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Home >> Checks/Money Orders >> Checks You Received
Bank Error: Can you keep the funds?
I received a check from a friend and deposited it. Two days later my friend told me the check would be no good as it was from an expired checkbook. He issued me a new check, which I deposited, and a few days later both checks cleared.
Can I claim the money for both checks or do I have to return the initial amount? Also, do I incur any charges for depositing an expired check?
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 When you say that "both checks cleared," we presume you mean that your bank made the funds from both deposits available to you. That does not ensure that the checks have actually been paid by the banks they are drawn on.
It is likely that you will soon see your account charged for the amount of the first check. If that never happens, it will be because your friend's bank charged him for both checks, either by overdrawing the old account or by charging both checks to his open account. If that is the case, we hope that you will quickly return the extra payment to your friend.
Whether you incur charges will depend on whether the first check is charged back to your account. If it is, your bank may have a returned deposited item fee, or if you've drawn your balance down thinking you'd be allowed to keep the sum of the two checks, the charged-back check could cause your account to go overdrawn, and you'd be charged for that.
Published on BankingQuestions.com 6/12/07
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