This process can take a few days but, for most cheques, the bank makes the funds available to the customer right away.However, it isn’t until your bank gets confirmation from the cheque-writer’s bank that it knows for sure that the funds are available.A postdated check is a check with a future date written on it. Two potential reasons for this include: No fraud allowed: There’s no law making postdated checks illegal.It is illegal to write a check when you know you don’t have the funds to cover it, but things get a little fuzzy – and details depend on state law – when you postdate a check (assuming it is accepted as payment).However, keep in mind that it is illegal to intentionally write a bad check; if you’re postdating it with the intention of canceling it before the date, or if you know for certain that you won’t have the funds, you could run into legal trouble.The laws differ from state to state, but the short answer is yes.Ask first: What’s more, a postdated check might not be an acceptable form of payment.
If you’re going to write a postdated check (or receive one), here are some things you should know! (4) Where an instrument contains- (a) an order to pay a specified sum; and (b) an order to pay not more than a specified sum, the instrument shall be taken to require payment of the lesser of the sums so specified. (1) Where a cheque, or any indorsement of a cheque, is dated, the date shall, unless the contrary is proved, be presumed to be the day on which the cheque was drawn or the indorsement made, as the case may be. Application of rules in bankruptcy, laws of States and Territories and rules of the common law 5. Certain rights, duties and liabilities under Act may be altered by agreement 7. (3) An order to pay may be an order to pay a sum certain notwithstanding that the order requires a sum to be paid according to a rate of exchange specified in, or to be ascertained as directed by, the instrument containing the order.A postdated check offers the promise of controlling the uncontrollable: As time marches forward, you may wonder what the date on a check really does.Whether you received a postdated check or you’re thinking of writing one, it’s important to know how they work — and that they often don’t work the way you might expect. People usually postdate checks when they want the recipient (the person or business receiving the payment, also known as the payee) to wait before depositing the check.What most people don’t realize is that, until it receives that confirmation, the bank is really advancing you the money.