Question: Exact definition of "Due date" payment

[Anonymous]

Maybe for most here a stupid question, but I was not able to find the right answer anywhere.

Under the law, what is the exact defination for a due payment not to get late?

 I have two definitions in mind

1. They payment must going out of my account on that day or e.g. a check will be send on that day

2. The payment must arrive on that day at the payee, which mean it must be send a couple of days earlier.

Thank you,

Buckyball (the z in my Name is by accient, maybe a Mod can change it?)

[llecs]

Due date is generally the day they have to have a payment in their hands.

[Anonymous]

Thank you. I had a discussion with a friend about that. BoA charged him a late fee because they argued his check was there at the due date but the need 5 to 7 days to clear it.I told him to call them to get the money but because it is not his issue how long internal processes will happen. Am I right?

[llecs]

I hate it when CSRs say that. Our former phone company did that. The check would clear before the due date everytime and they always said they needed 2 weeks to process a payment, but they would still try to charge a late fee. Note that I said "former".

I would tell him to call them. He could opt to pay via his bank's bill pay, transfer the money via his checking if at BofA, or pay at the branch. I ran into a payment situation with BofA and opted to pay at the branch thereafter.

[marty56]

Also make sure you pay by the time that the payment is due.  If you have say a BofA bill which is due by 2pm EST and pay it in San Antonio 1:01 CST, its late.

[llecs]

Or like most, if not all, of HSBC products: pay by 4pm the business day prior to the due date.

[MattH]

Read the fine print on your contract with that company, because the exact details will vary.

[Anonymous]

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@MattH wrote:

Read the fine print on your contract with that company, because the exact details will vary.

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  Companies stated there a lot, but a lot is not in accordance with the law.