Merchant to Maintain a Deposit with the Bank Sample Clauses

Merchant to Maintain a Deposit with the Bank. A Merchant that has been authorized by the Bank to perform Credit or Debit Card transactions without the Card and Cardholder being present shall, prior to performing any such transaction, maintain a deposit with the Bank in the Merchant's Designated Account in the amount set out in the Merchant Application. The Merchant agrees that the Deposit so maintained, shall be held by the Bank as security for the Merchant’s obligations under this Agreement. The Bank shall be entitled to apply the Deposit towards settlement of the Merchant’s unsettled obligations and in the event of the Bank so doing, the Merchant agrees to replenish the Deposit promptly upon receipt of a written request from the Bank to do so. Upon the termination of this Agreement and settlement of all amounts due and owing to the Bank, the Bank shall return the Deposit to the Merchant together with any interest accrued thereon. The Merchant further agrees that the Bank may increase the amount of the Deposit to be maintained by the Merchant by notice in writing to the Merchant and the Merchant shall pay into the Designated Account the amount of such increase within 14 days of the date of such notice.
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Related to Merchant to Maintain a Deposit with the Bank

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