I recently deposited a check for $2,000 into my account that was made out to my father. The bank asked me to fill out a "Hold Harmless" form two weeks later even though the check had cleared. The bank is still holding the money from the check. Is this the standard order of practice? How long can the bank hold the funds from the check?
When checks are deposited to checking accounts, there are limits to the duration of any holds placed on the funds. However, those limits can be stretched when a bank can document a reason for doing so -- usually in connection with a check it has good reason to believe won't be paid.
Those rules apply when a check is routinely deposited. Without knowing more about the check and the bank's reasons for asking you for a "Hold Harmless" form, it can't speculated how long those funds might be held up.
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When checks are deposited to 