Does a bank have to cash an IRS check?

Question

I went to BANK OF AMERICA with my IRS refund check. The check had my name, address and social security number on it. I showed the Teller and bank manager my driver's license with my picture on it and my social security card with the matching social security number on it and they STILL refused to cash the check.

Answer 1

Very few banks will cash a check for a non customer. There is too much fraud going around.
✩

Answer 2

An IRS levy does not close your account. What it does is attach to whatever funds are in your account the day the levy is received. Those funds are held for 21 days then sent to the IRS. It does not affect future deposits and should not affect your ability to cash checks. It may affect your ability to use an ATM, though, and banks usually charge a hefty fee to process the levy. The IRS would have to issue another levy to attach additional funds, and that isn't routinely done. But as to your questions: 1. There are countless check cashing businesses who would love to charge you high fees. 2. No, unless it is over a certain amount. I'd be surprised if they would ask for your SSN unless they DID have to report it because of the amount. Even so, I wouldn't worry about it unless you're doing something illegal. I know you didn't ask for advise about how to deal with the IRS, but here's something you may not know. Unless the bank has already sent the money, it may be possible to get it released. If you can demonstrate hardship they must release at least enough to relieve the hardship. On the other hand, do you even know how much is being held? It may not be enough to worry about. In any event, coming to some kind of agreement with the IRS about resolving your balance will prevent any further bank or wage levies.

Answer 3

Many times banks will not cash checks for non-customers unless the check is drawn on an account of one of their customers, and sometimes not even then.

What banks WILL do with a government check is treat its deposit same as cash, so you could open an account, deposit the check, and then withdraw the money at an ATM without having to wait days for the check to clear.

If you haven't learned by now it is much better to have any IRS refunds direct deposited to your designated bank account. It is many weeks faster than waiting for a paper check in the mail, and as soon as the money hits your account it is available.

Paper checks are passe.

Answer 4

A bank can refuse to cash any check. They're in the business of serving their customers. If you don't have an account at that Bank, you're not one of their customers.

If you used that check to open an account at that bank, then they'd cash it to open the account. Because, then you'd be their customer.

Answer 5

Without having account with the particular bank, you can only cash this IRS check in any branch of the bank it was draw to.

Answer 6

Banks don't have to cash a check for you, even with proper ID, if you don't have an account with them.

Answer 7

Bank of America sucks.