Banking laws post dating checks
Since it requires the bank to take similar steps to a stop-payment on a check, the bank might charge you a fee for requesting that it ensures postdated checks are held until the right date.Most state laws say that if you notified your bank about a post-dated check in writing a reasonable time before it receives the check, your bank is legally required to honor your request for six months or the bank will be liable for your fees.Check recipients can either decide to accept or not accept a post-dated check.A recipient can also check with her bank to see if it will cash it before the check's date, which the bank should not do if the writer has requested it doesn't. In West Virginia, for example, the law prohibits someone from requesting or accepting a postdated check if he intends to deposit or cash it before the check's date.Am I responsible for all the bounced check fees, since the checks wouldn’t have bounced if the bank had waited like it was supposed to before cashing it?The bank’s not responsible, since the law lets banks cash post-dated checks before the date on the check.Punishment for perpetrators varies from state to state, but includes fines, probation and imprisonment, depending on the severity of the fraud, as well as restitution to the person, people or entity defrauded.
But just about anything with the right signature on it is properly payable, including post-dated and overdrawn checks.
Post-dated checks are a risky form of do-it-yourself credit.
The main reason the law lets banks cash post-dated checks is that it’s too hard to look at checks for their date.
Processing 45,000,000 checks a day is tough enough, without looking at dates.
There’s one exception to the general rule that lets banks cash post-dated checks.
With an oral notice, your request is good for only 14 days.