When a check is put into the bank clears the pending part, and is called 'available cash',?

Question

I put a check into my bank account, checking. It went through the 'pending' part and is put into 'available cash'......do I need to worry about the money being in there? Some people tell me that the check could still be 'no good.'.......How does this work? It is listed as available cash.

Answer 1

A bank legally has to give you access to the funds on a check withing a certain amount of time (5 working days is typical).

However, just because the funds are available to you DOES NOT mean the check has cleared. It can sometimes (not often) take up to 30 days for a check to clear. If that check bounces a month from now, you will owe all the money back to the bank.

If you got one of those weird checks that you're supposed to now send the guy a portion of it back, don't do it. It's a scam and if you send him any money back, you just lost the money.

Answer 2

I can explain how it works, but I can't give you an absolute answer if that check has cleared. Here's why:
When you deposit a check, each Bank has a certain policy as to when those deposited funds are available. Generally, they will make a certain amount available to you the next day, and the remaining amount will be available depending on if the check is drawn locally or non-locally. (I.E. deposit a $1,000 local check, $750 is available the next day, $250 available after 2 business days.) Why is this done? Because the Bank needs time to collect the funds from the check you deposited. A situation can happen where the Bank as a courtesy (per its policy) has made funds available to you sooner than they have collected it. If they did, and you took the money out, and the check comes back as returned for whatever reason, they will take those deposited funds out of your account, which could overdraw your account. So even though the money is available, does not mean the check has cleared. The teller at the bank where you deposited the check will not know if it has cleared, as they do not have access to that information. Bottom line-it is good to wait some time before accessing your deposited funds. However, know that the risk is there in that the deposited funds could be returned for a variety of reasons. Due to varying collection times, it could take up to a week or more for a Bank to collect the funds.

Answer 3

If the check cleared the bank, it is,by the banks definition ,as good as paper Bills of Note. If the Bank has in its User Agreement or Acceptance of Terms stuff that you are liable for everything in the world and they cannot be held liable for anything in the world, (see Microsoft/Apple EULA) then it can be just paper. Which is what "available cash" really is anyways.
Pretty paper with a Promise of Gold. That is why on the US Monies it says This Bill is Legal Tender for all debts,,yada yada yada.
Go to the Federal Reserve and just try to get Gold for that Bill of Note and they will laugh at you.
It works the way Your Bank says it works, some Banks say when it clears you are released from any claims.
Some say that you, the claimant, are in perpetual liability for any misuse of funds that may or may not occur.
Answer is three days. Or it was 10 years ago.

Answer 4

Fay has got it totally. It can still be a bad check. It can take up to 30 days or more to ensure that it is a good check.

Especially with fake checks being harder to call counterfeit

Answer 5

If it's listed as available it should be available. Keep the receipt and if for some reason it's not, raise heck with the bank.

Answer 6

As long as the check has cleared then yes. if you have enough $ in your account you shuld be able to draw on it...