New Check Clearing Regs Kick In

[freetobegay]

AP) New federal regulations designed to speed up the processing of checks went into effect on Thursday, and consumer advocates advised Americans to be more vigilant about monitoring their accounts.

The Check Clearing for the 21st Century Act — better known as Check 21 — will allow financial institutions to exchange electronic images of consumers' checks rather than transporting the actual paper checks around by air, land and sea.

As a result, checks that consumers write are likely to clear faster than before, so there will be less "float" between the time a check is written and when funds are debited from the account.

And consumers who still get their checks back with their statements — about 36 percent of bank customers — are likely to begin seeing images of some checks among the paper ones.

http://www.cbsnews.com/stories/2004/10/28/national/main652068.shtml

[eaprez]

1. another way to screw the common working folk of this

country by collecting more FEEs ..... now people will have to figure out if its cheaper to pay a late fee or an insufficient funds fee.

[freetobegay]

2. Well my way of paying bills by juggling

has stopped!

[GP6971]

3. Does it apply

to the banks with OUR checks? Like the automatic 2 or 3 business day wait/hold on the checks we deposit? My guess....probably not.

[DebJ]

4. nope. it specifically does not apply. we're screwed, banks win.

surprise!