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The problem with a check is that all the funds are not available right away. Typically I need to refresh my checking account in order to pay an upcoming bill (s
by jetti 9y ago
The problem with a check is that all the funds are not available right away. Typically I need to refresh my checking account in order to pay an upcoming bill (such as mortgage) because other expenses popped up and drained my account. Though a bank check would be better for times that aren't time sensitive.
- criddell 9y agoHave you ever asked your banker if they would make the funds immediately available? Mine will do that for me because I have more than a decade of history with them.
- turc1656 9y agoI could be wrong, but I believe bank checks are treated as cash because they are certified by the originating bank. They aren't like a regular check. They are considered to be a cash equivalent because it was issued by a licensed banking entity with a charter. I am pretty sure the funds clear immediately, or could be made available immediately with a request to the depositing bank. UPDATE - It seems this used to be true (or they would clear next day) but this has changed after an increase in fraudulent checks so many banks now wait until the check actually clears the originating institution.