Custodial Bank Account Terms

These Terms bind Centrapay Limited (Centrapay, we or us) and you, the User, when you register for a Centrapay Account.

By opening a Centrapay Account, you irrevocably agree to these Terms which form part of the Centrapay User Agreement (User Agreement), accessible here.1

Any capitalised terms used but not defined in these Terms have the meanings given to them in the User Agreement, unless the context requires otherwise.

Custodial Bank Account

The Custodial Bank Account is one or more separate bank accounts that Centrapay maintains at the Account Bank. We use the Custodial Bank Account to pool and clear all NZD funds resulting from our Users’ Supported Transactions.

Centrapay Account – NZD balance

Your Centrapay Account is not a bank account.

Any ‘available’ NZD balance in your Centrapay Account can be transferred to your User Bank Account, net of fees, fines and other amounts owed to us at the time of transfer. Transfers typically take 1 – 3 business days to process.

If you have a negative NZD balance in your Centrapay Account, then we will initiate a transfer for the amount of the deficit from your User Bank Account to the Custodial Bank Account using our direct debit.

If the Account Bank requires any additional information from you before it will process a transfer, you undertake to provide that information in full as soon as possible. You understand that your failure to provide accurate information could result in your funds being sent to the wrong bank account or to you receiving the wrong amount, and that we may not be able to recover funds lost as a result of incorrect transactions. You will not make any claims against us related to such incorrect transfers and you will fully reimburse us for any losses we incur.

Please note that:

• The NZD balance of your Centrapay Account is not guaranteed by Centrapay, the Account Bank nor by any other person.
• You are not entitled to earn interest on the amount of NZD reflected in your Centrapay Account.

Legal ownership of Custodial Bank Account funds and interest

Centrapay is the legal owner of the funds in the Custodial Bank Account, and the Account Bank owes the credit balance of the Custodial Bank Account to Centrapay, as the legal account owner.

We will retain the amount of any interest earned on the credit balance of the Custodial Bank Account to cover costs incurred in operating the account and providing the Services.

Your rights in relation to Custodial Bank Account funds

No funds held in the Custodial Bank Account represent money deposited with, or lent to, nor owing by Centrapay to you.

Centrapay can amend these Terms on two weeks’ prior written notice of the proposed change to Users, in accordance with clause 12.6 of the User Agreement, without your consent or the consent of any other User or person.

We can change the Account Bank at any time if we consider it to be necessary or desirable for the purposes of operating the Centrapay business. If we do so, we have the power to transfer to an account at a different bank which will we will operate in accordance with these Terms. We do not require your consent, nor the consent of any other User or person to do this.

These Terms operate subject to the Account Bank’s terms and conditions. In the event of any inconsistency, the relevant provision of the Account Bank’s account terms and conditions relating to the Custodial Bank Account prevail over the relevant provision of these Terms.