I received a money order from a friend. My account is in good standing although I had a few overdrafts in the past. I've been depositing payroll checks into my account all along and I tried to deposit this money order and was told my account would have to be put on hold until it cleared. Why would the bank have to even do something like that?
2007-02-18 05:22:03 · 4 answers · asked by fun_mama 2 in Business & Finance ➔ Personal Finance
Banks hold money that is 500 and above or 1000 and above. Its what they do normally
2007-02-18 05:25:54 · answer #1 · answered by CA_Burn 2 · 0⤊ 0⤋
More than likely to insure that there wasn't a stoppage of payment on the money order. Sometimes people will pay someone with a money order, keep the receipt, and then quickly go back to where they purchased it and say they lost it and stop payment and get their money back. That's probably why they put a hold on your account..just to be sure you're not passing a bad money order.
2007-02-18 05:27:14 · answer #2 · answered by Mark 1 · 0⤊ 0⤋
Money orders are often stolen, forged etc, so it is pretty typical for banks not to release the funds until it clears from the source where it was written. Nothing personal in regard to your account I'm sure!
2007-02-18 05:27:43 · answer #3 · answered by moosviews4u 3 · 1⤊ 0⤋
This happened to me last year. I bounced checks that I wrote against the deposit, but I complained and the bank refunded the fees.
2007-02-18 05:33:05 · answer #4 · answered by The man in the back 4 · 0⤊ 0⤋