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Postdating a check law

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What are Postdated Checks? Postdated checks are written to be drawn from the checking account only after a certain date. In other words, postdated checks only become "functional" after the date mentioned on the checks. This means that the initial holder of postdated checks cannot use them until the date on the checks has come.

This is not necessarily true, how, as there are some banks that will indeed accept postdated checks and will deposit funds into the check holder's tab in exchange for the postdated checks, even in the future the date of the check's date has upon.

The primary distinction of postdated checks in that instance, then, is that a postdated check cannot be drawn from the checking account of the drawer on a escort prior the date listed on the check. That means that if the drawers of postdated checks know that they choice be receiving deposits on a certain date, soon after they can ensure that the deposits will be in their checking accounts prior to the plan of the postdated checks.

In this way, the drawer of a postdated check will be qualified to avoid any overdraft fees from the postdated check being drawn on a checking account after enough money in it to support payment of the check.

Postdated checks are perfectly legal, as long as they are not being used to illegal purposes. For happened, a postdated check cannot be used with the intent to prevent any money from being haggard from a checking history by receiving whatever goods the drawer buys from the payee with the postdated check and formerly canceling the check preceding the time when it can be pinched by the payee. In general, however, postdated checks are perfectly acceptable in most instances.

As mentioned earlier, banks will accept postdated checks regardless of whether or not the date has acquire a win.

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