Is a bank allowed to freeze my account because of a huge check deposit without any prior notice of this action by the bank?

The bank has also declined releasing other funds in my account when I demanded that they close my account, release my available money and send my uncleared check back to me in the post. This has left me and my family (wife and 3 year old daughter in a dire situation). We have had no money and no access to our banking facilities doe 3 days.

Asked on August 2, 2012 under Bankruptcy Law, Georgia

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

Under banking laws of all states in this country, there is standard protocol for a large check deposited into a customer's bank account to clear before the funds as to it will be released to the customer. The reason for this is that if the check is bad and funds are released before the check is verified as being good, the bank is out the money released.

What the bank did in your matter was acceptable.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.