presenting; sending directly to payor bank. - Virginia Statutes

§ 8.4-204. Methods of sending and presenting; sending directly to payor bank.

(a) A collecting bank shall send items by a reasonably prompt method, takinginto consideration relevant instructions, the nature of the item, the numberof those items on hand, the cost of collection involved and the methodgenerally used by it or others to present those items.

(b) A collecting bank may send:

(1) an item directly to the payor bank;

(2) an item to a nonbank payor if authorized by its transferor; and

(3) an item other than documentary drafts to a nonbank payor, if authorizedby federal reserve regulation or operating circular, clearing-house rule, orthe like.

(c) Presentment may be made by a presenting bank at a place where the payorbank or other payor has requested that presentment be made.

(Code 1950, § 6-63; 1964, c. 219; 1992, c. 693.)