[moneydance] Observe Payment Date Restrictions ignored in MD 528

[Larry Alkoff]

David do you have any method of telling whether a payment is made by 
bank drafted paper check, EFT or Electronified Check"?

Larry


David Carlson wrote:
> Jon, et alia,
> 
> In the U.S., at least, there is a fairly new form of payment called the 
> "Electronified Check" where a certified electronic image of the check is 
> used by the Federal Reserve clearing house rather than the paper check.  
> This reduces the float for paper checks to same day processing. Vendors, 
> after some delay, are now starting to pick up on this to get their money 
> faster.  I had two "Electronified Checks" clear last month, after 
> writing paper checks.
> 
> Dave
> 
> Jon D. Slater wrote:
>> It actually depends on whether the paper checks being mailed have your
>> account and routing information on them, or if your bank transfers the 
>> money
>> into some Mega-pool of money and writes checks from it.  Transferring the
>> money into their pool will immediately deduct it from your account.  
>> Then it
>> may take, up to 7 days before the check clears the banks account.
>>
>> The advantage for the bank using the pool-o-money approach is they can 
>> earn
>> money on the pool until their check (on your behalf) actually clears.
>>
>> This is how many banks are able to offer free on-line banking.  A large
>> financial institution can more than recoup their costs (in software,
>> postage, labor, and processing fees) this way.
>>
>> Say you and 5000 fellow bank customers all send a $2000 mortgage payment,
>> which the bank pays from their mega-pool.  If it takes 7 days for the 
>> check
>> to actually clear, they have $10,000,000 of their customers money to 
>> 'play
>> with' until the checks actually clear.
>>
>> Add to that all of the electric/water/phone/etc bills they process in a
>> month.
>>
>> Just a possibility.
>>
>> Jon
>> (A former bank employee)
>>
>>
>>
>>  
>>> -----Original Message-----
>>> From: moneydance-info-bounces at moneydance.com [mailto:moneydance-info-
>>> bounces at moneydance.com] On Behalf Of Joe Menola
>>> Sent: Friday, June 23, 2006 5:19 PM
>>> To: General discussion related to Moneydance
>>> Subject: Re: [moneydance] Observe Payment Date Restrictions ignored 
>>> in MD
>>> 528
>>>
>>> On Friday 23 June 2006 10:13 am, Kevin O. Lepard wrote:
>>>
>>> For eft payments, the day it is sent is day it is received (the transfer
>>> actually happens in a matter of seconds), so deduction at that time is
>>> appropriate.
>>> As for sending paper checks on your behave...the issue of the check, is
>>> much
>>> the same as the receipt of one you've written, when a check you've 
>>> written
>>> is
>>> presented to the bank, they don't wait until the other person has those
>>> funds
>>> available to deduct it, it gets deducted when the receive it do they?
>>> Once they send that check it must be deducted from their assets and
>>> therefore
>>> from yours to balance the books.
>>> Funny, I noticed no complaints about not having to pay the postage to 
>>> send
>>> that check...;)
>>>
>>> -jm




-- 
Larry Alkoff N2LA - Austin TX
Using Thunderbird on Slackware Linux