Clearing House

According to the requirements of the Law of Ukraine “On the turnover of bills in Ukraine”, the Unified law on transfer bills of exchange and ordinary bills, as well as the Provisions on clearing houses for submission of bills of exchange for payment, as approved by the Regulation №403 of the Board of the National Bank of Ukraine dated September 25, 2001, the Bank branches perform the functions of clearing houses for submission for payment of bills of exchange issued (accepting) by their customers.

The Bank’s fulfillment of the functions of a clearing house does not stipulate the encashment of bills of exchange, since the Customer, for the purpose of submission of bills, addresses directly to the Bank - the clearing house, which certifies the fact of the bills submission.

This aforesaid operation should also be distinguished from the domiciliation of bills of exchange, since the Bank is appointed as a special payer for domiciled bills of exchange, while the clearing house only certifies the fact of submission, but it is not a payer.

If the bill holder intends to submit a bill of exchange to the Bank, which is both a special payer on this bill and a clearing house, the Bank must perform the functions of the clearing house and pay the bill from the relevant account unless other orders from the payer on the bill are received in the established procedure.

The bill holder can submit the bill of exchange directly to the payer at the place of payment, or to the clearing house. Submission of the bill of exchange to the clearing house is equivalent to its presentation for payment.

As a clearing house, the Bank may accept a statement of intent to submit a bill of exchange if it is received within the following timeframes:

  • In case the clearing house and the payer are located in the same region (oblast) of Ukraine - no earlier than 14 and no later than 3 business days prior to the due date of payment;
  • In case the clearing house and the payer are located in different regions of Ukraine (for instance, they receive service by means of the “Client-Bank” system) - no earlier than 20 and no later than 14 business days prior to the due date of payment.