2006 New York Code - Payment By Sender To Receiving Bank.

 
  Section 4-A-403. Payment by Sender to Receiving Bank.
    (1)  Payment  of  the sender's obligation under Section 4-A-402 to pay
  the receiving bank occurs as follows:
         (a) If the sender is a bank, payment occurs  when  the  receiving
             bank  receives  final  settlement of the obligation through a
             Federal Reserve Bank or through a funds-transfer system.
         (b) If the sender is a  bank  and  the  sender  (i)  credited  an
             account of the receiving bank with the sender, or (ii) caused
             an  account  of  the  receiving  bank  in  another bank to be
             credited, payment occurs when the credit is withdrawn or,  if
             not  withdrawn, at midnight of the day on which the credit is
             withdrawable and the receiving bank learns of that fact.
         (c) If the receiving bank debits an account of  the  sender  with
             the  receiving bank, payment occurs when the debit is made to
             the extent the debit is  covered  by  a  withdrawable  credit
             balance in the account.
    (2)  If  the sender and receiving bank are members of a funds-transfer
  system that nets  obligations  multilaterally  among  participants,  the
  receiving  bank receives final settlement when settlement is complete in
  accordance with the rules of the system. The obligation of the sender to
  pay the amount of a payment order transmitted through the funds-transfer
  system may be satisfied, to the extent permitted by  the  rules  of  the
  system,  by setting off and applying against the sender's obligation the
  right of the sender to receive payment from the receiving  bank  of  the
  amount  of  any  other  payment  order  transmitted to the sender by the
  receiving bank through the funds-transfer system. The aggregate  balance
  of  obligations  owed  by  each  sender  to  each  receiving bank in the
  funds-transfer system may be satisfied, to the extent permitted  by  the
  rules  of  the  system, by setting off and applying against that balance
  the aggregate balance of obligations owed to the sender by other members
  of the system. The aggregate balance is determined after  the  right  of
  setoff  stated  in  the  second  sentence  of  this  subsection has been
  exercised.
    (3) If two banks transmit  payment  orders  to  each  other  under  an
  agreement  that  settlement of the obligations of each bank to the other
  under Section 4-A-402 will be made at  the  end  of  the  day  or  other
  period,  the total amount owed with respect to all orders transmitted by
  one bank shall be set off against the total amount owed with respect  to
  all  orders  transmitted by the other bank. To the extent of the setoff,
  each bank has made payment to the other.
    (4) In a case not covered by subsection (1), the time when payment  of
  the  sender's  obligation  under  subsection  (2)  or  subsection (3) of
  Section 4-A-402 occurs is governed by applicable principles of law  that
  determine when an obligation is satisfied.