A check used by a designated collection bank for depositing the daily receipts of a corporation from multiple locations. Depository transfer checks are one method of ensuring better cash management for companies that collect cash at multiple locations. A third-party information service first transfers data on the day's receipts from the facility manager at each location to a concentration bank. Based on that data, the concentration bank then creates DTCs for each deposit location and enters them into the check-processing system.A DTC is also known as a "depository transfer draft." |||A DTC looks like a personal check, except that "Depository Transfer Check" is written across the top center of the face of the check, and the DTC does not bear a signature.ACH has gradually dislodged DTC-based systems because it is faster, cheaper and more efficient. Firms that are not part of an ACH network must still use DTCs.