|
 |
Home >> Checks/Money Orders
Time Span for Checks
Is there a time span when a check is no longer valid?
|
Untitled
|
 Generally, no, but there are exceptions. For example, U.S. Treasury checks are void after one year from their issue date.
In some cases, a check issuer agrees with its bank that checks will not be paid if they are more than a stated number of days or months old. Because dates on checks are not routinely verified by the banks they are drawn on, such an agreement requires some additional cooperation between the issuer and the bank. There is usually a notice printed on checks that are subject to this type of agreement.
Checks in the U.S. don't have an expiration date. However, if a check is more than six months old, the bank it's drawn on can refuse to pay it if it notices the date, but the bank can miss the date or ignore it, and pay the check, unless it knows that its customer doesn't want it paid. That would be the case if the customer had an effective stop payment order on file with the bank.
In general terms, if you're holding a U.S. Treasury check, make sure to cash or deposit it before it's a year old. If you have a check that has a "Not valid after" notice on it, cash or deposit it before that date. If you have any other check, you'd be smart to cash or deposit it before six months from its date. Don't hold a check. The sooner you cash or deposit it, the sooner you can use the money. It does you no good to wait.
If you issued a check, don't depend on its reaching a point at which it won't be paid. The more time passes, the less the likelihood that the check will be presented to your bank for payment, but there's never a point at which there is a guarantee it won't get paid from your account, unless you keep a stop payment in effect on it.
Published on BankingQuestions.com 8/18/08
|
| |
|
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
