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Counting the Days of a Hold
When the bank places a five day hold on a large check, does the business day that you deposited count as part of those five business days? The check was deposited on Monday, June 8, at 4:30 p.m. I believe the 5th day is today, June 15, but they say it is tomorrow. I am counting Tuesday, June 9 as the day it was deposited, because it was after 4:00 on the current business day.
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 If your bank tells you that your deposit (or a part of it) will be subject to a five-day hold, that means that the funds will be available on the fifth business day following the banking day of deposit. In other words, count the banking day on which you make a deposit as "Day Zero." Also, make sure you know on which banking day your deposit is made. Many banks have a cutoff time of somewhere between 2 and 5 p.m., Monday through Friday. Deposits accepted after the cutoff time are considered received on the next banking day.
You correctly indicated that "Day Zero" was Tuesday, June 9. The fifth business day following June 9 is also a Tuesday. Business days can only be weekdays that are not federal holidays. That makes the funds available on June 16, at the opening of business.
Published on BankingQuestions.com 6/23/09
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