What are the conditions that make a business check ineligible for conversion?
Any one of the following conditions will render a check ineligible: • Checks or sharedrafts that contain an Auxiliary On-Us field in MICR line (to learn more about the Auxiliary On-Us field, download The Auxiliary On-Us Field: Why It Is Important) • Checks or sharedrafts written for an amount greater than $25,000 • Third Party checks or sharedrafts • Demand drafts and Third Party drafts that do not contain the signature of the Receiver • Checks provided by a credit card issuer for purposes of accessing a credit account • Check drawn on home equity line of credit • Checks drawn on an investment company as defined in the Investment Company Act of 1940 • Obligations of financial institutions (travelers checks, cashier’s checks, official checks, money orders, etc.) • Checks drawn on the U.S. Treasury, a federal reserve bank, or a federal home loan bank • Checks drawn on a state or local government that are not payable through or at a participating DFI • Check or sharedrafts payable in a me
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