California Government Code

§ 20027.5

GOV § 20027.5 Effective Jan 1, 2010Div. 5 · Title 2 · Part 3 · Ch. 1 · Art. 2

Statute text

(a)“Electronic funds transfer” means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, that is initiated through an electronic terminal, telephonic instrument, or computer or magnetic tape, so as to order, instruct, or authorize a financial institution to debit or credit an account. Electronic funds transfers shall be executed by one of the following methods:

(1)An automated clearinghouse debit in which the state, through its designated depository bank, originates an automated clearinghouse transaction debiting the person’s bank account and crediting the state’s bank account for the amount of the debit. Banking costs incurred for the automated clearinghouse debit transaction shall be paid by the state.

(2)An automated clearinghouse credit in which the person, through his or her own bank, originates an entry crediting the state’s bank account and debiting his or her own bank account. Banking costs incurred for the automated clearinghouse credit transaction charged to the state shall be paid by the person originating the credit.

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Legislative history

Added by Stats. 2009, Ch. 118, Sec. 1. (AB 637) Effective January 1, 2010.