{"data":{"id":"us-ia/iowa-code-554.9340","jurisdiction":"us-ia","citation":"Iowa Code § 554.9340","heading":"Effectiveness of right of recoupment or setoff against deposit account.","body":"1. Except as otherwise provided in subsection 3, a bank with which a deposit account is maintained may exercise any right of recoupment or setoff against a secured party that holds a security interest in the deposit account.\n2. Except as otherwise provided in subsection 3, the application of this Article to a security interest in a deposit account does not affect a right of recoupment or setoff of the secured party as to a deposit account maintained with the secured party.\n3. The exercise by a bank of a setoff against a deposit account is ineffective against a secured party that holds a security interest in the deposit account which is perfected by control under section 554.9104, subsection 1, paragraph “c”, if the setoff is based on a claim against the debtor.","path":["Title XIII - COMMERCE (Ch. 505 - 554I)","Chapter 554 - UNIFORM COMMERCIAL CODE","Article 9 - SECURED TRANSACTIONS","Part 3 - PERFECTION AND PRIORITY","Subpart D - RIGHTS OF BANK"],"source_url":"https://www.legis.iowa.gov/docs/code/2026/554.9340.pdf","current_through":"Iowa Code 2026 edition","vintage":"","retrieved_at":"2026-09-14T19:40:15Z","sha256":"1ca935253a310cd03be8070999039c7b560d005f938fd2a31107be1f9c616e49","source_id":"us-ia","stale":false,"prev":"us-ia/iowa-code-554.9339","next":"us-ia/iowa-code-554.9341"},"notice":"GroundRules: Original legal text. Not legal advice."}