554.12201 Security procedure. 'Security procedure' means a procedure established by agreement between a customer and a receiving bank for the purpose of verifying that a payment order or communicationamending or canceling a payment order is that of the customer, or detecting error in thetransmission or the content of the payment order or communication. A security proceduremay require the use of algorithms or other codes, identifying words or numbers, encryption,callback procedures, or similar security devices. Comparison of a signature on a paymentorder or communication with an authorized specimen signature of the customer is not byitself a security procedure. 92 Acts, ch 1146, §9Referred to in §554.12105 Sat Dec 23 11:02:49 2023 Iowa Code 2024, Section 554.12201 (24, 0)
Iowa Legal Code