A customer placed a stop pay on a check for $1,600. The bank first processed the deposit as $16.00 so our system didn't stop it and the customer didn't realize it until several weeks later. I have looked everywhere and can't find any case similar to this. Can we return it and if so, for what reason, additional paperwork is needed?
If a customer has a business checking account in which they require two signatures on checks, are we required to get two signatures on stop payments or will one suffice?
Is there a minimum or maximum length of time that a stop payment order for Expense Checks is applicable?
We are the bank of first deposit for a cashier's check returned to us due to a stop payment by the paying bank. It is past the 24 hour window. We need the proper verbiage or a sample template to demand payment, in writing, based on UCC. Do you have a sample?
Does a stop payment on an ACH item end after 6 months?
Can a customer place a perpetual stop payment order? I know that the banks place stop payments which expire six months after receiving the order but I was recently asked if we could place a stop payment without an expiration date.
If our customer has signed our stop payment agreement that states he has notified the Originator that he has revoked the authorization for this item and our form states that by signing the form, he confirms he has done so, does this stop payment have to stay on our system forever?<br/>
We have customers who are wanting to put stop payments on ACH withdrawals that pay back their pay day loan. The reason they give is "too early", "different amount" or "multiple withdrawals". Are these valid reasons to do a stop payment? Where could I find information addressing valid reasons for stop payments?
I was contacted by my customer "Charlie Customer" and he asked to have two stop payments placed against two personal checks each for $5,000.00. The following day a now previous employee cashed these two checks for Frank Fraud, the payee. These two checks were supposed to be earnest money for a upcoming home sale that fell through due to Frank Fraud and no contract was signed since they operated under a gentleman's agreement so Charlie Customer did not receive any services or products for these two checks. We made contact with Frank Fraud who of course refused to bring the funds back to the bank. Question: Does the bank have any legal recourse to recover these funds? It seems the only person that would be able to file a suit would be Charlie Customer; however, since he placed the stop payment, the funds came from the bank instead of Charlie Customer's account and he now has no motivation to file suit since he isn't out any money. We referred to the UCC code for our state however; like most states it covers the customer's damages and doesn't seem to give any guidance to the financial institution.
In Texas, is it legal to issue a stop payment on a Cashier Check issued the same day? Is there a time frame and/or an indemnity bond requirement?