What are Banks required to tell their customers about substitute checks?
Under Check 21, banks are required to provide a disclosure to their consumer customers who receive canceled checks with their monthly statements. The disclosure describes substitute checks and consumer rights regarding substitute checks. Banks must provide this disclosure to existing customers not later than the first statement mailing after Check 21 becomes effective on October 28, 2004. After October 28, 2004, banks must provide this disclosure to new customers at the time the customer relationship is established if the customer receives checks back with their statement. If you receive canceled checks with your account statement but did not receive the required disclosure within the timeframes described above, please request one from us.
