Definitions for "Check 21"
Keywords:  truncate, ird, substitute, cta, oct
Short for Check Clearing for the 21st Century Act which allows for the voluntary usage of digital images as negotiable instruments.
A new federal law that allows banks to replace a check with an electronic image or substitute check; a shortened term used to refer to the "Check Clearing for the 21st Century Act." For more information, click here.
The Check Truncation Act of the 21st Century, a Federal Reserve Bank law allowing financial institutions the option to clear checks electronically rather than having to forward the original paper check. Also called: CTA and Check 21