If a bank does not dishonor an "on-us" item by the opening of the second banking day following its receipt, the check is considered paid.

Question

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An "on-us" item is considered paid if the bank does not dishonor it by the opening of the second banking day following its receipt, as this timeframe allows the bank sufficient processing time to determine the check's validity and either honor or dishonor it.

If a Bank Does Not Dishonor an "On-Us" Item by the Opening