A lender may establish « control » in one of the following ways: (i) the borrower maintains his or her deposit account directly with the lender; 2. the lender becomes the beneficial owner of the borrower`s deposit accounts with the borrower`s custodian banks; or (3) the lender and borrower enter into a deposit account control agreement (known as DACA) with the borrower`s custodian bank. In any case, these agreements apply in addition to the hedging agreement by which the borrower grants a hedging interest for his current accounts. The establishment of a deposit account control agreement allows lenders to perfect their interest in a debtor`s current accounts (UCC § 9-104) and to define who can introduce disposition instructions (transfer instructions) to the bank in respect of the controlled current account(s). For the mutual account, as the UCC uses it, you need an authenticated data set. This can be done through a current account control agreement. The agreement grants you the lender « control » of the account and here your security interest is perfected. A Deposit Account Control Agreement (DACA), also known as a Control Agreement, is a tripartite agreement between a deposit customer (the debtor), a deposit customer`s lender (the secured party) and a bank. . .