Legal Question in Banking Law in California

is it legal for a bank to allow a deposit of a post dated check


Asked on 3/31/10, 2:46 pm

2 Answers from Attorneys

Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Yes.

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Answered on 4/05/10, 2:51 pm
Bryan Becker Becker Attorneys

By agreement with the other party, a consumer may post-date a check if the consumer does not have sufficient funds in the account to cover the check but will deposit funds in the account to cover the amount thereafter. If you had an agreement with the other party not to cash the check prior to that date, it is plausible that they may be liable for your actual damages by breaching that agreement.

Prior to 1990, a bank could not process a post dated check before the date stated. However, now you may only require the bank to wait until the date on the check before paying the check by first giving the bank notice of the postdating describing the check with reasonable certainty. Your bank may charge a fee for this. As a precaution but not as a guarantee, it is advised that if you issue a postdated check, write the word "Postdated" above the date on the check.

Hope that helps,

Regards,

Bryan

Becker Attorneys

877.201.8728

[email protected]

www.bbeckerlaw.com

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Answered on 4/09/10, 10:16 am


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