AI-assisted research summary: This section defines terms used in the article, including authorized account, bank, customer, funds-transfer business day, funds-transfer system, good faith, and prove.
(a) In this article: (1) "Authorized account" means a deposit account of a customer in a bank designated by the customer as a source of payment of payment orders issued by the customer to the bank. If a customer does not so designate an account, any account of the customer is an authorized account if payment of a payment order from that account is not inconsistent with a restriction on the use of that account. (2) "Bank" means a person engaged in the business of banking and includes a savings bank, savings and loan association, credit union, financial services loan company, and trust company. A branch or separate office of a bank is a separate bank for purposes of this article. (3) "Customer" means a person, including a bank, having an account with a bank or from whom a bank has agreed to receive payment orders. (4) "Funds-transfer business day" of a receiving bank means the part of a day during which the receiving bank is open for the receipt, processing, and transmittal of payment orders and cancellations and amendments of payment orders. (5) "Funds-transfer system" means a wire transfer network, automated clearinghouse, or other communication system of a clearinghouse or other association of banks through which a payment order by a bank may be transmitted to the bank to which the order is addressed. (6) "Good faith" means honesty in fact and the observance of reasonable commercial standards of fair dealing. (7) "Prove" with respect to a fact means to meet the burden of establishing the fact (section 490:1-201). (b) Other definitions applying to this article and the sections in which they appear are: "Acceptance". Section 490:4A-209. "Beneficiary". Section 490:4A-103. "Beneficiary's bank". Section 490:4A-103. "Executed". Section 490:4A-301. "Execution date". Section 490:4A-301. "Funds transfer". Section 490:4A-104. "Funds-transfer system rule". Section 490:4A-501. "Intermediate bank". Section 490:4A-104. "Originator". Section 490:4A-104. "Originator's bank". Section 490:4A-104. "Payment by beneficiary's bank to beneficiary". Section 490:4A-405. "Payment by originator to beneficiary". Section 490:4A-406. "Payment by sender to receiving bank". Section 490:4A-403. "Payment date". Section 490:4A-401. "Payment order". Section 490:4A-103. "Receiving bank". Section 490:4A-103. "Security procedure". Section 490:4A-201. "Sender". Section 490:4A-103. (c) The following definitions in article 4 apply to this article: "Clearing-house". Section 490:4-104. "Item". Section 490:4-104. "Suspends payments". Section 490:4-104. (d) In addition, article 1 contains general definitions and principles of construction and interpretation applicable throughout this article. [L 1991, c 41, pt of §1; am L 2004, c 162, §12]