These two questions have to do with the US, but I don’t know if the answers vary by state. If they do, I live in Montana and we’re still eagerly awaiting the first signs of Spring.
Let’s say my daughter, who happens to live in Oklahoma, sends me a check. I go to my local bank and cash it. I have plenty of money in my account to cover it, but that shouldn’t really matter. Because it’s a relatively small amount of money ($50) my bank doesn’t put a hold on the check and they just hand me the cash. It later turns out that my daughter’s check bounces. My bank is then out the money since they already paid me the $50. If my daughter makes good on the check then her bank will cover my bank and everybody is happy, but what happens if my daughter doesn’t make good on the check? Is my bank simply out the $50? They can’t now take the $50 out of my account, can they?
Let’s say I have a rental condo and that instead of using a credit card a prospective guest wants to pay me in advance using a personal check. I receive his check for a few hundred dollars and deposit it, and after the 10-day waiting period the money shows up in my bank account. At this point is there anything that could happen that would allow my bank to withdraw the money out of my account based on something the prospective guest did, such as stop payment on the check? I want to make sure that once the money is safely in my account it can’t be taken out because the guest changed their mind. If he changed his mind I would, of course provide him a refund based on my refund policy.