Circular OPASI 2 - 129. REMON 1 - 721. Modification of the regulations for common and deferred payment checking accounts. (Communication "A" 2334)

BANCO CENTRAL DE LA REPUBLICA ARGENTINA
__________________________________________________________________ COMUNICACION " A " 2334 02/05/95 __________________________________________________________________ TO FINANCIAL ENTITIES:
Ref.: Circular
OPASI 2 - 129.
REMON 1 - 721.
Modifications to the regulations for common and deferred payment checking accounts.
(Communication "A" 2329)

We address you to inform you that this Institution adopted the following resolution:

"1. Replace point 4 of the resolution disseminated through Communication "A" 2329, with the following:
"4. Establish that the calculation of rejections of checks and reports of loss referred to in points 1.4.2.1., 1.5.1.4. and 1.5.1.5. of Chapter I of Circular OPASI - 2 (text according to this communication), will be carried out with respect to situations that arise from 1.7.95." Consequently, until 30.6.95, the regulations in force in this matter as of 30.4.95 will apply.

2. Replace point 7 of the resolution made known by Communication "A" 2329, with the following:
   "7. Determine that, from 22.5.95, the documents that make up the checkbooks that entities deliver to their clients must contain printed the address that the holder has registered in the drawn-on entity, in addition to the other required data, as established in the regulations."

3. Replace point 1.2.2.12. of the Annex to Communication "A" 2329, with the following:
   "1.2.2.12. Notify the Central Bank of unpaid fines by the responsible parties."

4. Incorporate as point 1.3.7.11. of the Annex to Communication "A" 2329, the following:

"1.3.7.11. The holder of a deferred payment checking account may issue them for the purpose of being endorsed by the drawn-on entity, for which effect they must leave a record of that condition through the legend "For endorsement by the drawn-on entity" and their signature, which will be inserted on the back of the document. The check issued under these conditions can only result in the issuance of the nominative registration certificate with the relevant endorsement or, in the contrary case, the rejection of the registration."

5. Replace the third paragraph of point 1.3.8.5. of the Annex to Communication "A" 2329, with the following:
   "The amount of the fine will be debited from the checking account of the entity opened at the Central Bank, on the last business day of the month following that in which the respective rejection occurred, based on the information provided by the entity regarding the fines collected. It will be considered that this collection has occurred when the corresponding amount has been debited from the drawer's checking account generating a debit balance and the entity has not proceeded to close it within 60 days of the rejection that gave rise to it."

6. Replace the first paragraph of point 1.4.2.1. of the Annex to Communication "A" 2329, with the following:
   "1.4.2.1. 5 (five) rejections of checks - common or deferred payment - or other payment documents against checking accounts and sight drafts against quota shares of common investment funds without sufficient funds available in the account and/or due to rejection of registration of deferred payment checks."

7. Replace point 1.4.2.3. of the Annex to Communication "A" 2329, with the following:
   "1.4.2.3. Failure to pay the corresponding fine, within 30 days of the rejection due to the cause provided for in point 1.4.2.1. or due to formal defect.
   When rejections due to the cause mentioned in point 1.4.2.1. concurrently reach the limit established for those cases, the provisions of point 1.8.1. will apply."

8. Replace the penultimate paragraph of point 1.5.3.3. of the Annex to Communication "A" 2329, with the following:
   "The entity will be jointly liable for the payment of a rejected check when the cause argued is the suspension of the payment service, if it concerns a checking account holder who does not appear in the database of disqualified persons, unless the entity has already sent the information of 5 (five) rejections of checks due to lack of funds." This concept of solidarity will enter into force with respect to situations that occur from 1.7.95.

9. Replace the second paragraph of point 1.8.1. of the Annex to Communication "A" 2329, with the following:
   "The disqualification term will be reduced to 24 (twenty-four) months if the checking account holder demonstrates having cancelled the returned common or deferred payment checks due to lack of funds or registration and paid all registered deferred payment checks - including those not yet due - within 30 days of the first rejection, having paid the fine established in article 62 of the Checks Law, having reintegrated blank check forms and proven the non-existence of checks not presented."

10. Replace point 1.8.4.1. of the Annex to Communication "A" 2329, with the following:
    "1.8.4.1. Deposit in a commercial bank to the order of the Central Bank of the Republic of Argentina a charge of $ 1,000.- (one thousand pesos) and fines for unpaid check rejections.
    This charge and fines will be paid when the opening of one or more checking accounts is requested before one year has elapsed, counted from the moment when the effects referred to in points 1.8.1. and 1.8.2. cease, except in the situation provided for in the last two paragraphs of point 1.8.1. Regarding this, the procedural norms contained in point 1.12. will apply."

11. Replace point 1.8.2. of the Annex to Communication "A" 2329, with the following:
    "1.8.2. The effects of the disqualification to operate in a checking account due to the causes referred to in point 1.4.2.2. and the first paragraph of point 1.4.2.3. will cease 24 months after their inclusion in the "Database of disqualified checking account holders", unless the provisions of point 1.8.1. apply. When the situation provided for in the second paragraph of point 1.4.2.3. occurs, the disqualification term of 60 (sixty) months provided for in point 1.8.1. will apply."

12. Fix, with effect from 1.5.95, at 100% the minimum cash requirement in pesos and US dollars on funds from the collection of fines for check rejections referred to in article 62 of Law 24.452.
    This requirement will be observed until the day prior to the debit of the funds in the checking account of the entity opened at the Central Bank.
    The integration of this reserve will be carried out in the unified checking account referred to in point 4. of the resolution made known through Communication "A" 2298."

The information related to check rejections that occur in the current month will be supplied in June, on the dates and according to the procedure established in the operational guide that will be disseminated separately.

We salute you very attentively.
BANCO CENTRAL DE LA REPUBLICA ARGENTINA
Alfredo A. Besio Miguel A. Kiguel
Manager of Standards for General Submanager
Financial Entities Area of Economics and Finance