Earlier this month there was a check for $9800.00 deposited into my account. It was held for the regular five business days, then released on May 15, 2009. I withdrew the money only to find out a week later that I owe the bank all that money back. Why were the funds released if the check was no good? I don't have that kind of money to pay it back. It wasn't even mine in the first place. Can I claim bankruptcy because of this?
You admit that you knew the money wasn't yours in the first place, yet you complain you don't have the money to pay it back? Why do you blame your bank for your own actions?
Banks do not have crystal balls through which they can determine whether a check that's been deposited will be paid once it reaches the bank on which it's drawn. Your bank is required to make funds available to you within legally prescribed time limits. The time limits often aren't as long as it takes for a check to make the round trip to the banks they are drawn on and then back if they aren't honored.
The law and your deposit contract make you responsible for the deposited check regardless of your bank's release of the hold on your deposit, even if you've withdrawn and spent the funds. As for claiming bankruptcy, you'll have to talk to an attorney about that.
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You admit that you knew the money wasn't yours in the first place, yet you complain you don't have the money to pay it back? Why do you blame your bank for your own actions? 