An on-us check is deposited at which location?

An on-us check is deposited at which location?

• A. A check deposited at a different bank
• B. A check drawn on another bank
• C. A check that has been cancelled
• D. The same financial institution that maintains the account on which the check is drawn

Answer: (D)

On-us checks are those drawn on the same financial institution that holds the account into which the check is deposited. This means the bank can settle the item internally, without sending it to another bank. So the deposit is made at the same institution that maintains the account the check is drawn from. If the check is deposited at a different bank or is drawn on another bank, it’s not on-us and would involve interbank processing. A canceled check is simply a processed check and doesn’t specify where it’s deposited.

On-us checks are those drawn on the same financial institution that holds the account into which the check is deposited. This means the bank can settle the item internally, without sending it to another bank. So the deposit is made at the same institution that maintains the account the check is drawn from. If the check is deposited at a different bank or is drawn on another bank, it’s not on-us and would involve interbank processing. A canceled check is simply a processed check and doesn’t specify where it’s deposited.