Regions has an experienced and centralized deposit account control team, which can offer a number of benefits to lenders and clients as well as their law firms. Debtor (customer) – As one of the three parts of the DACA, the debtor provides the guarantees and receives the deposits in the current account. UZK § 9-104 – The section of the Single Commercial Code that deals with “checking the current account”. This section helps to perfect the security interests on deposit accounts as an original guarantee. Deposit accounts with BMO Harris Bank N.A. (in its capacity as custodian bank, “bank”) Numbers: (an “assigned account” and, together, the “Assigned Accounts”) Active Deposit Account Control Agreement – A control agreement that directs the bank to obtain disposition instructions from the secured party (not the debtor). Secure Party (Lender) – part of a DACA that lends funds and receives an advanced security interest on the debtor`s checking account upon execution of the agreement. (“current account”) with the Bank pursuant to an agreement between the Bank and the Customer, after which the Customer has paid the Bank the amount of the sum of $; A tripartite agreement comprising a borrower, a lender and a deposit-financed institution or institution, known as a deposit control agreement. These three parties play an important role in defining the terms of the DACA agreement. The agreement can also be seen as a useful document for the lender, as it allows the lender to have a safe deposit on the borrower`s deposit accounts with the same bank or another financial institution.
Cash is an extremely important guarantee for any financial institution or bank. The lender always wants to get a better return on the borrower`s deposits. It is important to keep in mind when we talk about DACA, which means that it can be in two ways, one blocked by a control agreement that gives the lender full rights to the borrower`s fiduciary account and prohibits the borrower from accessing the funds. The other is Spring, which allows the borrower to access their deposit account(s) as long as there is a default situation and credit is granted In the first place, there are two types of deposit account control agreements: asset and liability. . . .