Setoff and Security Interest. You hereby grant us a security interest in your deposit accounts. If you ever owe us money as borrower, guarantor or otherwise (“Obligations”), and it becomes due, we have the right under the law (called “setoff”) and under the security agreement granted us by this Agreement to use the funds in your account(s) to pay the Obligations. In the case of a partnership or joint account, each partner or joint account owner agrees that we may use the money in the account to satisfy any one of their individual Obligations. Similarly, each partner or joint account owner agrees that we may use the money in their individual accounts to satisfy Obligations in the joint account or partnership account. The Obligations, whether now existing or contracted in the future, which you owe to us, either individually or jointly, may be charged against any deposit account, including certificates of deposit before or after maturity, in your name whether in sole ownership or as a joint tenant or as tenants by the entirety. We may use the funds in your account(s) to pay the Obligations even if withdrawal results in an interest penalty or dishonor of checks. We will not be liable for dishonoring items where our exercise of the right of setoff and enforcement of our security interest results in insufficient funds in the account. The security interest you have granted us by this Agreement is consensual and is in addition to our right to setoff. This right of setoff and security interest may not apply if (i) the account is an Individual Retirement Account or other tax-deferred retirement account, (ii) the debt is created by a consumer credit transaction under a credit card plan, or (iii) you are an account owner in a representative capacity.
Setoff and Security Interest. If you ever owe the Bank money as a borrower, guarantor or otherwise, and it becomes due, the Bank has the right under the law (called setoff) and under this agreement (by which you grant the Bank a security interest in your deposit account) to use the money from your account to pay the debt. The Bank may use the money to pay the debt even if withdrawal results in an interest penalty or dishonor of checks. In the case of a partnership or joint account, each partner or joint owner agrees that the Bank may use the money in the account to satisfy any one of their individual obligations. Similarly each partner or joint owner agrees that the Bank may use the money in the account to satisfy any one of their individual obligations. Further you are granting the bank a security interest in your account. The security interest granted by this Agreement is consensual and is in addition to the Bank’s right of setoff. You agree that the Bank’s right of setoff or its right to realize upon its security interest automatically arises in any instance in which an account in your name has been attached, garnished or otherwise subject to a lien, whether or not your obligation to the Bank is then in default. You agree that the Bank’s right of setoff takes precedence and priority over any garnishment, attachment or other lien and, as a result, the Bank may first apply the funds in your account to satisfy all or a part of your obligation to the Bank before honoring the garnishment, attachment or lien.
Setoff and Security Interest. If you ever owe the Credit Union money as a borrower, guarantor or otherwise, and it becomes due, the Credit Union has the right under the law (called “setoff’) and under this agreement (by which you grant the Credit Union a security interest in your deposit account) to use the money from your account to pay the debt. The Credit Union may use the money to pay the debt even if withdrawal results in a dividend penalty or dishonor of checks. In the case of a partnership or joint account, each partner or joint owner agrees that the Credit Union may use the money in the account to satisfy any one of their individual obligations. Similarly, each partner or joint owner agrees that the Credit Union may use the money in their individual accounts to satisfy obligations in the joint account or partnership account. The security interest granted by this Agreement is consensual and is in addition to the Credit Union’s right of setoff. However, the right of setoff and security interest may not apply to your account if: (a)it is an IRA or a tax-deferred Xxxxx Retirement Account; (b) the debt is created by a consumer credit transaction under a credit card plan; or (c) the debtor’s right of withdrawal arises only in a representative capacity.
Setoff and Security Interest. You agree that FSB may, without prior notice or demand, apply or setoff the funds in your account (and accounts you own with others) at any time to pay any debt, whether direct or indirect, that you have with FSB, and/or any fees or service charges owed to FSB. In addition to its rights under the law (called “setoff”), you grant FSB a security interest in each account to secure such debt, as it may arise. This provision does not apply if the debt is created under any consumer credit plan accessed by a credit card. FSB is not liable to you for dishonoring items where withdrawals described in this section result in insufficient funds in your account. To the extent permitted by law, FSB may, in its sole discretion, setoff funds from any new account you open to pay any debt, whether direct or indirect, that you have with FSB, and/or any fees or service charges owed to FSB . You expressly agree that such rights extend to any Federal or state benefit payments (including without limitation Social Security benefits) electronically deposited into your account. You understand and agree that if you do not want your benefits applied in this way, you may change your direct deposit instructions to the benefits payor at any time. FSB may use funds held in joint accounts to repay the debts on which any one of you is liable, whether jointly with another or individually. FSB may charge any such debt against your account at any time, without regard to the origin of deposits to the account or beneficial ownership of the funds. Funds held in individual accounts may be used to repay your debts, whether such debts are owed jointly with another or individually. Your debts include: those owed by you arising out of another joint account of which you are a joint account holder, even if they are not directly incurred by you; those on which you are secondarily liable; or any amounts for which FSB becomes liable to any governmental agency or department or any company as a result of recurring payments credited to any of your accounts after the death, legal incapacity, or other termination of entitlement of the intended recipient of such funds. If FSB uses funds from a time deposit account, the funds withdrawn are subject to the early withdrawal penalty. If you or any joint account holder authorizes withdrawals not presented for payment until after the drawer’s death, or if any joint account holder is indebted to FSB at the time of his or her death, FSB is authorized to pay such withdrawals an...
Setoff and Security Interest. In addition to all rights provided by Applicable Laws, Customer agrees that any and all amounts on deposit in any Account maintained by Customer with Bank or any Bank Affiliate may be set off and applied against any liability in any currency Customer owes Bank under this Agreement, and any liability that any Customer Affiliate owes Bank or any Bank Affiliate. Customer further grants Bank a first priority security interest in all Accounts held by Customer now or in the future with Bank or any of its Affiliates to secure payment of any and all obligations under this Agreement; provided that this security interest shall be subordinate to any security interest separately agreed to in writing by Bank. 15. Representations and Warranties of Customer. Customer represents and warrants to Bank that (i) the execution and delivery of this Agreement has been authorized by all necessary corporate and governmental action and does not violate any provision of law applicable to the Customer, or any provision of the Customer’s organizational documentation charter, articles of incorporation or by-laws or any other agreement binding upon the Customer, (ii) the officers executing and delivering this Agreement and the Documentation for and on behalf of Customer, are duly authorized to do so,
Setoff and Security Interest. If your Account has a negative balance for fifteen (15) days or more, we have the right under the law to use the money from another account you have with us at the Bank to pay the debt (this right is known as the right of “setoff”). In addition, you grant us a security interest in your Account so that the balance in the Account is collateral for any current or future obligation you owe us (whether as a borrower, a guarantor, a debtor or otherwise). We may use the money to pay the debt even if withdrawal results in an interest penalty or insufficient funds to cover outstanding items. The security interest granted by this Agreement is consensual and is in addition to our right of setoff. However, the right of setoff and security interest may not apply to your other account with us if: (1) it is an IRA or a tax-deferred Xxxxx Retirement Account (but this does not affect our rights under any consensual security interest); (2) the debt is created by a consumer credit transaction under a credit card plan; or (3) our records demonstrate to our satisfaction that your right of withdrawal arises only in a representative capacity (for example, only as an authorized signer, attorney-in-fact, or a fiduciary). Neither we nor our affiliates will be liable to you if our setoff from your Account leaves insufficient funds to cover outstanding items. You agree to hold us and our affiliates harmless from any claim arising as a result of the exercise of our right of setoff.
Setoff and Security Interest. We may set off funds in any and all of your Accounts with the same ownership for any direct, indirect and/or acquired obligations that any owner owes us, to the fullest extent permitted by law and regardless of the source of the funds in the Accounts. If you owe a debt to us, you grant us a security interest in your Account(s) and the right to setoff funds in your Account(s) with the same ownership to the fullest extent allowed by law regardless of the source of funds in your Account(s). This includes any federal or state benefit payments that are directly deposited into your Account(s). This right does not apply to Individual Retirement Account (IRA) Plans, Simplified Employee Pension (SEP) retirement Accounts or Xxxxx retirement Accounts. If any federal or state benefits or other credits are deposited into your Account and the payor requires us to return the funds, we may setoff against any and all of your Account(s) with the same ownership to recover the funds.
Setoff and Security Interest. If you ever owe us money as a borrower, guarantor or otherwise, and it becomes due, we have the right under the law (called “setoff’) and under the terms of this Agreement to use money from your Accounts to pay the debt. Under this Agreement, you grant us a security interest in your Accounts to use money from your Accounts, except where prohibited by law, to pay a debt you owe to us that has become due. We may use such funds (the “Collectible Funds”) to pay the debt you owe to us even if withdrawal results in a dividend penalty or dishonor of checks. In the case of a joint Account, each joint Account owner authorizes us to exercise setoff rights on all Collectible Funds in the joint Account, even if only one, or less than all, of the joint owners is the debtor to us; these rights exist irrespective of who contributes funds to the joint Account. Similarly, each joint owner of a Joint Account agrees that we may use the Collectible Funds in any of their individual Accounts to satisfy obligations in the joint Account or joint obligations shared by both joint owners. The security interest granted by this Agreement is consensual and is in addition to our right of setoff. However, the right of setoff and security interest shall not apply to your Account if: (a)it is an IRA or a tax-deferred Xxxxx Retirement Account; (b) the debt is created by a consumer credit transaction under a credit card plan; or (c) the debtor’s right of withdrawal arises only in a representative capacity.
Setoff and Security Interest. If you ever owe the Credit Union money as a borrower, guarantor or otherwise, and it becomes due, the Credit Union has the right under the law (called “setoff’) and under this agreement (by which you grant the Credit Union a security interest in your deposit Account) to use the money from any Account of yours to pay the debt without notice. The Credit Union may use the money to pay the debt even if withdrawal results in a dividend penalty or dishonor of checks. In the case of a partnership or entity with multiple owners listed on the Account, each partner or joint owner agrees that the Credit Union may use the money in the Account to satisfy any one of their individual obligations. Similarly, each partner or joint owner agrees that the Credit Union may use the money in each of their individual Accounts to satisfy obligations in the partnership Account or Account of an entity with multiple owners listed on the Account. The security interest you grant to the Credit Union in your Account(s) by this Agreement is consensual and is in addition to the Credit Union’s right of setoff.
Setoff and Security Interest. If you owe a debt to us or any of our affiliates (either now or in the future), you grant us a right of setoff to, and a security interest in, all of your accounts with us to secure the debt. Debts include any overdrafts or fees you owe, as well as amounts owed us by another person or entity if you have guaranteed that you will pay their debts. If the debt is due or overdue, we may use the funds in any of your Accounts to pay all or part of the debt. Our security interest will be governed by Uniform Commercial Code Article 9 (as adopted by the applicable state law) whether Article 9 applies by its terms or not. We do not have to give you any prior notice to apply the funds. You expressly agree that our rights extend to any electronically deposited federal or state benefit payments (including Social Security benefits), as permitted by law. If you don’t want your benefits applied in this way, you may change your Direct Deposit instructions at any time with the person or organization paying the benefits. The right of setoff does not apply if the debt is created under a personal credit card plan. If any federal benefits or other payments are deposited to your Account after you become ineligible to receive them, we may set off against any of your Accounts to recover the payments if we’re obligated to return funds to the payor.
