Question as an example - Customer comes in and cashes a $2000. After he leaves the teller makes a comment to their supervisor in which the supervisor replies, we should of placed a hold on the check instead of cashing it because of some circumstances. The customer has $4,000 in his checking account. Even though the customer cashed the check, can the bank place a hold on the checking account for $2,000? If so, would we follow Reg CC guidelines as if the customer deposited the check? Thanks!

You can if you have this model language in your disclosures:

C-6--Holds on Other Funds (Check Cashing)

If we cash a check for you that is drawn on another bank, we may withhold the availability of a corresponding amount of funds that are already in your account. Those funds will be available at the time funds from the check we cashed would have been available if you had deposited it.

Rick - Thanks, we don't have this language in our disclosure. However, if we change our disclosures we would then follow the Reg CC guidelines, correct? Thanks again for your expertise. I love BOL!

I would reserve the cashed check hold right as well as the deposits to other accounts right. They may come in handy one day!

If you make the change, Grannie, don't forget to notify consumer accounts about it 30 days in advance of implementation.

Thank you to all!