banks dont comply with Expediated funds availability law

[kingcuppie]

What is the name of your state (only U.S. law)? PA
Ive noticed that almost anytime i put a LOCAL check in the bank that is over $1000 but under $5000 any bank i deal with always puts a special hold on it and doesnt comply with the expediated funds availability federal law. I bet any rich person who normally has thousands in his account doesnt get his check held when its between 1000 and 5000. I think a class action lawsuit should be filed as banks are discriminating against the poor by almost always not complying with this law and putting extra holds, delaying the availability of funds. they should have to have a SPECIFIC reason , not just they have a feeling it wont get paid.

 

[Antigone*]

What is the name of your state (only U.S. law)? PA
Ive noticed that almost anytime i put a LOCAL check in the bank that is over $1000 but under $5000 any bank i deal with always puts a special hold on it and doesnt comply with the expediated funds availability federal law. I bet any rich person who normally has thousands in his account doesnt get his check held when its between 1000 and 5000. I think a class action lawsuit should be filed as banks are discriminating against the poor by almost always not complying with this law and putting extra holds, delaying the availability of funds. they should have to have a SPECIFIC reason , not just they have a feeling it wont get paid.

Oh cupcake, you're just a glutton for punishment. Look, if I saw you coming, I'd put a hold on your deposit as well. No, actually, I take that back. I'd refuse to take your deposit and have you go bank somewhere else

Please check the poster's history

 

[racer72]

I bet any rich person who normally has thousands in his account doesnt get his check held when its between 1000 and 5000.

This is a sucker bet. It someone has enough funds in their account to cover a deposit, the bank will cash the check and will not put a hold on it. As usual, your anologies don't hold water.

 

[Antigone*]

This is a sucker bet. It someone has enough funds in their account to cover a deposit, the bank will cash the check and will not put a hold on it. As usual, your anologies don't hold water.

I'll take another bet. Any minute now, cupcake is going to start another thread in the technical section screaming to the moderators that we are mean!!!

 

[tiggergirl9]

I hate to jump in the middle, but I have to admit whenever I receive a personal check (during the course of my home party sales business) that amounts to more than $100 my bank surely does hold it for up to ten days with no explanation. They also hold cash deposits over $100 from posting, not releasing the funds for several days. This is a relatively new procedure first starting less than 5 months ago.

I am interested to know more about the law requiring release of such deposits within reasonable period (not ten days!). I know google is my friend in such situations, but maybe a little direction?

 

[Antigone*]

I hate to jump in the middle, but I have to admit whenever I receive a personal check (during the course of my home party sales business) that amounts to more than $100 my bank surely does hold it for up to ten days with no explanation. They also hold cash deposits over $100 from posting, not releasing the funds for several days. This is a relatively new procedure first starting less than 5 months ago.

I am interested to know more about the law requiring release of such deposits within reasonable period (not ten days!). I know google is my friend in such situations, but maybe a little direction?

Tigger, I am not home but will post the regulation for you a bit later. A mobile browser is a little hard to use for cutting and pasting.

I will say this:

If you deposit cash, you must have access to those funds no later than the end of business (when the deposit is verified).

If you are experiencing holds on your account the you must be told of the hold at the first opportunity (depends how you make the deposit). You don't necessarily be told why.

Again, I will post more info for you later.

 

[kingcuppie]

racer72 u dummie lol

I was trying to tell you banks are supposed to clear any LOCAL check $5000 and under within two business days UNLESS they have good reason to think it wont be paid and instead of having good reason, just anyone whos balance is normally low, they just put a long hold on it which is totally unjust and illegal, not complying with the expediated funds availability law

 

[Antigone*]

I hate to jump in the middle, but I have to admit whenever I receive a personal check (during the course of my home party sales business) that amounts to more than $100 my bank surely does hold it for up to ten days with no explanation. They also hold cash deposits over $100 from posting, not releasing the funds for several days. This is a relatively new procedure first starting less than 5 months ago.

I am interested to know more about the law requiring release of such deposits within reasonable period (not ten days!). I know google is my friend in such situations, but maybe a little direction?

Tigger, this is for your benefit. I won't even address the cupcake.

Regulation CC is the rules banks have to live by when it comes to funds availability.

Cash, electronic payments, treasury checks, U.S. Postal money orders and checks drawn on the same institution must be made available on the first business day following the banking day of deposit (“next-day availability”).

For certain types of deposits, Regulation CC permits financial institutions to delay, for a “reasonable period of time,” the availability of funds. A “reasonable” time period is generally defined as one additional business day (making a total of two business days) for on-us checks, five additional business days (total of seven) for local checks, and six additional business days (total of eleven) for nonlocal checks.

In addition if you have not managed your account properly (too many NSFs or returned items, extended holds can be placed as well).

If you want to read more just Google Regulation CC.

Take care, Auntie Gone

 

[TigerD]

I was trying to tell you banks are supposed to clear any LOCAL check $5000 and under within two business days UNLESS they have good reason to think it wont be paid and instead of having good reason, just anyone whos balance is normally low, they just put a long hold on it which is totally unjust and illegal, not complying with the expediated funds availability law

Strange. I have never had that problem.

Do you think maybe, your history of overdrawing your account could have a tiny weeny bit to do with the bank not taking your word that the check is good?

Perhaps Antigone can tell you the frequency of overdrafts for small balance accounts as opposed to medium and large balance accounts?

DC

 

[tiggergirl9]

Tyvm for replying. I have never in 12 years of banking with the same institution bounced a check, gotten a NSF, or other booboo (unique I know) seems this particular bank (which was recently bought out and renamed Chase) has just started doing this. Any help with how to remind the nameless people typing things in to clear checks and cash how to do it within the laws? lol

 

[AnotherMoron]

I bet any rich person who normally has thousands in his account doesnt get his check held when its between 1000 and 5000.

You would lose that bet. My husband and I aren't rich, but we are fairly well off and we have several accounts, each with thousands in them and our checks over certain amounts (I believe it's 1k for one bank 500 for the other) are always held save the 100.00 they have to make available for immediate withdrawal.

Find another rodeo, cowboy, this one's already lost.