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


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.

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