ACH Deposit. Customer may be required to maintain as a reserve a deposit (“ACH Deposit”) in an amount to be solely determined by the Bank. Customer acknowledges and agrees that any ACH Deposit will be deposited in a Bank account for exclusive use by the Bank for purposes of offsetting any of Customer’s obligations under the provisions of this Agreement applicable to the ACH service. Customer authorizes the Bank to immediately replenish the ACH Deposit to an amount to be determined by the Bank via an ACH debit to Customer’s account or by a direct deposit to the ACH Deposit if Customer’s ACH Deposit falls below the required amount. Customer grants the Bank a security interest in any ACH Deposit to enable the Bank to enforce any obligation owed by Customer applicable to the ACH service without notice or demand to Customer. Customer’s obligation to maintain an ACH Deposit shall survive the termination of this Agreement, with such obligation lasting until all of Customer’s obligations under this Agreement have been fully offset. The Bank’s security interest shall continue until all of Customer’s obligations under this Agreement have been fully offset
ACH Deposit. All payments of principal and interest on the Notes will be made in U.S. dollars as Automated Clearing House (ACH) deposits into an account designated (the “Designated Account”) by each Holder at the Site. Each Holder acknowledges and agrees that any payment made timely to the Designated Account shall be deemed delivered even if the payment is rejected, or otherwise unable to be transferred because the Holder’s Designated Account is no longer valid for any reason. Whenever any payment is due on a day that is not a business day, such payment will be due on the next following business day. Each payment will be applied first to any fees charges and expenses authorized under the Loan Documents, including the reasonable fees and expenses of the Administrative Agent, then to accrued but unpaid interest on the Notes, and then to the outstanding principal balances of the Notes. In the event there is any 1 For example, if the Note proceeds are disbursed to the Issuer on February 15th, the first calendar quarter that starts 60 days later, is July 1st through September 30th. The first quarterly payment to Holders would be due on or before September 30th. error in the amount paid to a Holder in its Designated Account, Holder hereby authorizes the Escrow Agent, or other designee by Portal, to make any adjustments for any duplicate or erroneous entries that may be made to the Designated Account in connection with the repayment of the Notes. This authorization is effective as of the execution of this Agreement and remains in full force and effect until all amounts due under the Notes have been paid in full and properly applied.
