Sample PDC.biz MOA for Individual Accounts.doc

Page 1 of 10

UNITED COCONUT PLANTERS BANK

POST-DATED CHECK WAREHOUSE with PDC.biz

MEMORANDUM OF AGREEMENT

This Agreement is entered into on this _____ day of _________ 200__, at

__________________, by and between:

UNITED COCONUT PLANTERS BANK, a corporation duly organized and

existing under and by virtue of the laws of the Republic of the Philippines,

with principal office address at __________________, represented herein

by its _______________, _____________________ (hereinafter referred

to as the “BANK”);

and

____________________________, of legal age, single/married

____________________________ (indicate appropriate civil status of

client) and a resident of ___________________________ (hereinafter

referred to as the “CLIENT”).

WITNESSETH: That

WHEREAS, the BANK has a system which allows the safekeeping of post-dated

checks until the arrival of the checks’ credit date. Upon arrival of said check credit date,

the post-dated checks will be credited to an account number specified by the client.

WHEREAS, CLIENT, a depositor of BANK, would like to avail of the said facility,

subject to the terms and conditions set forth hereunder.

NOW, THEREFORE, for and in consideration of the foregoing premises, both

parties have agreed as follows:

I. Definition of Terms

1. Account Number to be Credited

The account number where the post-dated checks (PDC) will be credited upon

the arrival of the check’s credit date.

2. Check Amount

The amount on the face of the PDC.

3. Check Credit Date

The date set by the CLIENT when the PDC shall be posted/credited to his/her/its

account. Credit date must not be later than six (6) months from the date

indicated on the face of the check and shall not be earlier than the check date.

4. Check Date

The date on the face of the PDC.

5. Check Number

The check number on the face of the PDC.

6. Check Type

Classification of checks to either: in-house, local, or regional.

Page 2 of 10

7. Client

An existing depositor who maintains a Current and/or Savings account with the

BANK.

8. Date Received

The date when the check was accepted by the branch for

warehousing/safekeeping.

9. Drawee Bank

The bank where the PDC is drawn.

10. Drawee Branch

The branch where the check is drawn.

11. Depositor

A client of the bank/branch whether corporate or individual who maintains any or

all of the following Peso Accounts: CA, SA and PERKS.

12. Frequency

The number of times the CLlENT is allowed to submit the PDC warehousing

requirements in a given month.

13. Maintaining Branch

The UCPB branch where CLIENT is maintaining a current/savings account.

14. Out-of-Town Checks

Checks drawn against banks not covered by any local or BSP Regional Clearing

centers.

15. Post Dated Checks (PDCs)

Future dated check/s submitted to the bank for warehousing/safekeeping, which

shall be credited to the CLIENT’S enrolled account/s upon said check’s maturity.

16. Post-Dated Check Warehouse Facility

A service/facility that uses UCPB’s Post-dated Check Warehouse system. Said

system allows the CLIENT to entrust to the BANK for safekeeping/warehousing

his/its post-dated checks until the arrival of the checks’ credit date. Upon the

arrival of said credit date, the post-dated checks will be credited to the account

number specified by the CLIENT.

17. Pull-Out

The retrieval of the submitted PDCs from the BANK’s inventory.

18. Record Count

The total number of checks in the batch.

19. Region

The clearing region of the check (for regional checks only) which shall be defined

and identified by the system (codes are system provided).

Page 3 of 10

20. Resetting

The change of credit date from the original credit date indicated in the PDC File

and PDC Deposit Slip. This may be an instruction to defer posting to account of

the PDCs without actually retrieving the PDCs.

21. Schedule

The agreed time and day as to when the PDC warehousing requirements shall

be submitted. Such includes the exact day and time allotted for each enrolled

account of the CLIENT.

22. System Date

The date of log-in to the UCPB Check Warehouse System by a User ID.

23. UCPB PDC Warehouse Branch Module

The software installed in the Maintaining Branch’s personal computer which

allows the branch to upload the diskette containing the PDC file/information

submitted by CLIENT.

24. UCPB PDC Prooflist

The complete list of the PDC details per batch. This document, shall be

submitted to the CLIENT’s maintaining branch together with the deposit slip and

physical checks.

25. UCPB PDC.biz

This is one of the modules that comprise UCPB’s corporate internet offerings.

This is the online complement to the UCPB PDC Warehouse Facility. With the

online module, corporate and individual clients who availed of the PDC

Warehouse Facility; provided, that they are enrolled in PDC.biz, can perform the

following through the Internet:

• View and monitor the online status of PDCs that have been warehoused

at UCPB

• View PDCs warehoused at different UCPB branches

• Download PDC information to a text file for further data analysis or check

reconciliation

26. UCPB PDC.biz Client Module (Web-based)

The online application that allows the CLIENT to view and monitor status of the

PDCs that have been warehoused at the BANK. It also allows the CLIENT to

download PDC information from the Internet to a file that can be read by most

spreadsheet programs.

27. UCPB PDC.biz User (or User only)

This shall refer to the CLIENT or his duly authorized personnel enrolled in

PDC.biz assigned with the PDC.biz User ID.

28. Warehousing

Page 4 of 10

The bank/branch function of accommodating its CLIENT’S post dated checks

for safekeeping and crediting the same to CLIENT’S enrolled accounts on said

checks’ credit dates.

II. General Provisions

1. In order to avail of the BANK PDC Warehouse facility, the CLIENT shall maintain

a Current and/or Savings account with BANK.

2. It is understood and agreed that, unless otherwise changed and agreed upon in

writing by both parties, the Maintaining Branch is at

_______________________________.

3. It is understood and agreed that the CLIENT may avail of the PDC Warehouse

services ONLY from its Maintaining Branch. Interbranch transactions are not

allowed.

4. The CLIENT shall accomplish and submit to the BANK two (2) copies of the PDC

Warehouse Application Form (Form 1) as proof of availment of the facility.

5. The CLIENT shall assign a specific CA/SA account to which the PDCs shall be

credited on the check credit date. The BANK shall enroll the following accounts

in the BANK’s PDC Warehouse Facility: (Said accounts must be duly owned

by the CLIENT)

ACCOUNT NUMBER ACCOUNT NAME

** Use separate sheet if necessary**

III. Enrollment in UCPB PDC.biz

1. In order to access PDC Warehouse information online via UCPB PDC.biz, the

CLIENT shall accomplish the UCPB PDC.biz Application Form (Form 2). The

CLIENT may also indicate his/her authorized representative that shall be granted

access to UCPB PDC.biz. The CLIENT agrees to supply complete, truthful and

valid information about said authorized representative. The BANK shall use this

information to process the enrollment of the CLIENT and/or his/her

authorized representative to UCPB PDC.biz. The CLIENT attests that the

information supplied to the BANK belongs to the CLIENT including, but not

limited to, accounts, personal information, valid email address, and agree to

supply additional information as required by the BANK.

2. The authorized representative listed below shall be enrolled by the BANK in

UCPB PDC.biz:

Name of Authorized PDC.biz User Email Address Tel/Contact No:

____________________________ ________________ ______________

Page 5 of 10

____________________________ ________________ ______________

** Use separate sheet if necessary**

3. After enrolling the above CLIENT and/or his/her authorized representative in

UCPB PDC.biz, the BANK shall send a confirmation email to each of the email

addresses specified above informing the user that access to UCPB PDC.biz has

been completed. However, PDC.biz User should reply back to the email to

confirm that the email address is valid and that it actually belongs to him/her.

4. Upon receipt of the reply email from the PDC.biz user, the BANK shall then send

the access information via email to the PDC.biz user that that contains the

following information:

• Uniform Resource Locator (URL) for UCPB PDC.biz (web-site address)

• PDC.biz User ID created for the user

• Temporary password assigned to the User ID

• Instructions to the client for using UCPB PDC.biz

5. If the CLIENT prefers not to receive the above information via email, the CLIENT

shall select the other mode of delivery in the UCPB PDC.biz Application Form.

6. The CLIENT agrees to hold the BANK free and harmless from any and all

liability, loss, claims and damages arising from or in connection with the use of

the UCPB PDC.biz, including, but not limited to, the loss of confidentiality of

UCPB PDC.biz access information should the CLIENT select a mode of delivery

other than “for pick-up at the maintaining branch”.

7. In case of changes in the above list of authorized UCPB PDC.biz users (e.g.

addition of new authorized PDC.biz user, deletion of existing authorized PDC.biz

User, etc.), the CLIENT shall notify the BANK in writing of these changes. The

BANK shall then effect the changes in UCPB PDC.biz within two (2) banking

days from the date of receipt of the written notification.

IV. Encoding of PDC File/Information

1. The following information shall be encoded by the Maintaining Branch in the

UCPB PDC Warehouse Branch Module, to wit:

a. Account number to be credited

b. Check Number

c. Drawee Bank

d. Check Type

e. Drawee Branch

f. Region

g. Check Date

h. Check Credit Date

i. Total Amount

j. Record Count

V. Items for Warehousing

1. The BANK shall accept the following checks, which shall be payable only to the

CLIENT, for safekeeping/warehousing, to wit:

a. In-house Checks

Page 6 of 10

b. Local Clearing Checks

c. Regional Clearing Checks

2. The BANK shall not accept for safekeeping/warehousing the following checks:

a. Out-of-Town (OTCs) checks

b. Second endorsed checks

VI. Warehousing Procedures

1. The CLIENT shall submit PDCs to UCPB at least five (5) days prior to credit

date.

2. CLIENT shall send the BANK, every _____, and _____ day of each month

(indicate schedule and frequency of submission of checks) the following:

a. Printed copy of PDC Prooflist with data arranged according to check

credit date/s (in 2 copies).

1 – Copy for BANK Branch

2 – Receiving copy for CLIENT

b. BANK Deposit Slip

Only the following data are required to be indicated, to wit:

1. TOTAL AMOUNT

2. RECORD COUNT

3. ACCOUNT NUMBER where PDCs will be deposited on its credit date

4. ACCOUNT NAME

Note: Each deposit slip must bear PDCs with the same check credit date,

check type, and account number to which said items will be deposited on its

credit dates.

c. Physical checks (PDCs)

Arranged according to check date and account number.

CLIENT is allowed a minimum of 5 and a maximum of 30 post dated checks

per batch submitted.

3. The CLIENT shall ensure that the account number where the PDCs shall be

deposited is written on the reverse-side of each PDC submitted to the BANK.

The CLIENT shall likewise sign below the written account number. The CLIENT

hereby agrees that the written account number as well as his signature or the

signature of its authorized representative shall serve as an endorsement of the

PDCs.

4. Should there be a discrepancy between the information stated in the deposit

slip(s) and the information/details appearing on the actual checks, the BANK

shall immediately notify the CLIENT of such fact within twenty four (24) hours

from its discovery of the discrepancy. Upon receipt of said notice, the CLIENT

shall pick-up all the PDCs in the batch submitted to the BANK.

Discrepancy is manifested when the information on the CLIENT submitted

Prooflist does not match with the information on the physical checks.

5. In such cases when CLIENT is not able to pick-up the checks personally, he may

authorize a representative who shall present and submit an authorization letter

together with an identification card to the Bank.

6. The check date of the PDCs to be accepted for safekeeping by BANK shall not

be later than thirty six (36) months from the date the checks were submitted for

safekeeping.

Page 7 of 10

7. After ascertaining that all required items are in order, the BANK shall stamp the

deposit slip with “Received PDC WHSE.”

8. Upon arrival of the check credit date, the BANK shall deposit and credit to the

account number specified by the CLIENT the amount of the PDCs being

safekept/warehoused by BANK, subject to item nos. IV (1) and (2).

9. In the event that a check is returned/dishonored, the BANK’s standard

procedures and guidelines in handling returned/dishonored check shall apply.

10. Should the check credit date fall on a national or local holiday, the check credit

date shall automatically be adjusted to the next banking day.

VII. Returned/Dishonored Checks

1. The BANK shall inform the CLIENT on the same day upon receipt of the

returned/dishonored checks.

2. The CLIENT hereby authorizes the BANK to debit the amount of the

returned/dishonored checks and the charges thereon, if any, from the CLIENT’S

enrolled account(s) regardless of the reason for the return.

3. A Check Return Advice (CRA) shall be prepared by the BANK to be given to the

CLIENT together with the attached returned check.

4. The CLIENT understands and agrees that returned check/s for reason “Post

Dated” (in such cases when the bank erroneously or inadvertently deposited the

PDC before its credit date) shall be included by the maintaining branch in the

other batch of PDCs received for warehousing and redeposited on its maturity

date.

5. All other checks returned for reason other than “Post Dated” (such as DAIF,

DAUD, etc.) which are eligible for redeposit shall be redeposited as over-the-

counter check deposit/s only upon written instruction of the CLIENT.

VIII. Pull-Out or Resetting

1. In cases of PULL-OUT or RESETTING OF CREDIT DATE of PDCs already

submitted for safekeeping/warehousing, the CLIENT shall submit to the BANK a

written instruction for the PULL-OUT or RESETTING by accomplishing the

UCPB PDC PULL-OUT/RESETTING SLIP” (see Annex B) which shall be signed

by the CLIENT. The BANK shall not accept over-the-phone instructions.

2. All instructions for PDC PULL-OUT must be received by BANK not later than (2)

banking days before the check credit date of the PDC, while all instructions for

PDC RESETTING must be received by BANK at least one (1) day before the

check credit date.

In both instances, instructions shall be subject to the verification and approval of

BANK’s authorized representative(s).

IX. Reportorial Requirements

1. The CLIENT shall receive the following PDC related reports generated by its

Maintaining Branch:

a. PDC Accepted for Today

b. PDC Due for Today

c. PDC Processed/Posted Today

d. PDC Pulled-Out Today

Page 8 of 10

e. PDC Reset Today

f. PDC Report Masterlist – as needed

g. Summary of Fees and Charges for PDCs Received by the Branch

2. The following reports shall be available upon the request of the CLIENT:

a. Check History

b. Outstanding PDC

X. Viewing PDC Details Online

1. The CLIENT can log on to the UCPB PDC.biz Client Module (Web-based) to

view the online status of the PDCs that have been accepted for

safekeeping/warehousing by the BANK.

2. Through UCPB PDC.biz, the CLIENT can view the following information about

the PDCs that have been processed by the Maintaining Branch during a

specified period; to wit:

a. Accepted PDCs

b. Maturing PDCs

c. Outstanding PDCs

d. Posted PDCs

e. Pulled-Out PDCs

f. Reset PDCs

3. The information displayed online in UCPB PDC.biz is updated only by the BANK

at the end of every banking day. As such, there might be some delay of at most

one (1) day in the actual status of the PDCs that have been processed by the

BANK versus the PDC information viewed online. The CLIENT shall always

refer to the Date/Time the system was last updated as a guide when viewing

PDC information online.

4. Aside from viewing PDC information online, the CLIENT can also download PDC

information into a file that can be accessed by most popular spreadsheet

applications for further data analysis or for importation to the CLIENT’s own

accounting system.

5. To access the services available in UCPB PDC.biz, the CLIENT and/or his/her

authorized representative named in Section III above shall be provided via email

with a valid UCPB PDC.biz User ID and temporary password to log on to the

system. Upon initial log on to UCPB PDC.biz, the system will prompt the user to

change his password. Once this temporary password has been changed, only

the user will know the new password.

6. During initial log in, certain information shall also be requested from the user to

improve user access security. Only the user should know said information. In

case the user forgets his password, the system can generate a new password

only after the user has successfully entered his responses to the above security

questions.

7. If a PDC.biz user is unable to remember his/her replies to the UCPB PDC.biz

security questions, and as such, is unable to generate a new password, he/she

shall submit a signed written request addressed to the BANK to reset his

password in UCPB PDC.biz. The BANK shall then effect the changes in UCPB

PDC.biz within two (2) banking days from the date of receipt of the written

notification.

8. Since only the user knows his User ID and Password and only the user has the

sole option to change his password by using the change password function of

UCPB PDC.biz anytime the user may deem it necessary, the user shall keep his

User ID and Password confidential and that their use in any and all transactions

Page 9 of 10

involving your registered account(s) shall be the sole responsibility and liability of

the CLIENT. The CLIENT agrees not to hold the BANK liable for any PDC

information made available to other parties through UCPB PDC.biz by the use of

this valid User ID and Password.

XI. Fees and Charges

1. For the use of the UCPB Post Dated Check Warehouse Facility, the CLIENT

agrees to maintain a monthly average daily balance (ADB) of

P ____________________. This amount is subject to a semi-annual review by

the BANK and the CLIENT agrees that this may be increased or decreased to

compensate the services herein provided by the BANK.

2. If the CLIENT opts not to maintain the desired Average Daily Balance (ADB)

requirement stated in Section IX Item 1 of this Agreement, the CLIENT will be

charged a fee of P ________ per check.

3. All fees and charges will be paid via manual debit from an account assigned by

the CLIENT. Such account will be debited every _____ banking day of the

month.

4. The BANK upon 30 days prior written notice to CLIENT may change the fees

and charges.

XII. Miscellaneous Provisions

1. The CLIENT hereby agrees that all rules and regulations of the BANK governing

savings and current account, insofar as they are not inconsistent with the terms

herein, and all rules and regulations provided in the BANK’s Manual of Operating

Procedures and Guidelines, are hereby deemed incorporated by way of

reference and made an integral part hereof and shall form part of this

Agreement. CLIENT further agrees that in cases where this Agreement may be

silent, the usual procedures and policies of the BANK shall govern.

2. The CLIENT hereby holds free and harmless and shall indemnify the BANK for

any and all liabilities, damages, claims or actions arising out of or in connection

with the implementation of this Agreement, except to the extent attributable to

the gross negligence, bad faith, or willful misconduct of any of the BANK’s

officers, employees or authorized representatives.

3. This Agreement shall take effect commencing on the date of signing hereof and

shall have a term of _____ (___) month/year. However, notwithstanding the

lapse of the expiry date, this Agreement shall be considered automatically

renewed for another year from said expiry date unless terminated by either party.

4. Either party may terminate this Agreement upon thirty (30) days prior written

notice to the other party. The termination of this Agreement shall not relieve any

party of any of its obligations which may have accrued prior to the effective date

of terminate.

5. All suits arising out of this agreement shall be exclusively lodged in the proper

courts of Makati, both parties waiving all applicable venues.

6. This Agreement shall be subject to semi-annual review by both parties and may

be modified, amended and/or revised upon mutual consent of the parties. Any

and all amendments to this Agreement shall be implemented only after the

parties shall have mutually signified their conformity in writing.

IN WITNESS WHEREOF, the parties have caused this Agreement to be duly

executed on the date and place first above written.

Page 10 of 10

UNITED COCONUT PLANTERS BANK

By: By:

Signed in the presence of:

________________________________ ________________________________

ACKNOWLEDGMENT

REPUBLIC OF THE PHILIPPINES )

MAKATI CITY ) S.S.

Before me, a Notary Public, for and in the City of Makati, Metro Manila,

personally appeared the following:

NAME COMMUNITY TAX CERT. NO. DATE/PLACED

ISSUED

all known to me and known to be the same persons who executed the foregoing

instrument properly subscribed by the parties and their instrumental witnesses and they

acknowledged to me that the same is their free, voluntary act and deed, and the free,

voluntary act and deed of the Corporation and Principal they respectively represent.

WITNESS MY HAND AND SEAL on this ___ day of ______________, 20___, in the

City of Makati, Metro Manila.

Doc. No. _____;

Page No. _____;

Book No. _____;

Series of 20___