2006 New York Code - When Bank May Charge Customer\'s Account.

 
  Section 4--401. When Bank May Charge Customer's Account.
    (1) As against its customer, a bank may charge against his account any
  item  which  is otherwise properly payable from that account even though
  the charge creates an overdraft.
    (2) A bank which in good faith makes payment to a  holder  may  charge
  the indicated account of its customer according to
         (a) the original tenor of his altered item; or
         (b) the  tenor  of his completed item, even though the bank knows
             the item has been completed unless the bank has  notice  that
             the completion was improper.