Large Check Question

[haleyjen]

Hi!  My cousin is cashing out a CD my grandma left us and we are trying to figure out how to get my half, but I don't want to freak out my bank.  Should she do a bank check for the full amount, or two checks?  What will the bank hold for less time?

[babygirl1256]

Greetings haleyjen ~ Does the financial institution have wire transfer capabilities? If so, the WT should be super fast, error-less -and- a minimum hold, if any. Wishing you success in completing your transaction(s).

[pizzadude]

I agree that a wire / ACH transaction might be faster if that's something the bank offers, or you could ask for a cashier's check / certified check which should be available sooner.

There's really no way to know how long they'll hold the funds, I've found the clearing time for checks can vary significantly, depending on the size of the check, your bank's policies, history with the bank, i.e. other deposits, etc...

[iced]

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@haleyjen wrote:

Hi!  My cousin is cashing out a CD my grandma left us and we are trying to figure out how to get my half, but I don't want to freak out my bank.  Should she do a bank check for the full amount, or two checks?  What will the bank hold for less time?

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Anything over $10,000 is reported to the IRS. Breaking it up into checks just under that amount is a good way to get your bank's red flags to go off on the account, so don't worry about getting reported.

How long the bank holds it will vary from bank to bank. Some release funds in stages ($5,000 day 1, $25,000 day 2, all day 3, for example) regardless of how it was received, whereas others may only hold funds on unsecured funds such as a personal check. I've had bank wires held and released in stages over a period of 3-7 business days, too. I haven't tried accepting a cashier's check for a large amount, only sent them, so that might be an option, but given I've had institutions hold bank wires I wouldn't be surprised if cashier's checks are also held.