Beware of Floating Cheques...
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Beware of Floating Cheques...
| Mon, 08-02-2004 - 9:20am |
I just read this report and I thought it best to share it with everyone.
http://moneycentral.msn.com/content/Banking/Betterbanking/P90617.asp
Kassandra

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You will probalby start seeing some Image Replacement Documents or IRDs start coming in place of your canceled checks. That is what I am seeing with our checks at work. It should pick up more in October. Bank of America is going to be piloting a test before then and I am sure the other large banks will be also.
I don't float checks by how long it will take to cash, but I do sometimes float by how long it will take a bill to arrive through the mail (like I may mail something on Wed. knowing I get paid of Friday, if it is going out of state, it should not be able to arrive and go through the banking system in two days).
Kathie
This has already happened with credit card payments!!!
Becky
CL of 4th, 5th & 6th grade Scoliosis
kathie
Kathie
Is this happening in the Canadian banking system? I don't write cheques, but my mum does and she would be shocked to learn that there is no more float time, though I don't think she ever relies on that anyway.
I don't do much without a debit card or credit card, but I am turning more to cash again anyway. Just curious.
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We have yet to see this is Canada but like Unicorn said, we aren't that far off.
Our banks still employ a 3 to 7 business day hold on people who deposit non-wage cheques to allow them to clear unless the account holder is in very good standing with their bank.
For the person who wrote the cheque, the funds will be taken usually within 1-2 business days of the cheque being "cashed".
True example: I gave the rent cheque for August to the owner on Saturday afternoon, he went to deposit it on Monday at his bank, it cleared my account at 12 a.m. Tuesday morning! If I had been counting on floating it I would have been screwed :)
Canadians adopted the debit (Interac) card system faster than any other country to the point where within 5 years of launching Interac, more of our "plastic" transactions were being done via debit cards rather than credit cards.
Kassandra
Kassandra
"It is said that life has its peaks and valleys. The challenge is to accept them equally and experience them
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We have been in tight spots again since I have been SOOO very tempted to just float a check, but I've kept that memory of going down to the jail to be registered as a felon for bouncing a check, and that keeps me from floating!! It had been so easy to say "Ah, I'll write it, they won't process it until tonight, it won't go to their bank til tomorrow and it won't hit my bank for two or three days...we should be fine!!!"
This will be one more thing I can use to keep myself from touching that checkbook (which is ONLY for paying bills with now!)
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