Beagle

Karyn

Guitarhacker

slartabartfast

Most banks show "account balance" - What you think you have, and "Available Balance" - Funds you've paid in that have actually cleared. 

Many banks will show the "available balance" long before they actually have the money in hand. They will still not hesitate to debit your balance and charge you a fee if the check bounces weeks later. 

Correct!  Since you are a customer, they make the "fake check" amount available to you immediately and it may take 2 to 3 weeks or perhaps longer until the check is returned NSF or No Account Exists...... then your bank hits YOU for the money and fees.... and it it overdraws the account...add that fee to the bounced check fee. 

This must be why US banks are in such a mess*, a UK bank will not let you draw a penny against a cheque untill it has properly cleared.  For most cheques drawn on another UK bank that will take 3 days.  For a building society cheque you're looking at ten days. For foriegn banks it can be 2 weeks or more, but it's improving.  But untill the bank is happy the cheque is good YOU GET NOTHING.  Your account will show you've paid it in but you can't draw against it.
 
 
* Yes, UK banks are in a mess as well but for different reasons.

paper checks in the US are almost non-existent anyway.  I think the only time I've had any paper checks issued to me in the last 3 or 4 years was from an auto accident where the insurance company issued a check in both my name and the name of the body shop.