Skip to content
BOL Conferences
Learn More - Click Here!

Thread Options
#2044880 - 10/19/15 04:59 PM Rep Payee Check Cashing
lndsy213 Offline
New Poster
Joined: Oct 2015
Posts: 7
If an account is set up as a Rep Payee account, does anyone allow the beneficiary to cash checks off of this account?
Our situation is that the Rep Payee usually issues Bill Pay checks to the beneficiary, and then the beneficiary comes and cashes though.

Return to Top
Operations Compliance
#2044883 - 10/19/15 05:15 PM Re: Rep Payee Check Cashing lndsy213
ocbeach Offline
Junior Member
Joined: Sep 2015
Posts: 47
Maryland
Yes, if the beneficiary is payee on the check, we would cash it.

Return to Top
#2044911 - 10/19/15 06:26 PM Re: Rep Payee Check Cashing lndsy213
Matt_B Offline
Diamond Poster
Matt_B
Joined: Sep 2011
Posts: 1,648
A CU, Where Regs Don't Apply
Absolutely. This is typically how the beneficiary gets their "allowance"/spending money from the rep payee. Especially common if the rep is a business.
_________________________
Someone's about to get horned!

Return to Top
#2044916 - 10/19/15 06:29 PM Re: Rep Payee Check Cashing lndsy213
ahkcompliance Offline
Diamond Poster
Joined: Sep 2008
Posts: 2,474
Midwest
We would based on the same comments above.

Return to Top
#2045855 - 10/23/15 02:58 PM Re: Rep Payee Check Cashing lndsy213
John Burnett Offline
10K Club
John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
When you first described it as "cashing checks off the account," I was concerned you were referring to checks payable to the beneficiary by third parties, and the beneficiary cashing them based on some confused idea that if one of them bounced, you could charge it back to the Rep Payee account. THAT would be a non-starter, since you would not have the right to recover against the account.
_________________________
John S. Burnett
BankersOnline.com
Fighting for Compliance since 1976
Bankers' Threads User #8

Return to Top

Moderator:  Andy_Z, John Burnett