Is it ok to add some of our own descriptions for hold reasons for "reasonable cause to doubt collectability"?
Sometimes a customer gives us enough information to doubt the check will be paid. They might just tell us that they were not expecting a payment from XX but would like to deposit just in case it is good. Confidential information reason doesn't seem fitting. Can we create our own that describes that the customer has their doubts about the check being valid?
For example, something like this:
We have reason to doubt collectability for this reason:
The customer was not expecting the check, has questioned the validity or source of the check, or has given some other indication the check may be fraudulent or may not be paid.
Management doesn't want to send for collections, so that's not an option. Deposit the check with a 7th day availability hold is what they want to do.
Is this ok?
Always learning something new...