I have an account with Bank Of America.
Have had one since 1987 in LA.
Now I live in Las Vegas and maybe I never noticed, or maybe it is a Las Vegas thing, but deposits are not credited very quickly.
I just got a check (an aftermath of a nice re-fi on my house) from Chase Manhattan bank. It is a bank check, from the bank.
BofA is making me wait seven business days for the check to clear!
It is a check from the bank! Not Joe Schmuck at Wildass Bank in Wyoming…a check from Chase, by Chase!
According to a bank teller who whispered the fact, there is a problem here with people who deposit checks that are bogus.
I have never done that and am more than pissed that they think after all these years, I suddenly am going to deposit a bogus check (it wasn’t all that much) and run off to Bolivia.
Am I just realizing the fact, or is this normal? Do all banks hold out of state checks that long - even if it is a bank check?
Many banks will not even cash cashier’s checks, they hold the funds till the check clears. Check fraud is a big time problem with banks today and that is their way of fighting it.
DMark, it it possible the check was a bank draft? I just refi’d through Chase and my money came in the form of a bank draft. Banks have never cashed these, they always have a hold on them till they clear.
I’ve had accounts with BoA in CA and here in GA. They’re pretty good for stuff like “huge ATM network” and “useful website,” but I had the same stuff the OP is talking about happen to me. I’d cashed out some shares in a mutual fund and was going to deposit the check, but they said they’d probably hold the funds for 14 days…maybe longer.
The check cashing place down the street cashed it and gave me cash money. Which I then deposited in my bank account.
A cashier’s check is a check drawn by a bank on itself signed by a cashier or other authorized bank officer and payable to a third party named by the customer. They’re backed by the bank’s funds, rather than whatever may or may not be in a customer’s checking account.
A draft is a check that requires authorization to be paid.
When you deposit a draft, your bank sends it to the bank it was drawn on. The paying bank confirms (usually automatically) with the writer of the draft that it’s OK to pay the draft. As drafts function almost entirely like checks, it can be hard to tell if you’ve been paid with a check or a draft. One “give-away” clue is that drafts frequently have “payable through” next to the bank name.
Going back to the time a cashier’s check or draft is held, it does take some time for your bank to send a draft to the paying bank and get confirmation back that it’s good and will be paid.
Cashier’s checks may be held as they’re a popular fraud/forgery target. After all, what’s a safer form of payment than a cashier’s check? But, armed with some official-looking check blanks and a check imprinter from the stationery store, a crook can come up with a bank name and start “hanging paper” all over town.