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Old 02-21-2008, 06:07 PM
 
2 posts, read 87,868 times
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Today I recieved a long awaited insurance check. Perfect timing right? Since my fiancee and I have found the perfect house that we intended to put a down payment on. Wrong! Upon arrival at my bank I was informed that there would be an 11 to 14 day hold put on the check. I explained to them the situation, and that I simply did not have 11 days. That we wanted to put a down payment on it by tomorrow because there was an open house scheduled this weekend. I told them not to deposit it today, because I want to see what my options were. Now for my question. The issuing bank is not my own, it is Bank of America. I'm wondering if it is possible to take this check to the issuing bank to cash it. Not exactly cash it, but possibly get a Certified Bank Check which I could then present to my bank which could be deposited into my account and clear instantly? In time to get our downpayment in.
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Old 02-21-2008, 06:39 PM
 
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I used to work at a bank and at that particular bank, it didn't matter where it was drawn from. There was a special hold on insurance checks because there's a better possibility of the insurance companies stopping payment for some reason.
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Old 02-21-2008, 06:39 PM
 
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I think you have to have an account with bank of america. How else could they verify that you are indeed the person on the check it is made out to. Thank you.
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Old 02-21-2008, 06:43 PM
 
Location: Papillion
2,583 posts, read 7,012,539 times
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Large fraud in the insurance industry... I am not suprised at the hold period... seems reasonable to me.

If you have a long-term relationship with your bank and you are personally known to them, you might get an officer to lower it to 5-7.... (an advantage of dealing with a community bank as opposed to a large national)...
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Old 02-21-2008, 07:31 PM
 
Location: The Big D
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Yep, the hold is the norm and pretty much to be expected at any bank. UNLESS you have enough money in the bank to cover the check on your avg balance. For large "checks" there is going to be a hold and those insurance "checks" are not really "checks" but more like a "draft". If you look on the back of the check it will probably have some nice wording that your going to agree to when you sign it. Insurance companies are KNOWN to return those puppies if it is made out to John A. Smith and you only sign "J Smith". The endorsement MUST be EXACTLY as it is made out payable to. With the automated systems in place today most of this gets overlooked but it can and does happen.

You can TRY to take it to Bank of America but expect them to charge you a HEFTY fee to "cash" it and give you a cashiers check in return. Your not going to get a "bank certified check". The only form of payment you can get from a bank is a Cashiers Check or Money Order. A "certified bank check" will still get a hold put on it at your bank till it clears.
Are official checks considered "certified"? - John Burnett
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Old 02-21-2008, 08:05 PM
 
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Thank you very much for your responses. Now for a few more questions... Would opening a checking or savings acct. tomorrow morning at BoA make a difference as to whether or not they would cash the check(draft)? And if I get it certified by an officer at BoA then take it to my bank will it shorten the hold time on the check? I was under the impression that the issuing bank could check the account in question, and verify the contents of that account as having sufficient funds to process the transaction and have no problem cashing it, but with tomorrow being friday and all I doubted the possibility of them letting me stroll out of there with $98,000.
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Old 02-21-2008, 08:06 PM
 
Location: Papillion
2,583 posts, read 7,012,539 times
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Quote:
Originally Posted by antond82 View Post
Thank you very much for your responses. Now for a few more questions... Would opening a checking or savings acct. tomorrow morning at BoA make a difference as to whether or not they would cash the check(draft)? And if I get it certified by an officer at BoA then take it to my bank will it shorten the hold time on the check? I was under the impression that the issuing bank could check the account in question, and verify the contents of that account as having sufficient funds to process the transaction and have no problem cashing it, but with tomorrow being friday and all I doubted the possibility of them letting me stroll out of there with $98,000.
I don't believe opening the account now won't help... if there is any hope it would have to be with an established account. But never hurts to call them, just in case.
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Old 02-21-2008, 08:52 PM
 
Location: The Big D
14,874 posts, read 23,520,634 times
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Opening an account will not help. Even when a depositer puts a insurance DRAFT into their account and they are on the same bank they still put a hold. Insurance DRAFTS are totally different than a NORMAL check. Ultimately the INSURANCE COMPANY is the one that will give the "okay" for it to go ahead and clear and pay up NOT the bank even IF the funds are there for it.
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Old 02-21-2008, 09:35 PM
 
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Don't rush into anything.
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Old 02-21-2008, 10:17 PM
 
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I have cashed somewhat large checks by going to the issuing Bank, two forms of ID and thumb print endorsements...

It is very unusual to need any cash when making an offer on a home or to open Escrow...

I typically open Escrow with a $1000 check, to be held uncashed, pending Seller's acceptance. The Check is always made out to the Title Company that I deal with... The person paying for the Title Service has the right to specify the Title Company...

I agree, don't rush into anything! Something does not sound right.

Opening a B of A account should do two things for you...

First... as a customer, you should not have to pay any fees to cash the check and they should wave the Certified Check Fee when you have it made to the Title Company.

Second... B of A can verify and put a hold on the funds immediately.
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