You're writing a check to your landlord, but you don't have enough money in your account. So you date the check a few days in advance — also called postdating it — hoping your paycheck will clear by then. Show Bad news: The check date won't delay anything; your landlord can still cash the check as soon as they receive it. Here's what you need to know about postdating and what you can do instead. Is it illegal to postdate a check?“From a criminal law perspective, there is nothing inherently illegal about postdating a check,” says Eric Hintz, a criminal defense attorney in Sacramento, California. Hintz says that only criminal intent, such as intentionally not having enough money for a payment, can be grounds for check fraud. However, postdating a check can lead to inconveniences and ill feelings for the payee, such as when a tenant sends a rent check and may or may not have the funds ready to be withdrawn. "It’s kind of a tricky scenario,” says Matt Foster, founder of the rental property search site iRent and a landlord in Ventura, California. He receives checks from some renters on the 28th or 29th of the month that are dated for the first of the next month. He suspects his tenants do this to keep him from cashing their rent checks before they've been paid, so their rent checks don't bounce. Luckily for them, Foster waits to cash postdated checks, but he isn’t legally obligated. And in most cases, neither are banks. SavingsCash ManagementCDCheckingMoney Market A savings account is a place where you can store money securely while earning interest. A savings account is a place where you can store money securely while earning interest.  SoFi Checking and Savings APY 3.50%SoFi members with direct deposit can earn up to 3.50% annual percentage yield (APY) on savings balances (including Vaults) and 2.50% APY on checking balances. There is no minimum direct deposit amount required to qualify for the 3.50% APY for savings and 2.50% APY for checking balances. Members without direct deposit will earn 1.20% APY on all account balances in checking and savings (including Vaults). Interest rates are variable and subject to change at any time. These rates are current as of 12/16/2022. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet Marcus by Goldman Sachs Online Savings Account APY 3.00%3.00% APY (annual percentage yield) with $0 minimum balance to earn stated APY. Accounts must have a positive balance to remain open. APY valid as of 11/08/2022. Discover Bank Online Savings APY 3.00%Advertised Online Savings Account APY is accurate as of 11/10/2022 These cash accounts combine services and features similar to checking, savings and/or investment accounts in one product. Cash management accounts are typically offered by non-bank financial institutions. These cash accounts combine services and features similar to checking, savings and/or investment accounts in one product. Cash management accounts are typically offered by non-bank financial institutions. Wealthfront Cash Account Betterment Cash Reserve – Paid non-client promotion APY 3.20%Annual percentage yield (variable) is as of 11/07/2022. CDs (certificates of deposit) are a type of savings account with a fixed rate and term, and usually have higher interest rates than regular savings accounts. CDs (certificates of deposit) are a type of savings account with a fixed rate and term, and usually have higher interest rates than regular savings accounts. CIT Bank CD Marcus by Goldman Sachs High-Yield CD APY 4.15%4.15% APY (annual percentage yield) as of 12/06/2022 SoFi Checking and Savings APY 2.50%SoFi members with direct deposit can earn up to 3.25% annual percentage yield (APY) on savings balances (including Vaults) and 2.50% APY on checking balances. There is no minimum direct deposit amount required to qualify for the 3.25% APY for savings and 2.50% APY for checking balances. Members without direct deposit will earn 1.20% APY on all account balances in checking and savings (including Vaults). Interest rates are variable and subject to change at any time. These rates are current as of 11/30/2022. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet Upgrade Rewards Checking Deposits are FDIC Insured Current Account Deposits are FDIC Insured Chime Checking Account Axos Bank® Rewards Checking APY 1.25%Receive monthly direct deposits totaling $1,500 or more to earn 0.40% APY. Use your Axos Visa® Debit Card for a total of 10 transactions per month (min $3 per transaction) or sign up for Account Aggregation/Personal Finance Manager (PFM) in Online Banking to earn 0.30% APY. Maintain an average daily balance of $2,500 per month in an Axos Managed Portfolios Invest Account to earn 0.20% APY. Maintain an average daily balance of $2,500 per month in an Axos Self Directed Trading Invest Account to earn 0.20% APY. Use your Rewards Checking account to make your full monthly Axos consumer loan payment to earn 0.15% APY. Money market accounts pay rates similar to savings accounts and have some checking features. Money market accounts pay rates similar to savings accounts and have some checking features. UFB Best Money Market Discover Bank Money Market Account What are bank rules on postdated checks?Banks and credit unions generally state rules about postdated checks in their account disclosures. Some of the biggest banks, for example, note specifically that they can honor checks that are made out for future dates. The Uniform Commercial Code, a collection of business laws adopted or adapted by many states, gives financial institutions the right to process a correctly written check with a future date. But you can ask your bank to delay cashing a specific check, and, depending on your state and the bank, it might comply. What’s the worst that can happen if I postdate a check and it gets cashed?If you write a check and don't have enough money in your account when it's cashed — whether or not it's postdated — your bank can cover the payment or let the check bounce based on its overdraft policy. If the check goes through, you'll pay an overdraft fee. If it doesn't go through, the recipient might charge you late fees and a bounced-check fee. But usually it doesn’t get much worse. If you are concerned about overdrafting — and you'd rather not deal with a returned check and your landlord's ire — consider switching to a bank with a solid overdraft policies. All of these charge lower than average overdraft fees and offer free ways to avoid that fee while still paying your bills. Banks with friendly overdraft policiesOverdraft fee / frequency Free, automatic transfer from linked account? 4.5 NerdWallet ratingNerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service. Yes, from a money market or online savings account 5.0 NerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service. $35 / Up to four times per day if account is overdrawn by more than $5 + Overdraft line of credit; you pay interest only on the amount you use + One-day grace period to correct overdraft 5.0 NerdWallet ratingNerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service. Yes, from a money market or online savings account 4.5 NerdWallet ratingNerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service. $25 / Up to four times per day Yes, from an online savings or brokerage account 4.5 NerdWallet ratingNerdWallet's ratings are determined by our editorial team. The scoring formulas take into account multiple data points for each financial product and service. $30 / Up to twice per day Yes, from a money market or online savings account How do you delay or stop a check payment?Consider these three strategies:
It's risky to rely on postdating or processing delays to ensure your check clears. Financial institutions now send digital pictures of checks to other financial institutions, so they can be cashed more quickly. “In short,” says Mathew Dahlberg, a financial advisor at Main Street Investments in Kansas City, Missouri, “if you don’t have the money in your checking account, then don’t write the check!” Can I cash a postYes. Banks are permitted to pay checks even though payment occurs prior to the date of the check. A check is payable upon demand unless you submit a formal post-dating notice with your bank, possibly for a fee.
What happens if a postAfter that, the bank or credit union can cash the check before the date you wrote on it. If your bank or credit union cashed a check before the date you put on it while your notice was still valid, then it may be liable to you for any damages.
Can you put a postOnly “properly payable” checks are supposed to be cashed by banks. But just about anything with the right signature on it is properly payable, including post-dated and overdrawn checks.
Where can I use postThe post-dated check is the most common means of payment for a loan. It is a check that is written and issued by the debtor for a date in the future and may not be encashed or deposited until such time. Debtors use post-dated checks to avoid missing payments on their loans.
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How to cash a post dated check
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