KarynSolo wrote:
Herein is a problem concerning the banks. When you deposit a check at your bank they have no idea if it is counterfeit or not unless it is painfully obvious. they do not know if there is even enough money in the account and bank it is drawn on. They simply verify that the bank routing number matches that of the branch listed on the face of the check.
The check then goes through the Federal Reserve and then onto the bank it is drawn on, there is where it is usually discovered counterfeit or forged.
Banks really are getting my skin crawling with stupidity over all of this, they know that they cannot find out for sure about an instrument ( check ) until it either is paid or comes back to them unpaid. Yet they still insist on immediately or within 72 hours crediting an account with the money ahead of final clearance.
Until banking laws are tightened up on and banks start getting held responsible for this, things will not change.
Money has to credited within an alloted time due Reg CC, and we do not match the routing numbers either, the routing number is never keyed in at the branch level.