Obviously it would bounce, but do they get the $500, or are they just stiffed?
2007-07-19 08:27:10 · 8 answers · asked by Tim 6 in Business & Finance ➔ Other - Business & Finance
When you write a check to a person and they deposit it into their account, the first $100 becomes immediately available. An additional amount can become available in a matter of days - how much depends on the account's historical balances and the source of the check, but generally not more than a few thousand. The remaining balance of the check amount becomes available when the check has cleared. Realistically, though, if someone comes into a bank with a $1 million personal check, the bank would call the issuing bank immediately because it's unlikely that someone would choose to transfer funds this way - a wire transfer or even a cashier's check would be much more likely.
If a check for $1 million arrived to collect from an account with only $500, it would simply be sent back for insufficient funds - the $500 would not be released.
When a check comes back for insufficient funds, the bank that took the deposit can either resubmit it for payment or simply charge the amount it has released on the check against the depositor's account. So if, for example, $1,100 had been released against a bad check, then that amount would be deducted from the depositor's account, and the depositor would have to go back to the issuer of the check to try to collect. Additionally, the bank would charge a fee to the depositor.
Generally, banks are risk averse and manage accounts to minimize their potential losses. Hope that helps.
2007-07-19 08:48:57 · answer #1 · answered by Marko 6 · 0⤊ 0⤋
You both would end up owing the bank some fees (unless the person you wrote it to just tried to cash it at YOUR bank). Also, that person COULD file a report with the District Attorney's office for you writing a bad check to them. So, it's probably not a great idea, but it's fun. :-)
2007-07-19 08:35:54 · answer #2 · answered by nsupanda82 3 · 0⤊ 0⤋
They get stiffed......but when you write a check you now owe them that money. If a bank says that the funds are not available they can take that check to your city's district attorney to collect the funds.
2007-07-19 08:34:54 · answer #3 · answered by :) 3 · 0⤊ 0⤋
Remember the old adage that you do not get something for nothing. Ask yourself? Did I buy something that I might have won this award? Have I ever heard of these people? Did Yahoo contact me first to tell me about this contest. If the answer is no, then you have a scam on your hands. Just ignore these people. But if you don't believe me, than contact Yahoo. They will probably want to know about it anyway.
2016-05-17 12:12:40 · answer #4 · answered by ? 3 · 0⤊ 0⤋
They would get nothing, then write you to make restitution, if you did not they would file a police report, put out a warrant for our arrest, and you would have your day in court. Read it in the newspapers every week just not for that large of an amount
2007-07-19 08:58:40 · answer #5 · answered by Pengy 7 · 0⤊ 0⤋
No they get nothing ! But you will be charge for bouncing a check and so will they
2007-07-19 08:30:25 · answer #6 · answered by Leila24 2 · 0⤊ 0⤋
The check would be returned to the person you wrote it to...you would be charged a NSF fee and they would be charged a returned item fee.
2007-07-19 08:30:19 · answer #7 · answered by Anonymous · 0⤊ 0⤋
They would get a shotgun and start looking for me!
2007-07-19 08:34:28 · answer #8 · answered by Anonymous · 0⤊ 0⤋