Depository Transfer Check

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Depository transfer check (DTC)

Check made out directly by a local bank to a particular firm or person.

A check made by a bank to a company. A depository transfer check is useful when a company collects revenue at multiple locations in a given day. For example, if a company has several branches in the same city, the company's bank may collect funds from all locations, amass them in a single location, and then issue the depository transfer check to the company. The company may then deposit the check at that bank or at another one. A depository transfer check physically appears like an ordinary check, with the only difference being that it states "depository transfer check" on it.

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