A computerized clearing facility called the automated

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Unformatted text preview: prepares and deposits into its account the DTC drawn on the lockbox or other collecting bank account. A second mechanism is an ACH (automated clearinghouse) transfer, which is a preauthorized electronic withdrawal from the payer’s account. A computerized clearing facility (called the automated clearinghouse, or ACH) makes a paperless transfer of funds between the payer and payee banks. An ACH settles accounts among participating banks. Individual accounts are settled by respective bank CHAPTER 14 FOCUS ON ETHICS 623 In Practice Remote Disbursing Gains Float for Me, But What Does It Do for You? Lake Lillian, Minnesota, gained a mention in a Chicago-area media outlet, but not for being a hot fishing spot in this state of 10,000 lakes. An eagle-eyed Chicago consumer wondered why his 25-cent rebate check from Illinois Bell was drawn on a bank in Lake Lillian. He was told by a media investigator that many large corporations issued rebate checks drawn on a bank there in order to get more “...
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