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Lets say I owe you Rs. 10,000/- and give you a cheque drawn on my bank account (ICICI). Let us see the sequence of events
1. I hand over the cheque worth Rs. 10,000/- drawn on ICICI Bank to you
2. You take it to your bank (lets say HDFC) and deposit it into your bank account
3. HDFC Processes the cheque and sends a request to ICICI for payment
4. If I have enough funds in my account, ICICI will process the payment and release the funds to HDFC Bank
5. HDFC Bank processes the payment and credits the funds into your bank account
The above is a simple illustration of how this whole Cheque Collection & Clearing mechanism works. If you had an ICICI Bank account too, this whole process would be much faster because, step 3 is not required at all. The bank will just check if you have enough funds in your account and if so, move the money into the payee's bank account
What else can I help you with?
How long does it take for IRS check to clear?
Different banks will have different policies for clearing government checks depending on the amount of the check. Fraud using checks designed to look like they are issued by the US Federal or a State government is widespread, and while many banks will clear checks in relatively small amounts within 3-4 business days, larger checks may be held for up to 21 days to make sure they are genuine.
How long banks take to clear checks?
usually they take up to 4 days but if its a higher sum they may keep it for a VERY long time!
Does Bank of America offer checks for free?
Most banks charge fees for the checks you use for your checking account. However, some banks such as Bank of America may offer free checks to enhance their business.
Do banks except colored ink when signing checks?
Yes, banks typically accept checks signed in colored ink, as long as the signature is clear and matches the one on file. However, it is generally recommended to use black or blue ink for better legibility and to avoid any potential issues during processing. Always check with your specific bank for their policies.
What banks offer checks for free?
Many banks offer checks for free, based on either the type of account you sign up for, additional services that you purchase from the bank, or the average balance you maintain in your account.
How many days do banks require to clear a personal checks?
3days
Do checks clear on presidents day?
No, they don't. Since the banks are closed for the holiday, checks that would have normally cleared on the holiday will clear on the following business day.
What happens when the federal reserve clears checks?
Federal reserve banks do not "clear" checks. That is done by the bank that the check was written on.
Can i cash a 2005 check?
A check is considered "stale" after 60 days. Most banks if they notice the date they will not accept it. But I have seen banks process and clear checks over that time in the past.
How long does it take for IRS check to clear?
Different banks will have different policies for clearing government checks depending on the amount of the check. Fraud using checks designed to look like they are issued by the US Federal or a State government is widespread, and while many banks will clear checks in relatively small amounts within 3-4 business days, larger checks may be held for up to 21 days to make sure they are genuine.
How long banks take to clear checks?
usually they take up to 4 days but if its a higher sum they may keep it for a VERY long time!
Which banks offer image checks as part of their service?
Image checks are not offered by all banks as part of their service. One of the banks that does offer image checks, though, is Bank of America, although fees may be applicable.
Does all banks do background checks?
Do banks do a criminal check for a loan
Does Bank of America clear checks on Saturdays?
Yes, Bank of America does not clear checks on Saturdays.
Do shell stations cash checks?
no banks do
what is my banks routing number?
You can get that number on your checks.
Which bank offer unlimited checks?
PNC bank offers unlimited checks . Other banks that offer unlimited checks are; People's United bank, Key bank and Capital one bank. These are some banks that offer unlimited checks.
